BEIJING, April 1 China offshore oil firm CNOOC
has decided to invest 44.2 billion yuan ($6.5 billion) to almost
double the capacity of its first major refinery in southern
China, local media and a company official said on Wednesday.
CNOOC, parent of CNOOC Ltd (0883.HK), signed an investment
contract with the Huizhou city government of Guangdong province
on Tuesday aiming to bring annual crude processing capacity of
its Huizhou plant to 22 million tonnes from 12 million tonnes by
2015, according to the Dongjiang Times, a local newspaper.
It will also add an ethylene complex with capacity of 1
million tonnes a year.
CNOOC started pumping crude oil into its newly-constructed
240,000 barrel-per-day (bpd) plant in Huizhou last month.
Company officials told Reuters that it would take about
another 1-½ months to start up all its 16 processing facilities
before the new refinery can enter normal operations.
A CNOOC official said that the Huizhou investment plan also
needed approval from other central government agencies such as
the National Development and Reform Commission before it can be
fully kicked off.
China's state oil firms will add nearly 1 million bpd of new
capacity by the end of this year with six plants, though more
than half of them will start up in the second half, a Reuters
survey found in February. [ID:nPEK163730]
(Reporting by Eadie Chen, Editing by Jonathan Hopfner)
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