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Manufacturers, Exporters, Wholesalers - Global trade starts here.
Sinopec, BP Set up Acetic Acid JV

China Petroleum and Chemical Corporation (Sinopec) and BP announced here Thursday the establishment of an acetic acid joint venture, the BP Yangtze Petrochemical Acetyl Company (Nanjing) Ltd.

Chen Tonghai, Chairman of Sinopec and Lord Browne, Group Chief Executive of BP, attended the inauguration ceremony.

The joint venture is located in Nanjing, capital of east China's Jiangsu province, one of the most economically dynamic regions in the country.

A large-scale acetic acid plant with annual production capacity of 500,000 tons will be built, which is expected to come on stream in the later half of 2007, said the Sinopec source, adding that the equity ratio between the two sides is 50 to 50.

The establishment of the new joint venture serves as another example of strategic partnership between Sinopec and BP, which will contribute further to China's fast economic develoment, said a senior manager with Sinopec.

Sinopec and BP had signed an agreement on the joint venture during Chinese Premier Wen Jiabao's visit to the United Kingdom in May 2004.

Besides the new joint venture in Nanjing, Sinopec and BP have also developed an acetic acid plant in southwest China's Chongqing Municipality which is expected to enhance annual production capacity to 350,000 tons.

(Xinhua News Agency November 4, 2005)

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