BASF India : signed a 25-year agreement with GEDI to purchase renewable electricity for its Zhanjiang Verbund site

• The agreement concludes the needed deals enabling the 100% renewable electricity supply for the BASF Zhanjiang Verbund site
• Another concrete step towards building BASF Zhanjiang Verbund site as a lighthouse project of sustainable development

Zhanjiang, China - On April 11, 2024, BASF signed a 25-year power purchase agreement (PPA) with China Energy Engineering Group Guangdong Electric Power Design Institute Co., Ltd. (GEDI) to purchase renewable electricity for its Zhanjiang Verbund site. The PPA is a further step in the renewable energy partnership between BASF and GEDI following the Letter of Intent (LOI) signed in September 2023.

This agreement marks another important milestone for BASF to successfully conclude the needed deals enabling the 100% renewable electricity supply for the Zhanjiang Verbund site. It is also another successful Sino-German low-carbon initiative following the Letter of Intent (LOI) signed by BASF and China National Development and Reform Commission (NDRC) in June 2023.

"BASF is committed to achieving net zero carbon emissions by 2050 globally. The long-term partnership with GEDI represents another concrete step towards our ambitious climate targets," said Marko Murtonen, Senior Vice President, New Verbund Site China, BASF & General Manager, BASF Integrated Site (Guangdong) Co. Ltd. "We are dedicated to building our Zhanjiang Verbund site as a lighthouse project for low carbon and sustainable development in the global chemical industry. Together with GEDI, we will have a great opportunity to foster more low carbon initiatives and renewable energy projects to further contribute to Guangdong's 'new quality productive force'."

Alongside the PPA, BASF and GEDI are also exploring further collaboration in the low carbon sector.

Background information on BASF's new Verbund site in Zhanjiang

The Zhanjiang Verbund site will be BASF's largest investment to date with around €10 billion upon completion. It will be operated under the sole responsibility of BASF and will be the company's third-largest Verbund site worldwide, following Ludwigshafen, Germany, and Antwerp, Belgium.