Sinopec-affiliated Jingmen Petrochemical in China has started up a new 600,000-ton-per-year naphthenic specialty oil hydrocracking unit, raising its total specialty oil production capacity to 1.4 million tons per year and completing a million-ton-class production base, it is reported.
The newly commissioned unit is a hydrocracking facility producing naphthenic specialty oils used as feedstock for transformer oil, white oil and similar products, with an annual capacity of 600,000 tons. The site covers 138 mu (about 9.2 hectares), and construction reportedly began in September 2025. With this unit online, Jingmen Petrochemical’s total naphthenic specialty oil capacity has reached 1.4 million tons per year, giving the site a million-ton-class production system. The specific licensor of the hydrocracking technology has not been disclosed.
Naphthenic specialty oils serve as feedstock for high-value-added fine chemical products such as transformer oil and white oil, and represent a specialty segment with relatively limited production capacity even within China. This expansion reportedly strengthens Jingmen Petrochemical’s position as one of China’s largest production hubs in this segment.
Key items to watch include the stabilization of commercial operations at the new unit and future trends in naphthenic specialty oil supply, demand and pricing.