MOSCOW (MRC) -- Rosneft and the China National Petrochemical Company (ChemChina) signed a Heads of Agreement on establishing a Joint Venture, said the company on its site.
The document was signed by Rosneft Chief Executive Officer Igor Sechin, and General Manager of ChemChina Yang Xingqiang.
According to the terms of the document, the parties will establish a joint venture in the Bolshoy Kamen priority development territory in Primorsky Krai, Russia, to build a plant and a polymer coatings and paints facility with an annual capacity of 50 thousand tons, as well as implement R&D activities. In that regard, Rosneft and ChemChina will conduct a feasibility study of the project and carry out the necessary preparations to set up a joint venture. As a result of the project implementation, the largest facility to produce special marine and arctic vessel coatings, a leader in this segment, will be established in Russia.
The plant’s production will find its application at the Zvezda shipbuilding complex in the Russian Far East, being constructed under the order of the President of Russia Vladimir Putin. In particular, Rosneft and ChemChina will establish a working group to develop new polymer coatings for ships of various classes, including Arctic class vessels.
As it was informed earlier, in September 2016, Rosneft and ChemChina signed a Heads of Agreement on cooperation in equity investment in ChemChina Petrochemical Corporation (CCPC) and a Memorandum of Understanding for cooperation on the project of the Far-East Petrochemical Company (FEPCO).
ChemChina is one of the largest chemical companies in the world. The company's business is focused on the production of new and special chemical materials, basic chemicals, oil refining, agricultural chemistry, rubber products, and chemical equipment.
ChemChina Petrochemical Co. Ltd is a subsidiary of ChemChina, and engaged in the production of petrochemical products; the installed capacity of hydroskimming is 25 million tons of crude oil per year.
Rosneft became Russia's largest publicly traded oil company in March 2013 after the USD55 billion takeover of TNK-BP, which was Russia’s third-largest oil producer at the time.
MRC