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Chinese petrochemical company announces investment to Brunei

Xinhua | Updated: 2017-03-28 10:05

BANDAR SERI BEGAWAN - Hengyi Industries Sdn Bhd (Hengyi), a joint venture company co-formed by China's Zhejiang Hengyi company and its Bruneian partner, announced an investment decision worth $3.445 billion to Brunei on Monday.

With the signing of an implementation agreement, Hengyi reached a milestone in its progress to develop an integrated oil refinery and aromatics plant in Brunei, Qiu Jianlin, the Hengyi company chairman, said in his speech at a ceremony to celebrate the signing of the agreement.

The agreement outlines, among others, the execution requirements of the project including Hengyi's obligations in terms of employment and business opportunities to the sultanate and its people.

"The Hengyi Industries' Crude Oil Refinery and Aromatics Cracker Complex on Pulau Muara Besar, is one of the largest single foreign direct investments the country has seen in recent years," the Minister at the Prime Minister's Office and Second Minister of Finance, Abdul Rahman said on the ceremony.

According to Hengyi, the planned petrochemical plant will process annually approximately 8 million tons (175,000 barrels per day) of crude and condensate and produce approximately 1.5 million tons of paraxylene, 500,000 tons of benzene as well as refined products such as gasoline, jet fuel and diesel.

The plant will ensure Brunei's self-sufficiency in refined products and boost spinoffs for further high value-added downstream industries.

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