Sinopec, BASF to expand Nanjing project
(Xinhua)
Updated: 2006-07-23 08:31
China Petroleum & Chemical Corporation (SINOPEC) and the world chemical
industry leader BASF has signed a 500 million U.S. dollars agreement to expand
their joint chemical project in Nanjing, capital of east China's Jiangsu
Province.
The site, namely BASF-YPC Co. Ltd., is one of the largest
Sino-foreign petrochemical joint venture projects in China with a total
investment of 2.9 billion US dollars in the first phase.
Following last
year's smooth and successful start-up, SINOPEC and BASF jointly decided to
extend their joint operations by expanding the capacity of their steam cracker
and investing in additional downstream plants to further strengthen synergies at
the site, according to company sources.
Under the new agreement, the
joint venture will expand the steam cracker from 600,000 to around 750,000
metric tons of ethylene p.a.; expand the ethylene oxide (EO) plant and develop
EO derivatives to strengthen the ethylene value chain; develop the C4 value
chain; and expand the acrylics value chain. The new activities are expected to
come on stream in 2009.
Both companies also agreed to integrate their
second joint operation Yangzi-BASF Styrenics (YBS) in Nanjing into BASF-YPC Co.
Ltd to increase efficiency and make full use of existing
synergies.
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