Petron, Holcim enter into energy-from-waste accord

Phil. Star, C-2, June 6, 2005
(similar story came out in BusinessWorld and Manila Standard Today)

The country’s largest oil company Petron Corp. recently entered into a memorandum of agreement with Holcim Philippines, the leading cement company in the country, for the processing of used oil and sludge from Petron’s customers at Holcim’s cement plants.

The process, known as cement kiln co-processing, recovers energy from materials which other companies would already consider as waste. The waste material may be used as alternative fuel in cement production, a manufacturing process which requires very high temperatures.

Under the agreement between the two companies, Petron will facilitate channeling of waste oil from its customers to Holcim’s cement plants at Lugait, Misamis Oriental and Norzagaray, Bulacan, where it will be used as a source of alternative fuel in the production of cement. Theses plants can process about 48,000 to 60,000 liters/day of liquid waste, and have been granted environmental compliance certificates by the department of Environment and Natural Resources.

“Petron has always been at the forefront of environmental compliance and this project with Holcim underscores our commitment to conduct our business in a sustainable manner,” Petron president and CEO Khalid D. Al-Faddagh said.

Environmental regulations such as RA 6969 (Hazardous Waste Act) has placed stringent requirements in the disposal of waste oils.

The program started in 2003 with the setting up of two waste oil processing centers and initially targeted industrial plants as sources of waste material. The second phase, which began this year, will include the establishment of waste oil collection system from sources such as service stations and additional plants. Two more facilities in Holcim’s Davao and La Union plants are envisioned in the near future.

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