Shanghai Sinopec Mitsui Chemicals to Build Phenol and Acetone Plant

---

Researched by Industrial Info Resources (Sugar Land, Texas)--Shanghai Sinopec Mitsui Chemical Company Limited (SSMC) (Shanghai, China), a joint venture established in 2006 by Mitsui Chemicals Incorporated (TYO:4183) (MCI) (Tokyo, Japan) and China Petroleum & Chemical Corporation (NYSE:SNP) (Sinopec) (Beijing, China), announced that it would be building a plant for the production of acetone and phenol in Shanghai. SSMC was originally founded to produce and sell bisphenol A (BPA) in China, and the company produces about 120,000 metric tons per year of BPA.

In December 2009, Sinopec and MCI signed a memorandum of understanding for SSMC to construct the new plant, which will produce 400,000 metric tons per year of acetone and phenol, to consolidate feedstock efforts for BPA production. BPA is synthesized via the condensation of acetone with phenol, and MCI is recognized as the largest phenol producer in Asia. Sinopec is regarded as the largest producer of the chemical in China. Once the plant is complete, it will be one of the largest phenol/acetone complexes in the world.

Planning and scheduling should be wrapped up by the end of the month, and construction is scheduled to begin in September in the Southern Chemical Industrial Zone of Shanghai. However, SSMC will continue releasing bid documents and requests for quotation until the beginning of next year. The joint venture will use MCI's phenol production technology to produce 250,000 metric tons of phenol annually. The facility will produce 150,000 metric tons per year of acetone. SSMC plans to complete construction of the $250 million plant in the fourth quarter of 2012 and begin commercial operation early in 2013.

View Plant Profile - 3008111
View Project Report - 300013895

Industrial Info Resources (IIR) is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. IIR's quality-assurance philosophy, the Living Forward Reporting Principle™, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities.