01 July 2013 08:20 [Source: ICIS news]
SINGAPORE (ICIS)--China’s Sanjiang Fine Chemicals (Sanjiang Chemical) said over the weekend of 29-30 June that it plans to acquire a 51% interest in Zhejiang-based Mei Fu Petrochemical and Mei Fu Port for yuan (CNY) 327m.
The acquisition is critical for the future development of Sanjiang Chemical’s 1.8m tonnes/year methanol-to-olefin (MTO) project at Zhejiang, which is expected to come on stream in late 2014, Sanjiang Chemical said in a statement.
Acquiring Mei Fu Petrochemical will help Sanjiang Chemical gain experience in olefin distribution as the target company is a producer of such chemicals.
The acquisition of Mei Fu Port is also intended to facilitate Sanjiang Chemical’s future methanol imports for the MTO project, the company said.
Mei Fu Petrochemical started commercial operations in May 2013 and is capable of producing approximately 108,000 tonnes/year of propylene, 182,900 tonnes/year of heavy aromatics and 234,700 tonnes/year of BTX aromatics, the statement said.
Mei Fu Port owns the biggest port in Jiaxing of Zhejiang province with an annual loading capacity of approximately 5m tonnes and 11 storage tanks with a total capacity of 80,000 tonnes. Sanjiang Chemical plans to use the port and tanks to import methanol after its MTO facility begins commercial operations from 2015.
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