SINGAPORE (ICIS)--Hanbang Petrochemical plans to expand its purified terephthalic acid (PTA) capacity in China to 2.8m tonnes/year, from its current capacity of 600,000 tonnes/year, a source close to the company said on Tuesday.
Construction work on a new 2.2m tonne/year PTA plant at Jianyin in Jiangsu province has begun on 5 December this year, the source said.
The new plant, with a total investment of yuan (CNY) 6.55bn ($1.08bn), is expected to be commissioned or started up in October 2015, the source added.
The company’s existing PTA plant at the same site, with the capacity of 600,000 tonnes/year, was shut down on 6 December for about 20 days of regular maintenance, a company source said.
Following the completion of maintenance, the company will keep the run rate at the PTA plant at full capacity during the construction of the new plant, the company source added.
The company’s partial parent company China Chengxing Group, will start up a new downstream polyethylene terephthalate (PET) bottle chip plant at the same site, which is currently under construction, in 2014, the company source said, without disclosing further details.
Hanbang Petrochemical is an 85:15 joint venture between China Chengxing Group and Hong Kong Hanbang Petrochemical.
($1 = CNY 6.07)
Additional reporting by Angeline Zhang