INEOS and SINOPEC have completed two of the four significant petrochemical deals announced last year.
INEOS has acquired 50% of Shanghai SECCO Petrochemical and INEOS and SINOPEC have also established a 50/50 joint venture for acrylonitrile butadiene styrene (ABS) based on INEOS’ proprietary ABS Technology.
The third and fourth deals are expected to be completed this year. INEOS and SINOPEC will establish a third 50/50 joint venture to build a new 500 000 tpy high-density polyethylene (HDPE) plant in Tianjin.
INEOS will also acquire a 50% share in the Tianjin Nangang Ethylene Project, which is currently under construction by SINOPEC and is expected to be on-stream by the end of 2023.
Jim Ratcliffe, chairman and CEO INEOS, said: “These agreements significantly reshape INEOS’ petrochemical production and technology in China. We are pleased to make these major investments with SINOPEC in areas that provide the best growth opportunities for both compa-nies. Both parties recognise the potential for closer collaboration across a number of other areas as we look ahead.”
Ma Yongsheng, chairman of SINOPEC, said: “SINOPEC and INEOS have enjoyed many years of partnership and these two significant deals are testament to the cooperation in the petrochemical field be-tween us, which is now taken to a new level. Driven by the dual goals of managing carbon emissions and the energy transition, the two par-ties will play to their respective advantages in market location, re-sources and technology, to create a win-win development for both companies to expand further possibilities in the development of Chi-nese petrochemical market.”
INEOS and SINOPEC seal petrochemical deals
