Formosa Petchem fined in Taiwan over refinery fire

A giant Taiwan oil refinery complex operated by Formosa Petrochemicals Corp (6505.TW: Quote) was fined T$1 million ($31,000) over a Sunday night fire that closed the facility and dragged down share prices.

Local officials fined the company’s 540,000 barrel-per-day (bpd) Mailiao petrochemicals complex, Taiwan’s largest, after its third fire this year caused the operation to shut down on Monday for an unspecified period. It smouldered on into Tuesday.

They cited human error and hazardous levels of air pollution.

“The county thought it was quite serious and that it was human error, not a freak act of nature,” said Hsieh Yein-rui, air quality director of the central government’s Environmental Protection Administration.

The blaze at a residue desulphurising unit, which did not cause any injuries, is expected to cost Formosa Petrochemicals T$500 million in losses, the firm said.

Shares of the company fell about 1.8 percent in early trade on the Taiwan stock exchange, lagging the broad market.TWII that was down about 0.3 percent.

http://af.reuters.com/article/energyOilNews/idAFTOE66Q01520100727

 

Category: ResourceAsia