The company also intends to create a plastics recycling business.
By 2030, about half of the group’s profits from processing crude oil will be derived from petrochemicals. PKN Orlen is planning to ramp up its capacities in olefins and other base products and will expand its position in specialty, high-margin products such as phenol and aromatic derivatives. Its aim is to grow the share of high-margin products in the group’s portfolio from 16% to about 25%.
The company also intends to strengthen its position in polymers, a market it said has attractive growth potential, by extending its value chain to include compounding and concentrates.
In addition, PKN Orlen plans to hold a strong position in mechanical and chemical recycling and biomaterials, by “building a foothold in sustainable development” that includes developing waste-to-energy processes. By 2030, it proposes to develop plastics recycling capacity up to 400,000 t/y, while implementing closed-loop technologies, as well as construct a lactic acid unit.
Expansion of biofuels and hydrogen output will be another major driver of the group’s business. Within the coming decade, the Plock-based group said it will “emerge as the region’s leading producer of biofuels”, including second-generation biofuels, with a capacity of 2 million t/y. Work will continue on the company’s hydrogen hub projects in Wloclawek and Plock and steps will be taken to launch green hydrogen production.
Over the coming 10 years, PKN Orlen plans to spend about 3% of its overall capex budget – approximately 3 billion zloty – on research, development and innovation.
The Orlen2030 strategy is expected to drive a two-and-a-half-fold increase in EBITDA to roughly 26 billion zloty. The group expects the petrochemical and refining business to deliver EBITDA of about 7 billion zloty in 2030.
Author: Elaine Burridge, Freelance Journalist
