According to the local authorities at Zhanjiang in China's Guangdong Province, a number of financial institutions including China Everbright Bank, Bank of Communications, China Merchants Bank, Bank of East Asia and Jiangsu Jiangdu Rural Commercial Bank are busy establishing branches in Zhanjiang due to the new oil refining and steel projects in the area.
The steel project in question is being built with an investment of RMB 63.5 billion ($9.7 billion) and is expected to produce 9.20 million mt of pig iron, 10 million mt of crude steel and 9.43 million mt of finished steel per year. After the project becomes operational, it will bring in over RMB 53 billion ($8.1 billion) in sales revenue per year. Meanwhile, the oil refining project of Sinopec and Kuwait Petroleum costs an estimated investment of RMB 59.013 billion ($9.10 billion) and is expected to produce 15 million mt of crude oil and one million mt of ethylene per year.