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03-31-2008

BASF / Sinopec: Expansion of Nanjing Site

BASF and China Petroleum & Chemical Corporation (Sinopec Corp.) submitted the technical and commercial feasibility study for the approval of the planned USD 900 million expansion of their joint chemical Verbund site in Nanjing to the Chinese government. The site is operated by the joint venture BASF-YPC Co. Ltd. (BYC).

The main pillars of the expansion are the expansion of the steam cracker from 600,000 to around 750,000 metric tons of ethylene per year, the development of the C4 value chain including C4 specialties: Butadiene and isobutene as chemical raw materials, 2-propylheptanol for a new-generation plasticizer and polyisobutene derivatives as fuel and lubricant additives, the expansion of the existing oxo-alcohol and propionic acid plants.

The new activities are expected to come on stream stepwise starting already this year; the cracker expansion is scheduled for 2009/2010.

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