AMOCO, SINOPEC FORM DOWNSTREAM TEAM

Amoco Corp. and China Petrochemical Corp. (Sinopec) have signed a general protocol that will enable the two companies to explore potential projects, including joint venture refining and petrochemical operations, in China. Under the 2 year accord signed by Amoco Vice Chairman Lawrason D. Thomas and Sinopec Vice President Wu Xie Gang in Beijing, the companies may cooperate on projects involving: Petroleum refining and natural gas conversion to produce and market motor fuels, petrochemicals, and

Oct. 4, 1993

2 min read

Under the 2 year accord signed by Amoco Vice Chairman Lawrason D. Thomas and Sinopec Vice President Wu Xie Gang in Beijing, the companies may cooperate on projects involving:

Petroleum refining and natural gas conversion to produce and market motor fuels, petrochemicals, and other hydrocarbon products.
Transportation, storage, and marketing of products, feedstocks, and crude oil.
Use and marketing of natural gas, coal gas, methane, and other fossil fuels produced in China.

All of Amoco's operating companies are pursuing opportunities in China.

Amoco Oil Co., Amoco Corp.'s refining, marketing, and transportation unit, coordinates its China business activities from Hong Kong.

Amoco Chemical Co., engaged in chemical manufacturing and marketing, has been doing business in China since the late 1970s, when it licensed technology here. Yizheng Amoco Fabrics Co. Ltd., a joint venture of Amoco Chemical and Yizheng Joint Corp. of Chemical Fiber Industry, began producing and marketing fabric products in May 1992. Amoco Chemical also is evaluating a purified terephthalic acid project in Zhuhai.

Amoco Chemical's Far East headquarters also is in Hong Kong. An office was opened in Beijing last year to further strengthen and build business relationships in China.

Amoco Production Co., the exploration and production arm of Amoco Corp., has several projects under way in China. The company is developing Liuhua field in the South China Sea and plans to explore a mainland tract in Anhui province's Fuyang basin.

Under the direction of China's State Planning Commission, Sinopec is an oil and natural gas refiner and petrochemical manufacturer and marketer. It controls 90% of China's 2.2 million b/d refining capacity.