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BASF-YPC Company limited

BASF-YPC Company Limited (hereinafter referred as ”the Company”) is located in Luhe District of Nanjing Municipality within the Nanjing Chemical Industry Park (NCIP) achieving synergy with the development of NCIP and the neighboring enterprises. It enjoys a favorable environment and convenient accesses as being close to the Yangzi River and adjacent to the Beijing-Shanghai Railway Line with access to the Nanjing-Shanghai Express Way via the Second Yangzi River Bridge.

The Company began construction of the first phase of Integrated Petrochemical Site (IPS) in September 2001 and started commercial operation in June 2005. The investment for the first phase amounted to USD 2.9 billion. It is now operating 10 world-scale process plants with 600,000 tonne/year Ethylene plant as the centerpiece. The downstream units comprise 250,000/300,000 tonne/year Ethylene Oxide/Ethylene Glycol plant, 400,000 tonne/year Low Density Polyethylene plant, 250,000 tonne/year Oxo-C4-Alcohols plant, 160,000 tonne/year Acrylic Acid and 215,000 tonne/year Acrylic Esters plant, 30,000 tonne/year Propionic Acid plant, 50,000 tonne/year Formic Acid plant, 36,000 tonne/year Methylamine plant and 40,000 tonne/year Dimethylformamide plant. All plants employ state-of-the-art technology and BASF's "Verbund" concept to realize cost efficiency and to minimize environmental impact. It also has a gas-fired power plant and three international ports to ensure optimum energy supply and logistics.

Following the success of the first phase, the Company set to start the expansion project to expand the site. The project scope includes the following: the expansion of the existing steam cracker to a total of 740,000 metric tons per year of ethylene; the development of an integrated ethylene oxide (EO) derivatives value chain, including: the expansion of the existing EO plant and the construction of a new EO purification unit, along with the construction of EO derivatives plants, including a new butyl glycol ether plant, a new non-ionic surfactants plant, and a new amines complex for the production of ethanolamines, ethyleneamines and dimethylethanolamine, and the construction of a new DMA3 plant; the extension of the acrylics value chain with the construction of a new super-absorbent polymer (SAP) plant; the expansion of the existing propionic acid and aldehyde plants; the expansion of the existing oxo-C4 plant; the development of an integrated C4 complex, including a butadiene extraction plant, a 2-propylheptanol plant, an isobutene extraction plant, and a plant for highly reactive polyisobutene. The startup will take place in a staggered approach and the expansion will be operational from 2011 onwards.

With the ground breaking of ISP II Project, Yangzi-BASF Styrenics Company Limited is merged into BASF-YPC Company Limited. The former, a joint venture between BASF and Yangzi Petrochemical Corporation with a total investment of RMB 2.2 billion, was founded in 1994 and is now operating 130,000/120,000 tonne/year Ethylbenzene/Styrene plant, 200,000 tonne/year Polystyrene plant and 52,000 tonne/year Expandable Polystyrene plant.