Borouge to Build Logistics Hub in Guangzhou     

On October 21st, Borouge signed a service contract with Enpro Supply Chain Management Limited to build the Borouge Guangzhou Logistics Hub in the Nansha area of Guangzhou, southern China. The contract ensures local logistics services for Borouge's customers in Asia for ten years with effect of the start up date of Borouge 2 in 2010.
   Enpro will undertake the design, development and subsequent operation of the logistics hub, in order to ensure sufficient infrastructure, storage facilities, packaging and distribution services. This long term partnership fully supports Borouge's future supply chain strategy. Enpro will handle and distribute a total volume of approximately a 246 000 tons of value added polyolefins annually through the Guangzhou Logistics Hub.
   Borouge's current production capacity in the UAE is 600 000 tons of polyethylene per year. With the ongoing Borouge 2 project expansion, this capacity will increase to 2 million tons per year by the middle of 2010 and will add polypropylene to the product mix. Construction of the Borouge 2 facility has already started and consists of a 1.5 million tons ethane cracker, the world's largest olefins conversion unit (with a capacity of 750 000 tons), two polypropylene plants with a total capacity of 800 000 tons and a 540 000 tons polyethylene plant. (CCR2008 No. 12)
   Enpro is jointly owned by Guangdong Foreign Trade Group Corp. (GFTG) and Grand Dragon Holdings Ltd. (GDH). The joint venture company, backed up by the rich resources of GFTG and logistics knowhow and international network of GDH, aims at becoming a preferred provider of third party logistics services in China especially in the Pearl River Delta area.