British oil major BP yesterday said it will nearly double the production capacity of a key industrial chemical at its joint venture in China to meet rising demand.
BP aims to expand the annual capacity of purified terephthalic acid (PTA) at its existing plant in Zhuhai, Guangdong Province, by 200,000 tons to about 1.7 million tons. The expansion will be operational next year.
BP also plans to build a new plant at the same site capable of making 1.25 million tons a year of PTA, used to make polyethylene terephthalate, a widely used polyester polymer for the production of textiles, bottles, packaging and film products. The new plant will come on stream in 2014.
China's PTA consumption in 2009 exceeded 18 million tons, of which about 65 percent was supplied by domestic production, BP said, citing government data.
BP owns 85 percent in the Zhuhai joint venture, with the rest being held by Zhuhai Port Co.
By Richard Fu
