LyondellBasell has signed definitive agreements to expand in China through a 50:50 joint venture with Bora. On September 5, 2019, LyondellBasell and Bora first signed a Memorandum of Understanding and announced their intention to form this joint venture in Panjin, China.
Under the agreements, the partners will form a Sino-foreign joint venture, the Bora LyondellBasell Petrochemical Co. Ltd., that will operate a 1.1 million metric tons per annum ethylene cracker and associated polyolefin derivatives complex in Panjin, China, with a total expected cost of approximately $2.6 billion. The complex will produce products that serve the growing demands of various industries in China, including packaging, transportation, building and construction, and healthcare and hygiene.
LyondellBasell will market the polypropylene and high-density polyethylene which will be produced using LyondellBasell licensed Spheripol, Spherizone polypropylene technologies, and Hostalen ACP (Advanced Cascade Process) polyethylene technology. Start-up is expected in the second half of 2020.
Formation of the joint venture is subject to approvals by relevant government authorities, including antitrust review by the State Administration for Market Regulation.
- LyondellBasell, Rotterdam, The Netherlands
- Liaoning Bora Enterprise Group (Bora), China