Chevron sets sights on China complex

03 March 1997 00:00  [Source: ACN]

CHEVRON Chemical is considering building a petrochemical complex in China in the next ten years, starting with aromatics, a senior company official told ACN. He said the complex will also include a cracker with derivatives, but declined to elaborate.

The news comes as no surprise as several large western multinationals like Dow, Shell, Exxon and BP have already stepped into China's cracker scene, although these joint-venture projects have yet to be approved by China.

However, startup of Chevron's proposed 100 000 tonne/year PS plant in Zhangjiagang may be delayed from the planned date of end-1998. Chevron has already obtained approval from the local government for the first phase. It is waiting for the central government to approve the second phase. The feasibility study and environmental-impact study were completed at the end of last year.

The official said China is likely to approve both its project and Dow Chemical's 120 000 tonne/year PS project in Zhangjiagang (box).

Caltex - a 50:50 joint venture between Chevron and Texaco - is also involved in the revamping of small refineries in China. Sinopec has recently said it plans to do away with foreign participation for the revamping.

In Thailand, Chevron expects its US$1bn aromatics project in Rayong to be approved this month. The project - 60% owned by Chevron and 40% by the Petroleum Authority of Thailand - is to produce 600 000 tonne/year of PX and 600 000 tonne/year of benzene (ACN 3 Feb, p21).

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