The Russian government has approved participation of China's Sinopec company in a large-scale petrochemical project, the government said in a statement on Tuesday, in line with Moscow's plans to forge closer ties with Beijing.
Russia's privately held Sibur petrochemical company wants to build one of the world's largest polymer-producing plants in the country's far east, targeting the Chinese and broader Asian markets.
The Amur Gas Chemical Complex, with investments of up to $11 billion, is set to start producing 2.3 million tonnes of polyethylene and 400,000 tonnes of polypropylene per year beginning in 2024-2025.
Sinopec is set to take a 40% stake in the complex.
Sibur has said it could turn to Russia's National Wealth Fund to help finance the project.
Chinese companies have been actively participating in Russia's projects, including in production of oil and gas, amid Moscow's pivot to Asia in times of strained relations with the West over number of issues such as Ukrainian crisis.
