CNOOC and Shell to expand joint venture in Guangdong

On December 15, China National Oil Corporation (CNOOC) and Shell signed an agreement to expand capacity at the 50-50 joint venture CNOOC-Shell Petrochemicals Co., Ltd., which is located at Daya Bay, Huizhou City, Guangdong Province.

According to the agreement, additional petrochemical production facilities will be built adjacent to the existing petrochemical complex, and the expanded operations are due to be commissioned in 2 years. The construction involves an ethylene cracker and ethylene derivatives units, including styrene monomer (SMPO) and propylene oxide (POD) plants.

The expanded petrochemical complex will boost its ethylene production capacity by more than 1 million tonnes/year, or about double its current capacity.