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Planned Guangzhou refinery shifted to Zhanjiang

SINOPEC Corp's planned oil refinery and petrochemical joint venture with Kuwait Petroleum Corp (KPC) for Guangzhou City in South China's Guangdong Province will be relocated to Donghai Island in Zhanjiang City over fears of pollution, it announced yesterday.
The plant is expected to be finished by the end of 2013, Beijing Times reported today.
Sinopec and KPC are working on feasibility and environmental impact studies this week, according to the report.
The oil refinery was initially proposed for Nansha in Guangzhou City but the public were concerned that such a big refinery there could pollute the whole Pearl River Delta if there was a problem.
The relocation has increased the cost of the refinery from the original US$5 billion to US$9 billion, the report said.
China's top industry planner, the National Development and Reform Commission, has approved the original project in 2006.
The planned refinery will process 12 million tons of crude oil per year.
It will have the capacity to annually produce 1 million tons of ethylene, a basic petrochemical building block, according to an earlier brief Sinopec online news statement.


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