Guangdong City fiercely competes for China's largest joint venture refining project

50 billion Refining project Guangzhou Zhanjiang "Two choose one" to negotiate for four years in the China (China) branch (Granville) refining and integration project, with the Kuwaiti head of state Jaber Bach's visit to China, there is a new dawn. May 10, the Chinese and branch representatives in Beijing held five signing ceremony of the agreement, of which investment of up to 50 billion yuan in the integration of the integrated project to determine the establishment of Guangdong.　　Because the project is the largest Sino-foreign joint-venture petrochemical project in the history of China, and it is the first time for Kuwait to switch from crude oil suppliers to direct investment in the downstream industries of Sinopec, the industry is concerned. Today, although the Sinopec Project has been formally signed, but the specific location of the project is still elusive. Some Hong Kong media said the project has been relocated to Zhanjiang, there have been domestic media reported that KOC considered environmental factors, will move away from its former preferred Guangzhou Nansha, but this reporter learned that the EIA report is not out of the day, Nansha there is hope, all have not reached a conclusion.　　Since the Guangzhou Nansha Petrochemical EIA report, which was scheduled to be announced in March this year, has not been released, there is still a choice between Guangzhou and Zhanjiang. "Nansha Waters are located in the Pearl River estuary, surrounded by the main urban agglomerations of the Pearl River Delta, the environmental assessment should be directed at the entire Zhujiang estuary, not alone on Guangzhou."　　"The Guangdong Problem of Sinopec" since 2005, Guangdong Province signed a cooperation framework agreement with Kuwait, Guangzhou, Huizhou, Zhuhai and other cities have launched a fierce competition. In addition to the National energy strategy, for local, the Sinopec project also means a huge tax and industry matching. One comparable figure is that the Huizhou 10 million-ton CNOOC project only 2008 years of tax revenue will be as high as more than 8 billion yuan. The best location for Sinopec is Zhuhai.　　"April 3, 2009, in the Guangdong provincial government held a" speech brainstorming "meeting, Zhuhai PetroChina Tower Xin Petrochemical Co., Ltd. Chairman Li Jiankang to seize the opportunity to propose to the provincial government. In contrast, if out of the need to save sailing and shipping costs, the Zhuhai has the potential of 300,000-ton tanker terminals than the Guangzhou Nansha port slightly. However, in terms of market and matching, Guangzhou has cultivated the petrochemical industry which has taken shape, and its industrial cluster effect is more obvious.　　In addition, Kuwait is negotiating a stake with Shell and BP, and if the partner is shell, the chances of Huizhou will increase. After two years of fierce competition, at the end of 2007, the National Development and Reform Commission formally agreed to the project primary Nansha, and approved the implementation of EIA.　　To Guangzhou unexpectedly, the news, immediately after the Hong Kong, Macao, Shenzhen, Zhongshan and other urban environmental activists protested. In addition to the Wu Guichang and He Xiangji of the CPPCC members, the Secretary for the Environment, Yau, said, "the development of the Nansha project and the possible environmental impact on Hong Kong are closely watched." "The long-term concern of Shenzhen development critic Jin Xin also repeatedly proposed to the Guangdong provincial government:" Nansha Waters in the Pearl River estuary,Surrounded by the main urban agglomerations of the PRD, environmental assessment should be directed at the entire Pearl River estuary, not alone on the Guangzhou.　　"It is in this context that Guangdong's Zhanjiang has suddenly been included in the field of study." Reporters from the Zhanjiang government insiders learned that April 6, 2009, the Guangdong Provincial Development and Reform Commission director Li Jianjuan has arrived in Zhanjiang on the petrochemical Project site investigation. According to a Guangdong petrochemical enterprises in charge of the analysis: although the petrochemical industry to take the international first-class environmental standards, but after more than 30 years of development, the Pearl River Delta's ecological environment has been very fragile, so the surrounding cities are particularly sensitive.　　Secondly, the main problem of Nansha is the tidal belt, which is located in the four major branches of Zhujiang River. But Zhanjiang does not have this kind of landform, its siting most depends on the sea, does not have the influence to the Freshwater river. More importantly, Zhanjiang has 300,000 tons of tanker terminals, the most recent shipping routes in the Middle East and the cost advantages of direct access to the Pearl River Delta underground tubing. "If the South Preta assessment Report is released, the environmental protection standards, then Guangzhou Nansha there is hope." If the EIA report does not meet the standard, then Zhanjiang is likely to be officially selected, this is a two election pattern.　　said the person.　　Now Kuwait's direct investment in refining and downstream products such as ethylene in China means they can share more profits in the Chinese market. China-Foreign energy cooperation model changed go downstream and make more money.　　This idea of development is becoming an economic strategy for more and more oil-supplying countries. According to the Arab Times April 25, Kuwait Oil Minister Ahmedi Sabach April 24 that although Kuwait may face a deficit of 4.8 billion Codi ($ 16.5 billion) in the 2009~2010 fiscal year, the Government of Kuwait is still optimistic about the five-year investment plan in the oil field.　　He noted that Kuwait's oil production capacity had reached 3 million barrels a day, and Kuwait would steadily increase its oil output to meet customer demand. In addition, KPC, the State of Kuwait, has also stated that it is prepared to invest 24 billion Codi (80 billion US dollars) in expanding the production and refining capacity of hydrogen carbonate to 4 million barrels per day for the 2020-year production capacity.　　Among them, the planned upstream project is expected to promote domestic production capacity, half of the downstream investment will be allocated to overseas refining and petrochemical projects. "In the past, the Middle East and Latin America were simply selling oil to China. Now Kuwait's direct investment in refining and downstream products such as ethylene in China means they can share more profits in the Chinese market. This change is of great help to Kuwait in improving the profitability of the petrochemical industry and increasing the country's income. At the same time, for China, the establishment of such a good relationship can also strengthen its own oil supply security.　　"The head of a petrochemical company in Guangdong province to reporters. Although the Kuwaiti project had been actively planned in the past 2005 years, it was a late episode for Venezuela in the future. PetroChina and Venezuelan state-owned oil company signed in May 2008Agreement to jointly develop the Venezuelan oil refinery in Venezuela, invest in an oil refining capacity of 20 million tonnes in China and launch a 1 million-ton ethylene project.　　Then in March 2009, the two sides unanimously decided to site the refining base in Guangdong Jieyang. "At a time when many companies are struggling to expand production and increase their oil reserves, everyone has to look for more expensive but poorer oil," he said. "The heavy oil in Venezuela contains metal and sulfur, which, if it was a decade ago, would be difficult to accept, even if it was used as a boiler fuel," said the petrochemical source.　　Now, if the exploration and development of conventional oil is not becoming more difficult, no oil company will be determined to invest in this high-cost and unconventional oil resource development. As far as capacity is concerned, Guangdong has been a big one from the former Sinopec, and has become the third world now. "The petrochemical giants in the ring-bead market as China's largest economy province, Guangdong has been a long time in Sinopec's traditional" power "range.　　Now, with Venezuela, Kuwait and Sudan oil refining project successively settled in Guangdong and Guangxi Beibu Gulf, Sinopec's "single Big" status has ceased to exist. March 2009, CNOOC and Shell joint-venture Huizhou Refinery (first phase) officially put into production, the move marks the direct insertion of CNOOC in the Pearl River Delta is often at the same time, the total investment of 44.2 billion yuan in the Sino-Sea oil refining Huizhou base two project has been formally signed, its investment over the CNOOC shell. According to the plan, the future CNOOC and CNOOC Shell's refining capacity will reach 22 million tonnes in Huizhou. Also in March 2009, PetroChina and Venezuela 20 million tons of heavy oil refining project formally settled Jieyang, and strive to start construction in 2010. This means that the east Guangdong market has been involved with PetroChina.　　Looking to Western Guangdong, although Sinopec has some cards maoming and Zhanjiang, Guangxi Beibu Gulf from PetroChina construction of 10 million tons of Sudan crude oil refining project is also accelerating. A comparable data is, in CNOOC, PetroChina into the ring bead area before, Sinopec in Guangzhou Petrochemical has 10 million tons of production capacity, in Maoming petrochemical has 13.5 million tons of production capacity, in Zhanjiang dongxing has 5 million tons of production capacity, the total capacity of nearly 30 million tons, is the Guangdong region is a veritable "overlord."　　In the Huizhou after the arrival of CNOOC, its long-term capacity of up to 22 million tons, and PetroChina Jieyang project capacity of 20 million tons, Guangxi Beibu Gulf Project for 10 million tons, the total capacity of 30 million tons, more than Sinopec. As far as capacity is concerned, Guangdong has been a big one from the former Sinopec, becoming the current three-point world. Therefore, the 15 million tons of Sinopec project, whether in Guangzhou or Zhanjiang, to achieve 50 million tons of Sinopec (Maoming petrochemical expansion to 20 million tons) of total capacity, to maintain its strong position in the Pearl River Delta region, are of great strategic significance. "Many cities in the coastal areas of Guangdong Province and the Beibu Gulf region of Guangxi have 30million tons or even 500,000 tons of tanker port conditions, but also to the Middle East oil-producing areas of the recent shipping lanes, this unique cost advantage, doomed to the Pearl River Delta region will become China's major petrochemical giants of the battleground.