China earmarks Sinopec Anqing expansion

The expansion of China Petroleum and Chemical Corp. (Sinopec) subsidiary Sinopec Anqing Co. (Anqing Co.) has been earmarked by the Chinese government in its stimulus plan for the refining and petrochemical industry. Under the expansion plan, Anqing Co.’s annual refining capacity will be increased from 5.5 million tons to 8 million tons, equivalent to 160,000 barrels per day (bpd). The State Council hasn’t yet specified which project in the stimulus would be given investment priority. Although China is accelerating its refinery and ethylene facility construction projects to boost economic growth, it fears oversupply will continue if demand for oil products doesn’t rebound. (April 13, 2009)