Expansion of Juhai Branch of Cangzhou Dahua Co., Ltd.’s plant for the production of 300,000 tons per year of ion-exchange membrane caustic soda

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The 25th National “Safety Production Month” in 2026: Everyone Talks About Safety, Everyone Knows How to Respond to Emergencies – Identifying and Rectifying Risks and Hazards -------------------------------------------------- I. Basic Information on the Project Project Name: Expansion of Cangzhou Dahuahua Co., Ltd. Juhai Branch’s production capacity for ion-exchange membrane caustic soda to 300,000 tons per year Location: North side of Junyan Road, East Area of Lingang Chemical Industrial Park, Cangzhou City, Hebei Province (within the existing premises of the Juhai Branch) Approval and Registration: Registered with the Hebei Provincial Development and Reform Commission on November 27, 2025 (Registration No.: Ji Fa Gai Zheng Wu Zi [2025] 297); Code: 2511-130000-04-01-579255 Nature of the Project: Expansion and renovation (expanding upon the existing 160,000 tons per year ion-exchange membrane caustic soda production facility) Scale of Construction: Addition of another 300,000 tons per year of ion-exchange membrane caustic soda (on a percentage basis), along with supporting systems for chlorine, hydrogen, and other utilities Total Investment: Approximately 4.5 billion yuan (based on estimates for similar facilities) Construction Timeline: Planning to start construction in the second quarter of 2026, with completion and operation expected in the fourth quarter of 2027 Process Technology: Advanced ion-exchange membrane electrolysis technology, featuring low energy consumption, high product purity, and good environmental performance II. Tendering and Procurement Status (as of June 15, 2026) Tendering for Key Equipment: Purchase of ion-exchange membrane units was completed in December 2025, with Lanxing (Beijing) Chemical Machinery winning the bid； Tenders have been issued successively for electrolyzers, rectifiers, saltwater purification equipment, etc. EPC general contracting: The tender for EPC general contracting has been launched; the tender documents have been prepared, with the bid opening expected in July 2026. Procurement of supporting materials: Tendering processes have been carried out for flanges, pipe fittings, cables, instruments, etc., and multiple local and domestic companies have won the bids. III. Construction progress (as of June 15, 2026): Preliminary preparations: Site leveling and geological surveys have been completed ； Environmental impact assessments, safety assessments, and energy assessments have been approved. Civil construction: Work has not yet begun officially; temporary structures are being erected and construction access roads are being laid, in anticipation of the arrival of the EPC general contractor. Equipment customization: Long-term-use equipment (ion exchange membranes, electrolyzers) has been ordered for production, with delivery expected in the first quarter of 2027. IV. Project significance: Improvement of the industrial chain – Caustic soda is a key raw material for TDI and polycarbonate (PC). After the expansion, the total production capacity will reach 460,000 tons per year, enabling self-sufficiency in raw materials, reducing procurement costs, and ensuring the stable operation of downstream TDI and PC production projects. Enhancing market competitiveness: By leveraging its location near ports and its advantages in port logistics, the company aims to increase the volume of liquid caustic soda, chlorine, and hydrogen sold externally, thereby solidifying its leading position in the North China market and contributing to an increase in the company’s revenue and profits. Green and low-carbon upgrading: By employing an energy-efficient ion membrane process, the energy consumption per unit of output is reduced by about 30% compared to the traditional diaphragm method. Combined with the comprehensive utilization of hydrogen chloride, this approach helps reduce carbon emissions, meeting the requirements of the \"dual carbon\" policy. Boost to the local economy: Once the project is operational, it will generate an annual additional output value of around 3 billion yuan, fostering employment and the development of related industries, and helping to build a high-end chemical industry cluster in Cangzhou’s port-based chemical park.