CNOOC and Shell to expand capacity by 10-20%

21-Jul-06

Surging domestic demand is exerting pressure on plants in China to expand polymer capacities. CNOOC and Shell Petrochemicals Co Ltd. plans to expand its current capacity at its US$4.3 billion joint project, (launched in March 2006) by 10 to 20% by end 2010 to meet these pressures. Current capacity at the plant is 80,000 tpa of ethylene and 2.3 million tons of other petrochemicals. A 10% increase in capacity could be achieved without incurring much expenditure. The company has reserved empty land for the new facilities, but decisions on its timescale and investment has yet to be finalized.