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Borouge opened a new Logistics hub

Borouge, a leading provider of innovative, value creating plastics solutions, has inaugurated officially the Guangzhou Logistics hub.

The contract was signed in Abu Dhabi, the United Arab Emirates on October 19th 2008, with Enpro Supply Chain Management Limited to build the Borouge Guangzhou Logistics Hub in the Nansha area of Guangzhou, China. The Guangzhou Hub will ensures local logistics services for Borouge’s customers in Asia for ten years with effect from the start up date of Borouge 2 in 2010.

The Borouge Guangzhou hub will supply and distribute a total volume of approximately a 246000 tonnes of value added polyolefins annually.

The inauguration ceremony was attended by members of the Board of Directors of Borouge Pte., Borouge Pte. (the marketing arm of Borouge) CEO, Mr. William Yau and various senior Officials from the Nansha District Government in Guangzhou and from the Guangzhou Municipal Government.

Mr. Yau stated that - Borouge comes with a long history of success, and the Guangzhou logistics hub is one of them. The Hub will no doubt serve the purpose, which is to be in close proximity to our customers and provide them with our value added products and superior services when needed. Our philosophy is to always focus on our customers needs and build partnership and not just merely business endeavors.

Borouge’s current production capacity in the UAE is 600,000 tonnes of Borstar polyethylene per year. With the ongoing Borouge 2 project expansion, this capacity will increase to 2 million tonnes per year by the middle of 2010 and will add polypropylene to the product mix.

Construction of the Borouge second facility has already started and consists of a 1.5 million tonnes ethane cracker, the world’s largest olefins conversion unit (with a capacity of 750,000 tonnes), two Borstar polypropylene plants with a total capacity of 800,000 tonnes and a 540,000 tonnes Borstar® polyethylene plant.