Milan, Italy, April 2, 2003 – PetroChina Company Ltd. and Basell signed a licensing agreement for a total of 800,000 tonnes per year of polypropylene capacity at a March 28 ceremony in Beijing, People’s Republic of China. PetroChina will utilize Basell’s Spheripol technology for three new polypropylene plants in Daqing, Lanzhou and Dalian.

This is the largest single contract ever awarded for a polypropylene license in China. Basell won the contract against strong competition from all of the major polypropylene licensors, and Tecnimont Spa of Milan was selected as the engineering contractor for all three plants.

"Over the past 20 years, the Spheripol process has been used in roughly half of all new PP projects world-wide," said Werner Breuers, President of Basell’s Licensing & Catalysts business. "We attribute its success to our ability to regularly update and continuously improve the technology."

PetroChina is the largest integrated oil and gas producer in China. It also engages in refining and the production and sale of chemical products. The Daqing and Lanzhou polypropylene projects will each have a capacity of 300,000 tonnes per year, while the Dalian plant will have a capacity of 200,000 tonnes per year.

"China is the fastest growing polypropylene market in the world, and PetroChina is one of the most important local producers," said Breuers. PetroChina’s selection demonstrates their confidence in Basell. "A year ago, PetroChina selected Basell’s Lupotech T technology for a 200,000 tonnes per year LDPE plant at Daqing."

In addition to developing and licensing polyolefin processes, Basell produces and markets a complete family of polyolefin catalysts customised for use in most process technologies. Basell also develops, produces and markets polypropylene, polyethylene and advanced polyolefin materials. Basell's corporate centre is located in Hoofddorp, The Netherlands; the company has regional offices in Wilmington, Delaware. USA; Brussels; Mainz, Germany; Sao Paulo, Brazil, and Hong Kong, as well as manufacturing facilities and sales offices in the major markets around the globe. The company’s Internet address is www.basell.com.

For additional information contact Basell’s Licensing organisation at licensing@basell.com, or Isabelle Trocherie of Basell’s Corporate Communications Department at +33 6 80 47 80 23 or Isabelle.trocherie@basell.com.
Spheripol andLupotechT are trademarks owned or used by Basell.