20 December 2007 08:07 [Source: ICIS news]
SINGAPORE (ICIS news)--China is considering relocating a controversial paraxylene (PX) project in Xiamen, Fujian province, to Gulei peninsula in neighbouring Zhangzhou city on environment and safety concerns, a city government spokesman said on Thursday.
Xianglu Chemical Fibre, parent of the project operator Dragon Group, said it has not received any notice from the government regarding the move and compensation.
Environmental concerns arose as
The government backed down and agreed to review the proposal. It recently completed an environment study on the project and sought the public’s view, but many still opposed it.
“Although this is a large project – and a good one too – the fact that so many people are against it requires us to carefully consider the matter from a scientific, democratic and public viewpoint,”
The Dragon Group received approval for the project in 2006 after a four-year wait, a company official said.
It has completed piling at the
The company might have to wait another two years if it needed to seek the central government’s approval for the relocation, the official said.
The Gulei peninsula is about 100km away from Zhangzhou city which is adjacent to Quanzhou, where Sinopec and ExxonMobil are building a petrochemical complex including a 700,000 tonne/year PX plant.
The island, which has a deepsea port, has been slated for heavy industrial use but it was unclear if its infrastructure was in place, the official said, adding that Xianglu has also not decided if its downstream purified terephthalic acid (PTA) project would be moved.
Dragon’s logistics costs could rise after the relocation as it would need to ship PX back to
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