German chemicals producer BASF has set up a joint venture (JV) with Chinese wind turbine maker Mingyang to develop, build and operate a 500MW offshore wind farm in south China.
The Mingyang BASF New Energy (Zhanjiang) facility will be the first Sino-German offshore wind farm project and is located off the coast in the Zhanjiang municipality in Guangdong province.
Mingyang will own a 90% interest in the JV while the remaining 10% stake will be held by BASF.
The offshore wind farm will power its Verbund site in Zhanjiang.
Announced in July 2018, the project commenced in November 2019. The facility will produce one million metric tonnes of ethylene per year.
By 2030, BASF aims to invest €10bn ($11.09bn) in the project. It will become the company’s third-largest site in the world after Ludwigshafen, Germany, and Antwerp, Belgium.
Subject to approval from Chinese authorities, the wind farm is expected to begin operations in 2025.
BASF board of executive directors chairman Martin Brudermüller stated: “BASF wants to achieve net-zero carbon emissions by 2050 globally. This offshore wind farm in Zhanjiang clearly demonstrates BASF’s commitment to achieving its climate goals and is a lighthouse project on BASF’s pathway to net zero.
“Furthermore, the project will contribute to China’s green transformation in the chemical industry and to the country’s carbon reduction ambition.”
Mingyang Group board chairman and founder Zhang Chuanwei stated: “As a partner of BASF, Mingyang will provide its expertise in clean energy equipment and solutions to help create more green lighthouse projects, promote sustainable development in the chemical industry and accelerate eco-friendly, green and low-carbon development.”
