This week Rosneft have made two announcements affecting two different areas of the downstream oil, gas and petrochemical processing industry.
During this week’s Asia-Pacific Economic Cooperation (APEC) Summit, a cooperation agreement was signed to form a new petrochemical company in Russia. Igor Sechin, President, Rosneft and Vladimir Miklushevsky, Primorsky Region Governor signed the binding agreement. Rosneft will form the Eastern Petrochemical Company and construct a petrochemical plant, playing a key role in providing a stable supply of petroleum products to the Primorsky region.
The facility will have a key role in creating money for the region’s budget and also help contribute to socio economic reforms in the region as well as contributing to social infrastructure. Once complete, the plant is expected to produce propane, both high and low density polyethylene and monoethylene glycol among other petrochemical products. Rosneft’s Achinsk and Komsomolsk refineries will supply all feedstocks for the plant.
The Russian and Chinese governments have agreed to allow oil products to be exported from the Tianjin refinery which is located north of Beijing. The facility is a joint venture between OAO Rosneft and China National Petroleum Corp. Construction of the 13 million tpy facility begun in 2010 and is 51% owned by the Chinese partner. Exporting oil products from the site will have add a major boost to the facility’s profitability.
Edited from various sources by Claira Lloyd.