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June 19, 2000 02:00 AM

BASF, Sinopec building plant

PLASTICS NEWS REPORT
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    NANJING, CHINA — BASF AG (Booth S714) and China Petroleum & Chemical Corp., known as Sinopec, plan to build an 882 million-pound-per-year polyethylene plant at a major petrochemical complex planned for Nanjing. The low density PE unit, scheduled to start production by 2005, will be served by a new, 1.3 billion-pound-per-year ethylene steam cracker.

    The $2.6 billion PE project is subject to approval by the companies' boards and Chinese authorities. The 50-50 venture is owned by BASF of Ludwigshafen, Germany, and Beijing-based Sinopec.

    The firms expect the new complex to help replace imports and meet growing demand in China.

    Sinopec is China's biggest integrated petroleum and petrochemicals company. In 1999, it reported sales of about $42 billion.

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