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Business & Industry
Katy Area Economic Development Council
News Release
Monday, October 02, 2017

CNPC USA set to open R&D facility in Katy area

CNPC USA Corporation, a subsidiary of China National Petroleum Corporation (CNPC), will open a technology and innovation center in Katy, Texas.  The facility, on Katy’s east side, is to be located on Merchant’s Way in the Ten West Crossing Business Park.

CNPC is an integrated international energy company headquartered in Beijing, China with oil and gas assets and interests in 38 countries and operations in 75 countries including Africa, Central Asia-Russia, North America, South America, the Middle East, Asia-Pacific and other regions.  Its subsidiary, CNPC USA Corporation, was founded four years ago to serve as a bridge between North America and CNPC worldwide operations.

The facility will focus on research and development of drilling fluids, stimulation fluids, drilling technology, completions products, high temperature and high-pressure testing, production assembly, materials research, electronics development and assembly, inventory management and quality control.

Initially, the R&D center is expected to have 20-25 employees with roles such as engineers, chemists, technicians, managerial and administrative positions.  The workforce is expected to be expanded in the future.  Total investment for the project will be roughly $12-15 million over the next 10 years.

“The new technology and innovation center in Katy continues CNPC USA’s investment into the local oil and gas industry, creating jobs and supporting the Houston economy," said Gordon Zhang, CEO CNPC USA.  “Our aim is to set the standard for excellence in our industry by inventing, testing and applying transformative technology to improve the entire span of exploration and production operations with particular focus on Ultra-Conditions and Unconventional resources.”

Rosenberger Construction, LLC worked with CNPC USA to complete Phase I of the project, a 34,864 square foot single story building which includes 8,600 SF of office space and 19,464 SF air conditioned crane served manufacturing space. Brewer Construction Services, LLC (Brewer) is working with CNPC USA to complete Phase 2 of the project which includes the build-out of a new 5,400 SF chemical laboratory to support fracturing/drilling, synthesis, and analytics, as well as additional support space.

“Construction is expected to be completed in the third quarter of 2017,” said Dale Jones CNPC USA Manufacturing Manager “Once completed, the facility will provide state-of-the-art mechanical, electrical, gas piping , data utilities, and a safe work environment for laboratory personnel. The building design will maximize work flow and improve the efficiency of daily operations.”

Ten West Crossing is owned by EastGroup Properties with Katy area resident Kevin Sager serving as market officer.  InSite Realty represented EastGroup in leasing negotiations and Steven Hazel, a Katy area resident, with InSite Realty represented CNPC USA.  Rosenberger Construction and Brewer Construction are both headquartered in the Katy area.

“We are excited to welcome CPNC USA to the Katy area, particularly as Research and Development serves as one of our target market industries in our new strategic plan,” noted Woody Mann, Jr., Chairman of the Katy Area Economic Development Council.

Construction of the CPNC USA facility signifies further growth in Ten West Crossing.  In June, 3rd Eye Corporation, a state-of-the-art mobile and facility vision technology company, located to Ten West Crossing.

For more information on Katy Area EDC, please visit
katyedc.org.



GRCC
Remembering Jim Guidry Bay Area Houston Economic Partnership


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