BP Licenses PTA Technology to China’s Ningxia Baota
BP has agreed to license its latest-generation purified terephthalic acid (PTA) technology to Ningxia Baaota Chemical Fibre, a majority owned subsidiary of China’s Baota Petrochemical Group. A 1.2 million t/y plant will be built at the Ningxia Ningdong Energy and Chemical zone in the Ningxia Hui Autonomous Region. Baota expects the plant to come on stream in 2018.
This is the third PTA licensing deal for BP and the first in China. “We have now licensed this latest PTA technology in India, Oman and China – three significant growth markets – and have our own world-scale plant running at Zhuhai in Guangdong, China. We see great potential long-term in the polyester supply chain,” commented Rita Griffin, chief operating officer of BP’s global petrochemicals business.
Gao Guozheng, chairman of Ningxia Baota Chemical Fibre and CEO of the Baota Petrochemical Group, Ningxia region, added: “This investment is highly strategic for us, fulfilling the local requirements for PTA at the lowest possible cost and contributing to the economic development in the Ningxia region.”
BP said its PTA technology has significantly lower capital and operating costs compared with conventional PTA plants, as it is more energy efficient, uses less water and produces less solid waste.
Separately, BP has confirmed it will close a paraxylene (PX) unit and lay off staff at its site in Texas City, Texas, USA. The facility has been idle for more than a year because of poor market conditions.
Two other PX units at the site, with a combined capacity of 1.4 million t/y, will remain in operation.
