BASF YPC COMPANY LIMITED

BASF-YPC Company Limited (BASF-YPC), a 50:50 joint venture between two FORTUNE 500 companies — BASF and SINOPEC, is regarded as a role model of successful Sino-German cooperation. It is located close to the Yangtze River in Luhe District of Nanjing Municipality, abuts the Nanjing Chemical Industry Park (NCIP), where BASF-YPC enjoys a favorable environment for further expansion as well as synergies with neighboring enterprises. BASF-YPC began constructing the first phase of its Integrated P... etrochemical Site in September 2001, which started commercial operation in June 2005. With an investment amounting to USD 2.9 billion, BASF-YPC built 10 world-scale process plants with a steam cracker plant of 600,000 tonne/year ethylene as the centerpiece in the first project phase. All plants employ state-of-the-art technology and BASF exclusive "Verbund" concept to realize energy efficiency and cost effectiveness and minimize environmental impact. The site also has a gas turbine combined cycle power plant and several international ports to ensure optimum energy supply and logistics. In September 2009, BASF-YPC initiated the second phase development, with an investment of around USD 1.4 billion in total, including expansions of existing plants and construction of new facilities. The commercial operation began in January 2012. The existing steam cracker was expanded to produce 740,000 tonne/year of ethylene along with the expansion of the existing ethylene oxide plant and the construction of a new ethylene oxide purification unit. New plants in the expanded ethylene oxide derivatives value chain include a non-ionic surfactants plant, an amines complex for the production of ethanolamines, ethyleneamines and dimethylethanolamine, and a dimethylaminoethyl acrylate plant. The newly integrated C4 complex consists of a butadiene extraction plant, an isobutene extraction plant, a plant for highly reactive polyisobutene, and a 2-propyl-heptanol plant. The existing oxo-C4 plant was also expanded. In September 2010, Yangzi-BASF Styrenics Company Limited was merged into BASF-YPC. The former, a joint venture between BASF and Yangzi Petrochemical Company Limited with a total investment of RMB 2.2 billion, was founded in 1994 and operated an ethylbenzene/styrene plant, a polystyrene plant, and an expandable polystyrene plant. BASF and SINOPEC are considering the extension of their Nanjing joint venture BASF-YPC with the expansion of existing ethylene oxide production, and a new plant for neopentylglycol. BASF-YPC will further expand its acrylic acid value chain with additional acrylic acid and butyl acrylate plants. The production is expected to commence in 2014. Together with the superabsorbent polymer plant, now under construction and also expected to begin production in 2014, BASF-YPC will enhance its support to the home care and hygiene industries as well as the coatings, textiles, and construction industries. BASF-YPC sells about 3 million tonnes of high quality chemicals and polymers per year to cater to the rapidly growing Chinese market and is satisfying customers with excellent services. Persistent in developing sustainably and active in taking social responsibility, BASF-YPC strives to be the most competitive chemical company, a reliable partner to our suppliers and customers, and a trustworthy corporate citizen to benefit the society.More