On August 27th, Pengpai News learned from China Petroleum and Chemical Corporation (Sinopec) that the China Russia Amur Natural Gas Chemical Complex Project (AGCC) has officially started construction and will become one of the world's largest polymer factories after completion. The project is jointly developed by Sinopec and Sibul Company in Russia, and Sinopec holds 40% of the shares in the project.

This project is located in Amur Oblast, Far East Russia, 150-200 kilometers north of Heihe City, Heilongjiang Province. The designed production capacity is 2.3 million tons/year of polyethylene and 400000 tons/year of polypropylene, with a plant scale ranking among the world's top. It is the largest chemical cooperation project between China and Russia. The project construction period is 5 years, and it is expected to enter the operation period in 2025. After completion, the main products will be sent to the Chinese market.

According to Sinopec, Russia is a key country for Sinopec to actively respond to the "the Belt and Road" initiative and participate in international construction. The Amur project can give play to the advantages of Sinopec's integration of investment, technology, engineering, operation, trade and engineering services, which is of great significance to the development of Sinopec's overseas business in the chemical industry and materials sector. "As the comprehensive strategic partnership between China and Russia enters a new era, the Amur project will be built into a model for extending energy cooperation between the two countries to downstream chemical cooperation, and become an important large-scale chemical business base for Sinopec in Russia."

The Amur Natural Gas Chemical Complex project between China and Russia has received high attention from the leaders of both countries. In June 2020, Sinopec and Sibul Company of Russia officially signed a joint venture agreement for the Amur natural gas chemical project. At present, both parties are actively preparing for project delivery, engineering construction, and other related work.