Shell-CNOOC joint venture invests in petrochemical complex expansion in China

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https://www.tipranks.com/news/the-fly/shell-cnooc-joint-venture-invests-in-petrochemical-complex-expansion-in-china

CNOOC (CEO) and Shell Petrochemicals Company Limited, a joint venture between Shell Nanhai B.V. (SHEL) and CNOOC Petrochemicals Investment Ltd, has taken a final investment decision to expand its petrochemical complex in Daya Bay, Huizhou, south China, the companies announced. “The expansion will include a third ethylene cracker with a planned capacity of 1.6 million tonnes per year of ethylene, a key building block to make plastics, and associated downstream derivatives units producing chemicals including linear alpha olefins. This investment also includes a new facility which will produce 320,000 tonnes per year of high-performance specialty chemicals, such as polycarbonates and carbonate solvents, critical for everyday life. Linear alpha olefins are used to produce detergent alcohol and synthetic lubricants base oil. Polycarbonates make impact-resistant plastics that can replace carbon-intensive steel, whilst carbonate solvents are used in lithium-ion batteries and are essential for the electric vehicles sector as well as energy storage. The new facilities, primarily aimed at meeting domestic demand in China, will produce a range of chemicals that are widely used in the agriculture, industrial, construction, healthcare and consumer goods sectors,” the companies stated.

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