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Production to begin at overdue Dalian refinery

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Wang Xiangwei

China's US$1 billion Dalian West Pacific oil refinery, partly owned by French refiner Total, is expected to start production today - almost two years overdue - city officials say.

Dalian officials said Vice-Premier Zou Jiahua was expected to preside over the opening ceremony of the 100,000 barrel-a-day refinery.

Total holds 20 per cent of the project with the rest held by China's major oil companies and the Dalian municipal government in Liaoning province.

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It would be China's first foreign joint-venture refinery to get off the ground.

Separately, officials said red chip China Resources Enterprise (CRE) was considering a US$29 million investment for a 90 per cent stake in a Dalian chemical factory.

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Dalian deputy mayor Li Yongjin said the terms of CRE's investment were to be finalised as the factory would have to be relocated and its assets valued.

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