ExxonMobil Signs Agreement for Fujian Feasibility Study
Fujian Petrochemical Company Limited, ExxonMobil China Petroleum and Petrochemical Company Limited, and Aramco Overseas Company B.V. signed an agreement to submit the joint feasibility study for the Fujian integrated petroleum/petrochemical project to the State Development Planning Commission of the People's Republic of China. The JFS will soon be submitted by the three partners to SDPC.
The submission of the JFS will mark a significant milestone in the development of the integrated project at the existing FPCL refinery in Quangang, Fujian Province. FPCL is a joint venture between Sinopec and Fujian Province.
The Fujian venture will be a Sino-foreign joint venture among FPCL (50 percent), ExxonMobil (25 percent) and Saudi Aramco (25 percent). The JFS is a document through which the partners jointly agree on and define the objectives and plans for the joint venture. The joint venture will be formed upon approval by the Chinese government of the JFS, the Joint Venture Contract and the Articles of Association of the Joint Venture.
The Fujian project will involve the construction of a new world-scale ethylene steam cracker, and polyethylene and polypropylene units, together with chemical derivatives manufacturing units and related distribution and marketing facilities. The petrochemical complex will be integrated with the refinery, which will expand its existing 80,000 barrel-per-day refining capacity to 240,000 barrels per day.
The expanded refinery will be complemented by a petroleum products marketing joint venture which will supply wholesale and retail products produced by the Fujian joint venture throughout Fujian province. The partners in the marketing joint venture will include Sinopec and affiliates of ExxonMobil and Saudi Aramco.