Formosa Plastics Group not considering investment in Gulei Development Zone, China

06-Sep-11

Taiwan-based Formosa Plastics Group (FPG) is not considering investing in a petrochemical venture in the Gulei Development Zone in southern China's Fujian Province, as per CNA. As per president of group subsidiary Formosa Chemicals and Fibre Corp., the conglomerate will maintain its focus on its styrene acrylonitrile plant in Ningbo, Zejiang Province, and is not thinking about joining a reported petrochemical venture initiated by Taiwanese investors in Gulei. Chairman of the Petrochemical Industry Association of Taiwan has inked a framework agreement with China's Sinopec Group and the Fujian provincial government in August on behalf of some petrochemical companies listed in Taiwan to set up the Gulei zone. The Gulei petrochemical complex will become operational by 2015, with its refinery processing 16 mln tpa of crude oil and a naphtha cracker producing 1.2 mln tons of ethylene. Local companies interested in the project include Ho Tung Petrochemical Corp., LCY Chemical Corp., USI Corp. and China Petrochemical Development Corp.