December 20, 2010 [Reuters] - China has given environmental clearance to a 2.5 billion yuan ($375.7 million) fuel oil blending project in the southern province of Guangdong, paving the way for final state approval.
The project, in Daya Bay, Huizhou city, would produce 10 million tonnes of blended fuel oil per year, the Ministry of Environmental Protection said on its website www.mep.gov.cn.
The project also included a 300,000-tonne fuel oil terminal and total storage capacity of 1.03 million cubic metres, it said.
Huizhou Daya Bay Huaying Petrochemical Co, builder and operator of the project, would blend imported fuel oil into bunker oil or oil for power generation or coking purposes, a company official told Reuters.
At 10 million tonnes, or about 180,000 barrels per day, the amount would be roughly 45 percent of China’s fuel oil imports.
“We mainly target users in Guangdong province and have signed letters of intent to sell 10 million tonnes of blended fuel oil per year,” the official said.
Huaying is a private company set up in 2005 and designated for this project.
