November 2013
GLOBAL PETROCHEMICALS MEDIA BACKGROUNDER
BP Petrochemicals
BP is a world leader in the production of acetic acid, purified terephthalic acid (PTA) and paraxylene (PX) - key
intermediates in the production of everyday products as diverse as paints, clothes and packaging.
Operations and strategy
Our global petrochemicals business has operations in the US, Europe and Asia. At the end of 2012 the business
comprised 15 manufacturing sites, with BP’s share of the total capacity at 18.4 million tonnes per year;
approximately 40% of this capacity is in Asia and 30% each in Europe and the US. The business buys a range of
feedstocks for input into our manufacturing units, the majority of which have been built and operate utilising our
proprietary technology.
Our strategy is to leverage our industry-leading technology in the markets in which we choose to participate, to
grow the business and to deliver industry-leading returns. New investments are targeted principally in the
higher-growth Asian markets. We both own and operate assets, and have also invested in a number of joint
ventures in Asia, where our partners are leading companies within their domestic market.
Product lines
We manufacture and market four main product lines:
 Purified terephthalic acid (PTA)
o PTA is a raw material used in the manufacture of polyesters used in fibres, textiles and film,
and polyethylene terephthalate (PET) bottles
 Paraxylene (PX)
o PX is the feedstock for PTA production. The feedstock for PX is primarily reformate, the
product of the catalytic reforming of naphtha
 Acetic acid
o Acetic acid is a versatile intermediate chemical used in a variety of products such as paints,
adhesives and solvents, as well as in the production of PTA
 Olefins and derivatives (O&D)
o In O&D we crack naphtha to produce ethylene and other products and derivatives. Our O&D
business is focused on serving the Chinese market through SECCO, our joint venture with
Sinopec
We also produce a number of other speciality petrochemicals products. Our products are sold to customers in
more than 40 countries.
Technology and licensing
Our proprietary processing technologies are continuously developed and deployed to reduce the manufacturing
costs and environmental impact of our plants, helping to maintain our competitive advantage in PTA, PX and
acetic acid production. In 2012, we started licensing our latest generation aromatics technology to non-affiliated
third parties; firstly PTA technology to JBF Petrochemicals, and secondly PX technology to Reliance through
our exclusive licensor, CB&I Lummus, both in India. In 2013, we licensed our PX technology to GS Caltex in
Korea through CB& I Lummus.
Financials and capacity
In 2012, 14.7 million tonnes of petrochemicals were produced. BP’s total share of Petrochemicals production
capacity (at 31 December 2012) was 18.4 million tonnes per annum.
Petrochemicals production capacities summary
(000 tonnes per year)
By geographical area
PTA
PX
Acetic acid
2,300
2,400
600
US
O&D
-
Other
100
Total
5,400
1
November 2013
Europe
Rest of World
Total BP share of
capacity (at 31
December 2012)
1,300
3,500
7,100
700
3,100
500
1,400
2,500
1,800*
3,300
5,100
300
200
600
4,600
8,400
18,400
*Due to the integrated nature of these plants with our Gelsenkirchen refinery, the income and expenditure of these plants is
managed and reported through the fuels business.
Financial and operating performance
Replacement cost profit before interest and
tax
Petrochemicals
$ million
2012
166
2011
1,120
2010
1, 232
For further information please contact Robert Wine, BP Group Press Officer
T: +44 (0)20 7496 4076
E: [email protected]
2