Oil major BP will invest $230million in a new lubricants blending plant in China to help meet demand in the Asian powerhouse.
The plant will be BP’s single largest blending plant investment worldwide and its third in China.
It will be located in the Tianjin Economic-Technological Development Area.
It is expected to open before the end of 2021 and will have an annual production capacity of 200,000 tonnes.
BP Downstream chief executive Tufan Erginbilgic said: “Premium lubricants are a growth business for BP and ensuring that we can meet demand in a country growing as quickly as China is essential to our success.
“This third lubricants blending plant demonstrates our commitment to strengthening our competitiveness and building a sustainable lubricants supply chain in China.”
Xiaoping Yang, BP China president, said: “China is a key growth market for premium lubricants.
“The new plant not only marks another milestone in BP’s business development in the country but also reaffirms our commitment to long-term investment in and for China.”