China National Offshore Oil Corporation (CNOOC) and Shell Nanhai B.V. (Shell) announced late Tuesday that both companies would start production of a second ethylene cracker at their Nanhai petrochemical complex in Huizhou in the Guangdong province.
The new ethylene cracker increases ethylene capacity at the complex by around 1.2 million tonnes per year, more than doubling the capacity of the complex, and benefits from a deep integration with adjacent CNOOC refineries.
The new facility will also include a styrene monomer and propylene oxide (SMPO) plant, which will be the largest in China when it begins operations.
According to a company statement, several linked derivative units have also started up while the remaining units will start up over the next few weeks.
"These new units were constructed by CNOOC and are owned and operated by the existing CNOOC and Shell Petrochemical Company (CSPC) joint venture," the company said.
By Gulsen Cagatay