China to boost MTBE capacity by 200,000 tonnes in 2011

06 January 2011 08:11  [Source: ICIS news]

SINGAPORE (ICIS)--China is expected to expand its methyl tertiary butyl ether (MTBE) capacity by around 200,000 tonnes this year, market players said on Thursday.

The country now boasts a total MTBE capacity of 6m tonnes/year, they added.

MTBE is used to increase the octane levels in gasoline.

“There is refinery expansion and new ones coming onboard this year,” said a Chinese trader, referring to the additional MTBE capacity.

China, the world’s top energy user, will add 14.6m tonnes/year of refining capacity in 2011, down from 33.7m tonnes capacity that was added in 2010, according to data from China energy market intelligence service, C1 Energy.

Overall, China’s refining capacity stands at 500m tonnes/year, or 10m bbl/day, the data showed.

Additional reporting by Li Li in Guangzhou

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