China's Sinopec Shanghai Petrochemical Co. (0338.HK) will use ENI SpA's (ENI.MI) ENI Slurry Technology for the construction of a new refining plant, the Italian oil-and-gas company said Monday.
ENI said that Sinopec, the world's largest operator in the refining sector, has purchased the license and basic engineering project from ENI for the plant, which will be built at Maoming in the Chinese province of Guandong.
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Construction of the plant is due to be completed by 2020, ENI said.
ENI Slurry Technology, known as EST, converts refining residues into high-quality light products.
Sinopec's EST plant will have the capacity to process 46,000 barrels of heavy refining residue a day, ENI said.
As part of the licensing agreement, ENI will provide Sinopec with the basic engineering project and other services, including assistance during the development phase and the implementation of detailed engineering, it said.
ENI said that Sinopec will be responsible for the detailed engineering and construction operations.
The financial details of the deal have not been made available.
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China Petroleum & Chemical Corporation (0386.HK) will use ENI SpA's (ENI.MI) ENI Slurry Technology for the construction of a new refining plant, the Italian oil-and-gas company said Monday. "Sinopec to Build Plant in China Using ENI's Refining Technology," at 1326 GMT on Monday, misstated the name and code of the Chinese company in the first paragraph. The company is China Petroleum & Chemical--also known as Sinopec--not Sinopec Shanghai Petrochemical Co.
(END) Dow Jones Newswires
January 09, 2018 09:01 ET (14:01 GMT)