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January 07, 2016 01:00 AM

Shell, CNOOC to expand petrochemicals venture

European Rubber Journal Report
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    DAYA BAY, China—Shell and China National Offshore Oil Corp. have signed a non-binding heads of agreement to expand their existing 50/50 joint venture in Daya Bay.

    According to a press release by the joint venture, CNOOC and Shell Petrochemicals Co. Ltd., Shell is expected to join an ongoing CNOOC's project to build additional chemicals facilities next to the JV's existing Nanhai petrochemical complex, subject to regulatory approvals.

    The expansion includes the ongoing construction of an ethylene cracker and ethylene derivatives units, including a styrene monomer and propylene oxide plant.

    As part of the agreement, Shell will apply its proprietary SMPO/POD technologies, said the statement.

    The project is expected to start up in two years.

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