Reuters reported that China Petroleum & Chemical Corporation and Kuwait Petroleum Corporation started building their joint refining and petrochemical complex in the southern Chinese province of Guangdong.

Sinopec said that the CNY 59 billion project including 300,000 barrel per day refinery and 1 million tonne per year ethylene cracking unit was expected to come on line in 2015. The National Development and Reform Commission, a powerful ministry in charge of major project approvals, gave its nod for the project in March.

KPC has said that it is still looking to partner with an international oil company for some of its 50% stake in the project in Zhanjiang in western Guangdong. The project will secure Kuwait, the world's seventh largest crude exporter, a stable outlet for its oil as it aims to more than double crude exports to China to 500,000 barrels per day while giving the world's second largest oil buyer a steady supply as demand keeps pace with solid economic growth.

(Sourced from Reuters)