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World Oil Giant to Invest More in West China

British-based BP AMOCO (BP), the 3rd largest petroleum enterprise in the world, will invest another US$128 million in Yangtze River Acetyls Co. Ltd, BP's largest acetyls joint venture in China.

David A. Henley, vice-president of BP China and chairman of

Yangtze River Acetyls Co. Ltd said here that the joint-venture,

which is located in the Chongqing municipality, was jointly set up by China and the UK with an investment of 200 million U.S. dollars in 1999.

The enterprise netted a profit of three million U.S. dollars in the first year.

Since the anticipated goal had been reached in advance and the products had huge market demand, BP decided to take two more steps towards further investment in Yangtze River Acetyls Co. Ltd.

The first step is in full swing. BP has invested 28 million U.S. dollars developing new products including ethyl acetate and butyl acetate. After the second half of 2002, the annual output is expected to reach 80,000 tons.

Before 2004, BP will invest another 100 million U.S. dollars to ensure Yangtze River Acetyls Co. Ltd to be the largest Acetyls production factory in China.

Since Chongqing became the country's fourth municipality four

years ago, its infrastructure construction including

transportation and electricity has greatly improved. The

government's efficient administration and preferential tax

policies have attracted a large number of overseas enterprises.

(Xinhua News Agency October 31, 2001)

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