Sinopec Engineering Group Co Ltd, owned by Asia's largest refiner Sinopec Group, signed an agreement with ExxonMobil Research and Engineering Company on Monday to jointly develop methanol to gasoline technology.

EREC is US energy giant Exxon Mobil Corp's global fuels and lubricants research and development team.

The two sides are developing the technology under the cooperative development agreement with the intent to globally license it.

The agreement will leverage the two companies' expertise and experience in methanol conversion to gasoline to refine and commercialize a fluid bed version of the technology.

"Our goal is to develop a solution that will cost significantly less to construct and operate," said Xiao Xuejun, director of the technical department of SEG.

According to the company, pilot facilities have been constructed at SEG's research facilities in Luoyang, Henan province.