ExxonMobil on Wednesday broke ground on its solely funded petrochemical chemical complex in Huizhou, southern China’s Guangdong Province, according to a report by Chinese media Xinhuanet.
A special “cloud ceremony” was conducted online with video links connecting the Huizhou Dayawan Petrochemical Industrial Park and locations in Beijing and Dallas due to the COVID-19 pandemic.
The complex will be constructed in two phases, with a combined investment of about 10 billion US dollars. The first phase will include a steam cracker which will produce 1.6 million metric tons per year of ethylene, 1.2 million metric tons per year of polyethylene, and 860,000 metric tons per year of polypropylene. The downstream production facility is scheduled to be completed by 2023 when construction begins in the second phase.
ExxonMobil Chairman and CEO Darren Woods in Dallas said via video link that the project reflects China’s growing commitment to foreign direct investment and fostering innovation.
“All of this creates an environment that enables ExxonMobil to continue our strategic long-term investments,” he said.
Last year, ExxonMobil signed a framework agreement with the Guangdong Provincial Government to build the wholly owned project. The investment is part of ExxonMobil’s plans to expand in Asia and helps China meet anticipated growth in demand for chemical products.