MOSCOW (MRC) -- INEOS and Sinopec YPC have signed the Joint Venture Agreement and Articles of Association forming a 50%/50% Joint Venture Company to be based in Nanjing China, reported Ineos on its site.
The Joint Venture, which is to be called INEOS YPC Phenol (Nanjing) Company Ltd is set to build the largest phenol acetone plant in China, due to complete at the end of 2016. It will have a total investment of approximately USD0.5bn (RMB3.15 bn) and is expected to be operational by the end of 2016.
This is INEOS’ largest investment in China and YPC’s eighth joint venture.
The plant will be based on INEOS’s proprietary phenol technology and Sinopec’s proprietary cumene technology. It will benefit from Sinopec’s local feedstock and personnel advantages and will generate annual sales revenue of around USD0.8 bn (RMB 4.9 bn). It will promote the upgrading of the chemical industry in Nanjing.
"Establishing INEOS YPC Phenol (Nanjing) Company Ltd following the signing of the Joint Venture Agreement is the major step forwards for this important project. We are delighted to have Sinopec YPC as our long-term strategic partner as we build the largest Phenol facility in China. When completed this new world scale plant will bring considerable value to our customers in the region. The partnership is an important development for INEOS Phenol and for INEOS in China." said Harry Deans, CEO of INEOS Phenol.
The annual capacity of the new plant will be at least 400,000 tonnes of phenol and 250,000 tonnes of acetone. It will also include 550,000 tonnes/year of cumene capacity.
Phenol and acetone are important organic chemical intermediates. They are widely used in the industries of phenolic resin, caprolactam, bisphenol A, salicylic acid, fibres, plastic, synthetic rubber, pharmaceuticals, agrochemical, dyes, coatings, leather, and epoxy resins.
As MRC wrote previously, INEOS Nitriles and Tianjin Bohai Chemical Industry Group Corporation have signed their intention to establish a 50/50 JV, to build and operate a world scale acrylonitrile plant to be located in Tianjin, China. It is expected that the plant, which will be designed using the latest INEOS process and catalyst technology, will be completed by the end of 2016. The initial annual capacity of the new facility will be 260,000 tonnes of acrylonitrile with an expectation of possible future expansion, in line with growing demand across Asia.
INEOS Group Limited is a privately owned multinational chemicals company consisting of 15 standalone business units, headquartered in Rolle, Switzerland and with its registered office in Lyndhurst, United Kingdom. It is the fourth largest chemicals company in the world measured by revenues (after BASF, Dow Chemical and LyondellBasell) and the largest privately owned company in the United Kingdom.
MRC