Formosa Petrochemical gains an edge by controlling more of the value chain than a single-stage operator does. It invested in its own refinery to integrate vertically within the chemical industry, making the naphtha that feeds its cracking plants and cutting feedstock costs. Its co-generation power plants provide electricity, steam, and other utilities to the plants at its No. 6 Naphtha Cracker Complex.
Formosa Petrochemical is an oil refiner that refines crude oil into refined petroleum products and cracks naphtha into olefins including ethylene, propylene, butadiene, and BTX. It is Taiwan's first privately owned refinery and the leading ethylene producer in Taiwan. Its gasoline is sold mainly as the power fuel for vehicles and other machinery, and its liquefied petroleum gas, a refinery by-product, is used mainly as household fuel and industrial fuel.
Naphtha is a petrochemical feedstock used primarily as feedstock for naphtha crackers and aromatics plants producing ethylene, propylene, and aromatics.
