China Petrochemical Corporation (Sinopec Group) and INEOS - one of the world's largest chemical producers and a player in the oil and gas industry - signed agreements on development of high-end chemical products on July 28.
According to the agreements, Sinopec Group will transfer 50 percent stake of Shanghai SECCO Petrochemical Company Limited (SECCO), one of its subsidiaries in Shanghai, and Sinopec Group will acquire 50 percent of the equity of INEOS STYROLUTION in Ningbo, East China's Zhejiang Province.
The two sides will work together to develop two units of acrylonitrile butadiene-styrene (ABS) resin facilities with capacity of 300,000 metric tons annually.
They will also jointly establish a new venture in Tianjin to build a high density polyethylene (HDPE) project with output of 500,000 tons per year.
At least two units of HDPE facilities with annual output of 500,000 tons will be built by the joint venture company based on INEOS' technology.
With a total investment of over $3 billion, the joint venture company SECCO was established in November 2001 by Sinopec Group, Sinopec Shanghai Petrochemical Co., Ltd. and BP East China Investment Company Limited. By the end of December 2021, SECCO had achieved a total profit of nearly 4.07 billion yuan ($601.36 million).
Headquartered in Rolle, Switzerland, INEOS is one of the top five chemical companies in the world and has 36 business segments and 194 production bases in 29 countries.
It owns a number of chemical technologies related to polyethylene, polypropylene and acrylonitrile, among which the acrylonitrile, styrene, phenol, linear alpha olefins and ethanolamine technologies rank first in the world.
INEOS launched a subsidiary in Ningbo on Aug 8, 2019 that is focused on research, production, development, design, wholesale, import and export, and after-sales service of synthetic resins and petroleum resins based on ABS general-purpose materials and special materials.
(Executive editor: Li Zhiyong)
