The new plant will be strategically located in the Tianjin Economic-Technological Development Area. Photo credit of a BP filling station - BP
British oil and gas company BP has revealed plans to open a third lubricant blending plant in China.
The new plant, scheduled to open in 2021, will have an annual production capacity of 200,000 tons.
Costing in excess of $200 million USD, it will be the firm's largest ever investment in a lubricant facility, and will also blend products under the Castrol brand.
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.''
BP Downstream chief executive officer Tufan Erginbilgic added:
''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.''
Explaining the choice of location for the new plant, William Sun, Supply Chain Director, China and North Asia, BP Lubricants, said:
''Strategically located in the Tianjin Economic-Technological Development Area, this new plant will leverage Tianjin’s competitive advantage as transportation hub, helping us ensure a stable supply of raw materials and smooth distribution of products.''