Petron, Holcim forge partnership

Petron, Holcim forge partnership
Published: 24 June 2005

Petron Corp. recently entered into a memorandum of agreement with cement company Holcim Philippines for the processing of used oil and sludge from Petron’s customers at Holcim’s cement plants.  The process recovers energy from materials that 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, Petron will facilitate channeling of waste oil from its customers to Holcim cement plants in Lugait, Misamis Oriental and Norzagaray, Bulacan, where it will be used as a source of alternative fuel in the production of cement. These plants can process about 48,000 to 60,000 liters a day of liquid waste and they 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," said Petron president and chief executive officer Khalid Al-Faddagh. 

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 similar facilities in Holcim’s Davao and La Union plants are envisioned in the near future. 

"We are pleased that our partnership with Holcim has produced synergies that will not only be beneficial to our respective companies but to the environment as well. We are exploring the possibility of expanding our agreement so that we can absorb bigger volumes of waste oil," Mr. Al- Faddagh added.