CNPC Plans to Build Oil Refinery in Chongqing

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Researched by Industrial Info Resources (Sugar Land, Texas). It is reported that China National Petroleum Corporation’s (CNPC, Beijing, China) planned 10 million-ton (~214,000 barrels/day) oil refinery project in Chongqing Municipality will probably have a site selected in Chongqing Municipality’s Changshou District, 50 kilometers away from downtown Chongqing. This project will greatly boost the development of petrochemical industry in the area.

A chemical industry chain has already taken initial form in Changshou, which also enjoys convenient transportation connections. The district is served by Chongqing – Changshou, Changshou – Fuling and Changshou – Liangshan Expressways. The design and construction of a deepwater dock in Changshou is also on the way. This dock is less than one hour away from Chongqing, only one-third of the distance of the trip between Chongqing and the Wanzhou Dock.

The Changshou petrochemical site CNPC is negotiating with covers an area of 31.3 square kilometers. As Chongqing Municipality’s petrochemical production base, it will have four pillars: natural gas chemical, chlorine alkaline chemical, petrochemical, and biomass chemical. There are already several chemical companies operating on the proposed site in Changshou. Among them, are China Petroleum and Chemical Corporation’s (Sinopec) Sichuan Vinylon Factory, with an investment of $930 million, and Sinopec and BP’s joint venture – Yangtze River Acetyl Chemical, Limited. In addition, there are over 100 chemical factories in Changshou producing over 80 types of chemicals. Four industrial systems of chemical, polyester, machinery and construction material manufacturing have been established.

The expected sales revenue of the Changshou petrochemical site by 2010 is $3.9 billion, and $6.6 billion by 2015, and finally $13.2 billion by 2020. By then, Changshou will become the largest integrated petrochemical production base along the upstream of Yangtze River.

Once CNPC’s 10 million-ton refinery is settled here, it will promote the development of midstream and downstream chemical industry.

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