BASF & Sinopec will expand JV

China Petroleum & Chemical Corporation (Sinopec) and German chemical company BASF have reached an agreement to spend $900 million to expand their joint project in Nanjing, Jiangsu province, in a move to tap the growing demand in the domestic market.

The two companies have submitted the technical and commercial feasibility study for the expansion, said a statement from Sinopec yesterday.

The project includes the expansion of the steam cracker from 600,000 to around 750,000 tons of ethylene per year. It also includes the expansion of manufacturing facilities of other petrochemical products such as ethylene oxide derivatives.