This new Complex forms part of Repsol YPF's strategy for chemicals, which pursues a balanced growth in businesses of high added value and with key competitive advantages, such as state of the art technology, marketing with relatively high and stable margins of products derived from propylene oxide, and the total integration of production processes, from exploration and production to the manufacturing of raw materials for the polyurethane industry.

The location of the Complex within the Repsol YPF facilities in the municipalities of Perafort, El Morell and La Pobla de Mafumet permits the utilisation of infrastructures that are already available, taking advantage of important synergies with existing installations. The plant's strategic location in an area (southern Europe) where facilities of this type are few, provides a logistical advantage to supply developing markets in the Mediterranean area, and will permit the tripling of Repsol YPF's annual production, for both propylene oxide as well as polyol and glycol derivatives, positioning the company as the largest producer in the Mediterranean area and one of the four largest in Europe.

The manufacture of propylene oxide is highly specialised. There are currently two production technologies. One is a conventional technology producing only propylene oxide and causing considerable environmental problems. The other is more competitive and advanced, obtaining propylene oxide and styrene, and for this reason the process is called "co-production". The second of these is the process already on stream at Puertollano, and now at the new Tarragona complex. In fact, Repsol YPF is only one of three companies in the world to develop and own co-production technology in this field.

Nominal capacity for the new plants is 150,000 tonnes per year of propylene oxide, and 340,000 tonnes per year of styrene. The complex also includes production units for polyols and glycols, with a capacity of 130,000 and 50,000 tonnes per year respectively, and a cogeneration plant for electricity and steam producing 91 MW. The auxiliary units include a waste-water treatment plant with a 90 m3 per hour capacity, and the most advanced technology available to date.

The overall project design has followed the basic principles of greatest respect for the environment, and complies strictly with all European Community, national and local regulations, apart from those specifically stipulated by Repsol itself, with regard to environment and safety. Products from the plant will be of a higher quality than that demanded by the strictest market specifications, and there will be maximum energy integration. The Central Engineering Office of Repsol YPF has been responsible for the Integral Management of the project and also for the development of the basic engineering, jointly with the Repsol YPF Technological Centre.

The project has been developed in two phases: a first of relocation of existing facilities and the realisation of geo-technical studies, and grading and preparation of the sites, and a second phase of construction and installation of the plants that make up the production complex, which has been completed in a record time of 29 months, substantially less than the 35 months taken as an average in similar projects. Total investments have been more than 85 billion pesetas, 7 billion of which have been spent to fulfil the aforementioned environmental and safety specifications. More than one thousand people will be employed directly of indirectly by the new complex.

In conclusion, this project can be classified as emblematic, positioning Repsol YPF in the vanguard of industrial technology., when considered in terms of its dimensions, complexity, high investment, application of in-house technology, and aggressive program of execution and integration of new and existing units,