China Petroleum and Chemical Corp. (Sinopec) and BP Chemicals plan to build a petrochemicals complex that is expected to be the largest of its kind in Asia when it comes on-stream in 2005. The venture is expected to be set up in mid-September, with the aim of developing the capacity to produce 900,000 tons of ethylene a year. Under the USD 2.7 billion deal, BP Chemicals controls 50% of the Shanghai-based joint venture, Sinopec 30%, and Sinopec subsidiary Shanghai Petrochemicals Co. the remaining 20%. BP, one of the foreign shareholders in Sinopec, has therefore become one of the biggest investors in China. The project is the largest joint venture between the two companies.
