China Sinochem Group has delayed the start-up of a CNY32.5 billion ($4.64 billion) expansion project at its Quanzhou refinery in Fujian province. The project is initially expected to begin trial operations in late August, but now it was postponed to an unspecified date. The company also did not give reasons behind the delay.
However, Sinopec Group, which has its engineering subsidiary involved in the construction of the Quanzhou project, last month said that overwhelming tasks, tight schedule, and delays of equipment caused the work to face delays of as much as six months.
The expansion project in Quanzhou refinery started construction in September 2018. It aimed to increase Quanzhou refinery’s crude processing capacity from 240,000 bpd to 300,000 bpd. The project also includes adding a 1 million ton/year ethylene and 800,000 tons/year aromatic capacity.
In June, Sinopec Corp commissioned a new refinery, equipped with a 800,000 tons/year ethylene plant and a 200,000 bpd crude oil refining unit, in the neighbouring Guangdong province.
