ExxonMobil has signed an agreement with the Government of Guangdong to build a chemical complex in the Huizhou Dayawan Petrochemical Industrial Park.
The new complex is expected to support national petrochemical development priorities in China which include self-sufficiency, diversified feedstock sources, rebalancing fuels versus chemicals and advancing new competitive technology.
The project, which is worth several billion dollars, involves construction of 1.2 million-tons-per-year ethylene flexible feed steam cracker, two performance polyethylene lines and two differentiated performance polypropylene lines.
Dependent on receipt of approvals and the results of a competitiveness assessment as well as final investment decision, the new chemical complex is scheduled to commence production in 2023.
ExxonMobil Chemical Company president John Verity said: “Our agreement with the Guangdong Provincial Government demonstrates ExxonMobil’s interest in advancing this project from concept to completion
“We value the government’s support and its experience in moving such a large-scale project forward.”
ExxonMobil said that the new complex will feature advanced technologies in direct crude steam cracking and performance polymers manufacturing.
The framework agreement also confirms the province’s support in advancing the Huizhou liquid natural gas (LNG) receiving terminal.
The company recently commissioned a new 1.5 million ton ethane cracker in Baytown chemical complex, Texas.
ExxonMobil also partnered with SABIC to progress development of the Gulf Coast Growth Ventures project, which is a 1.8 million ton ethane cracker presently planned for development in Texas. This facility will also comprise a mono-ethylene glycol unit and two polyethylene units.
The company operates in downstream and chemical businesses mainly through its ExxonMobil (China) Investment affiliate in China. It also has a JV with Sinopec, the Fujian Province and Saudi Aramco for an integrated refining and petrochemical facility.