LyondellBasell and Bora Start up China Complex
Dutch-domiciled, US-managed olefins chemicals and plastics major LyondellBasell and China's Liaoning Bora Enterprise Group (Bora) have started up their new polyolefins complex at Panjin in northeastern China’s Liaoning province. Bora is one of the largest private petrochemical enterprises in the region.
The 50:50 joint venture kicked off with a Memorandum of Understanding in September 2019 will operate the production facilities under the name Bora LyondellBasell Petrochemical Co. (BLYB). Further plans foresee collaborating on additional petrochemical projects that could go on stream in multiple phases over the next 10 years.
Billed as one of the world's most advanced polyolefins production sites, the BLYB complex is also one of the largest of its kind in China, operating a 1.1 million t/y flexible naphtha and LPG cracker that will feed a new 600,000 t/y polypropylene plant and an 800,000 t/y ethylene unit. The polymer plants will use LyondellBasell's Spheripol and Spherizone processes for PP production and its Hostalen PE technology. Output will be sold within China.
"Demand for polyolefins has returned in China after the pandemic-related economic slowdown earlier in the year, and the long-term growth trends are very favorable for this project," said LyondellBasell’s CEO Bob Patel.
The jv leverages the companies' knowledge and experience to help meet the growing demand for polyolefin products in China, Patel said. The chemical producer operating from Houston, Texas, already has compounding plants in the People’s Republic.
The location in northeast China, which is undergoing regional revitalization, “is an increasingly attractive destination for investment, blessed with abundant natural resources, upgraded infrastructure and a rapidly improving business environment, supported by the government's long-term development vision," said Qu Baoxue, Bora’s controlling shareholder. The added production will support the development of China's petrochemical industry and contribute to the region’s revitalization, he said.
Author: Dede Williams, Freelance Journalist
