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CSPC Nanhai Petrochemical Complex

China (2001-2005)

Project Details

LOCATION

Huizhou, Guangdong Province, China

CUSTOMER

CNOOC and Shell Petrochemicals Company Ltd. (CSPC), a joint venture of Shell Nanhai B.V., with 50 percent shareholding, and CNOOC Petrochemicals Investment Ltd. (CPIL) also with 50 percent

JOINT VENTURE

BSF, a PMC consortium composed of Bechtel, Sinopec Engineering Inc. (SEI) of China, and Foster Wheeler Energy Limited of the UK

SCOPE

Project Management Contractor (PMC)

DESCRIPTION

Construction of 11 chemical plants, including an 800,000-ton-per-year naphtha cracker, together with downstream plants, utilities, and infrastructure

VALUE

$4.3 billion

SCHEDULE

2001-2005

The CSPC Nanhai Petrochemicals Project is the largest Sino-foreign investment in China to date. Located in Daya Bay, Huizhou Municipality of Guangdong province, the grassroots project ivolved the construction of an ethylene cracker with a capacity of 800,000 tons per annum (tpa), together with other process units, power generation, utilities, and infrastructure. The complex produces styrene monomer, propylene oxide, ethylene glycol, polypropylene, low-density polyethylene, linear low-density polyethylene / high-density polyethylene. In total, the complex produces some 2.3 million tonnes per year of products primarily for Guangdong province and China’s coastal economic zones.

A Bechtel consortium managed the implementation phase of the project on behalf of CSPC. This included managing the engineering, procurement, and construction contracts, performing the EPC of a significant part of the general facilities, and utilities and the management of all site integration and interfaces.

Bechtel has been active in the People’s Republic of China since 1979. The company has completed more than 80 projects in China and has offices in Beijing, Shanghai, Taipei, and Hong Kong. Bechtel China received a construction license in China in December 1994, making it the first U.S. company to obtain such a license.

For more information, see the July 2004 Bechtel Briefs.