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A $24 Billion China Refinery Sees a Great Future in Plastics

  • Crude demand from China’s petrochem sector to jump 90% by 2030
  • Rongsheng’s plant to eat into market share of Asian refiners
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A new $24 billion Chinese refinery that’ll use as much crude oil as some of Asia’s biggest plants is set to take on rivals by helping make plastic bottles rather than fuel for cars.

Rongsheng Petrochemical Co. has cleared more than 10,000 acres of land in Zhoushan island to build a 400,000 barrel-per-day facility by 2018, and will double that capacity by 2020, said Shou Bochun, a general manager at the trading arm of the privately owned company. Once the plant in eastern China reaches it expanded size by the end of the decade, it would rank among the top refineries in Asia, rivaling those of India’s Reliance Industries Ltd. and South Korea’s SK Innovation Co.