Construction begins on the second phase of Fujian Gulei Refining and Chemical Integration Project, with a total investment of 71.1 billion yuan

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　On November 18, 2024, the second phase of the Fujian Gulei Refining and Chemical Integration Project, the largest industrial project invested in Fujian to date with a total investment of 71.1 billion yuan, commenced construction. 　　This project is jointly developed by Sinopec, Fujian Refining & Chemical, and Saudi Aramco, and is expected to be fully operational by 2030. Once completed, it will be able to supply 5 million tons of raw materials to the Gulei Petrochemical Complex each year, further improving the industrial chain there and promoting the advanced, intelligent, and sustainable development of the petrochemical industry. 　　This project is an important part of a new framework for comprehensive energy cooperation between China and Saudi Arabia. It involves the construction of facilities for refining 16 million tons per year, producing 1.5 million tons per year of ethylene, 2 million tons per year of p-xylene and its derivatives, as well as supporting infrastructure such as a crude oil terminal with a capacity of 300,000 tons per year. It is understood that this project utilizes advanced and mature technologies; multiple of its process technologies are at the global forefront, and 5 patented technologies fall under the category of key technologies that are encouraged for development. These technologies help to reduce project investment and energy consumption while improving efficiency. 　　Upon completion of the project, the 16 million tons of refining and downstream facilities will be able to produce 2.88 million tons per year of oil products such as aviation fuel and marine diesel, as well as 12.7 million tons per year of chemical products such as polyolefins. This project will further promote the high-end, integrated, and clustered development of the Gulei Petrochemical Complex, address the lack of raw material supply in this complex, and effectively solve the issue related to the sources of raw materials for its projects ； By making full use of its unique geographical advantages, it provides high-quality raw materials for enterprises with Taiwanese investment and others to invest in and develop downstream high-end product supply chains within the park, promotes deep integration between the petrochemical industries on both sides of the strait, and contributes to the high-quality development of Fujian’s petrochemical industry, which serves as a key economic pillar worth trillions of yuan. 　　In October 2022, Sinopec and Saudi Aramco signed a framework agreement for the second phase of the Fujian Gulei refining and chemical integration project. It was officially approved by the Fujian Provincial Development and Reform Commission on July 16 this year, and is built through a joint venture between Sinopec, Fujian Refining & Chemical, and Saudi Aramco.