ExxonMobil has purchased several shipments of naphtha for its newly launched petrochemical complex in southern China, Reuters has reported.
The complex, based in Dayawan Petrochemical Industrial Park of Huizhou, Guangdong province, is one of the few mega petrochemical plants in China wholly-owned by a foreign investor that are designed to produce high-end petrochemical products.
The ExxonMobil plant is set to receive a 55,000 metric ton (489,500 barrels) naphtha cargo.
While the US oil major sought second-half March naphtha deliveries earlier via a spot tender, it was unclear if a purchase had been made, said two sources who received the tender document.
The complex began test operations last month and by early February had produced the first on-spec pellets of linear low-density polyethylene (LLDPE), an intermediary for making high-performance plastics, the company said earlier this month on its official WeChat account.
The complex, ExxonMobil's largest investment in China, consists of a 1.6 million tons-per-year (tpy) flexible feedstock steam cracker making ethylene, a key building block for plastics and fibres used in a wide range of products like cars, packaging, sports gear and pharmaceuticals.
The cracker is designed to process a mix of naphtha and liquefied petroleum gas.
ExxonMobil buys naptha as China petrochem plant enters test runs
