China Petrochemical Corp (Sinopec) will make the investment over the next three years to boost refinery capacity and increase oil and gas production in the resource-rich Xinjiang region. The state-owned giant will finance a massive upgrade of its Tahe refinery, situated in the northwestern Kuqa county, to 10 million tons-per-year, or 200,000 barrels-per-day.
In 2011, Tahe processed 4.25 million tons of crude and other feedstocks, with total sales of oil products reaching 4.1 million tons. The improvements should boost crude oil production to between nine and 11 million tons, as well as raising natural gas output to 1.8-3.0 billion cubic metres annually.
The Tahe refinery is Sinopec's only refinery in the troubled province. Rival PetroChina's three refineries at Dushanzi (200,000 bpd), Urumqi (100,000bpd) and Karamay (120,000 bpd) already dominate oil and gas production in Xinjiang, however Sinopec hope that the new investments will make them more competitive in the region.
China is working hard to increase its domestic refining capacity to the proposed target of 700 million metric tons per year by 2015, which is a 21% increase on this year's projected total of 578 million metric tons.
Published 27th February, 2012
Looking for more information about OATS products and services?
additives Africa And finally Asia Australia automotive industry Aviation base oil bio fuels bio lubes BP Brazil Castrol Chevron China China and finally China Internet Marketing China Lubes Marketing China lubes news China Lubes Tech China OEM Equipment CNOOC CNPC CO2 emissions ConocoPhillips Corporate News e-commerce electric vehicles Environment and Regulatory watch Environment, regulatory and standards Europe ExxonMobil Ford Forecasts Fuchs GM Great Wall India innovation Inovation and environment Internet marketing Japan Lubes marketing Lubes news Lubes tech Lubricants marine Middle East Mobile technology motorsport N America Nissan North America OEM and automotive OEM Equipment PetroChina Russia S America Scandinavia Shell Sinopec social media Total Toyota View from the Bridge Volkswagen Volvo