Preliminary review of the feasibility study report for the 700,000-ton coal-to-olefins project in China and Saudi Arabia

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This post was last edited by liaifeng on 2018-9-2 at 15:25. Author/Source of the preliminary feasibility study report for the 700,000-ton/year coal-to-olefins project in Saudi Arabia: Date: 2017-03-20. Views: 41. From March 13th to 14th, Shenning Coal Industry Group and Saudi Basic Industries Corporation held a meeting to review the preliminary draft of the feasibility study report for this new material demonstration project involving coal-to-olefins production on a scale of 700,000 tons per year. Relevant officials from Shenning Coal Industry Group and Atiah Al-Ghamdi, the technical management director at Saudi Basic Industries Corporation, attended the meeting, during which both parties offered their suggestions and opinions regarding the construction of the project. The project design unit and the relevant departments of the Ningxia Hui Autonomous Region made statements, expressing their commitment to doing everything possible to ensure the project’s implementation. The review team believes that, under the guidance of the **Belt and Road Initiative**, Shenning Coal Industry Group and Saudi Basic Industries Corporation can complement each other’s strengths to achieve mutual benefit. By leveraging the advantages of coal resources in Ningdong, they can collaborate on the development of internationally leading projects for producing coal-based olefin materials, thereby manufacturing high-end, differentiated olefin products with high added value – something that will help improve the economic efficiency and market competitiveness of these enterprises. The project is in line with policies such as the Belt and Road Initiative, China-Arab Cooperation, and the development of the western region, as well as with the overall plan and industrial plans for the Ningdong base. The final review panel concluded that the feasibility study report generally meets the requirements for preparing such studies; the project’s process technology plan is reasonable, and the technical choices for key process equipment are advanced, mature, and reliable. The supporting infrastructure, project scale, product design, and investment levels are all reasonably sound. After making the adjustments suggested by the review panel, this document can serve as a basis for carrying out the preliminary preparations for the project and for obtaining project approval. The joint venture project between Shenhua Ningxia Coal and Saudi Basic Industries Corporation to produce 700,000 tons per year of coal-derived olefin materials as a demonstration project is located in Area A of the coal chemical industry zone in the Ningdong Energy and Chemical Industry Base in Ningxia. The project covers an area of approximately 234 hectares, with a total investment of over 20 billion yuan. Using coal as raw material, this project employs dry coal powder gasification technology, and goes through processes such as gasification, methanol synthesis, methanol to olefins conversion, propylene polymerization, and ethylene polymerization. The annual production capacity for coal-based olefin products exceeds 700,000 tons, including 200,000 tons per year of LDPE (low-density polyethylene), 100,000 tons per year of EVA (ethylene-vinyl acetate copolymer), 50,000 tons per year of UHMWPE (ultra-high molecular weight polyethylene), and 380,000 tons per year of PP-ICP/RCP (polypropylene). Supporting facilities such as storage and transportation systems, utility systems, auxiliary systems, and environmental protection systems are also in place. On March 16, representatives of China and Saudi Arabia signed bilateral cooperation documents in various fields such as economy and trade, energy, production capacity, and technology, with a total project value of 65 billion US dollars. Among them, Sinopec and Saudi Basic Industries Corporation will seek to develop petrochemical projects in China and Saudi Arabia through joint ventures, with the products of these projects targeting key downstream markets such as automotive, electronics, lighting, construction and building, packaging, and medical devices. In addition, the two sides will also explore further increasing investment in their joint venture, Saha (Tianjin) Petrochemical Co., Ltd.