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Ningdong Base: 165 construction projects have been planned for this year, with a total investment of 219 billion yuan! Author/Source: Modern Coal Chemical Industry Date: 2020-08-09 Clicks: 13 Ningdong Base: 165 construction projects planned this year, with a total investment of 219 billion yuan! Modern Coal Chemical Industry 3 days ago In August in the northern regions, vitality abounds everywhere. Entering the production workshops of enterprises and construction sites at the Ningdong base, one sees a scene of intense activity everywhere. Since the beginning of this year, the Ningdong base has coordinated the efforts to carry out regular epidemic prevention and control measures as well as various tasks related to economic development. It has firmly implemented the decisions and arrangements put forward by the Party Committee of Ningxia Autonomous Region and **, worked diligently to ensure stability in six key areas, made every effort to promote resumption of work and production, taken multiple measures to advance project construction, and done its utmost to stabilize economic development. The main economic indicators showed steady growth in the second quarter, laying a solid foundation for achieving the annual targets of a 10% increase in fixed asset investment, a 12% increase in industrial added value, and a 10% increase in general public budget revenue. WeChat Image_20200806111121.jpg Projects contribute to achieving the goals of stability and security in six areas. In recent years, the Ningdong industrial base has accelerated the transformation and upgrading of its industries, as well as the shift from old to new forms of productivity. It focuses on leveraging major projects, fostering industrial clusters, promoting technological innovation, protecting the ecological environment, and providing efficient management services. Efforts are made to improve the quality and efficiency of modern coal chemical and coal-to-oil production processes. Attention is also paid to ensuring a rational layout and steady development of industries related to new materials, clean energy, and high-end electronic chemicals. By streamlining all aspects of coal chemical production, distribution, circulation, and consumption, the region aims to drive industrial development in the directions of higher sophistication, greener practices, greater intelligence, and greater integration, thereby achieving both reasonable growth in volume and steady improvements in quality. In the first half of this year, the Ningdong base achieved a regional GDP of 19.03 billion yuan, representing a year-on-year increase of 1.6%, which was 3.7 percentage points higher than in the first quarter ； The added value of industrial enterprises above designated size increased by 2.5%, up 2.8 percentage points from the first quarter. A total of 165 construction projects were planned for the whole year, with a total investment of 219 billion yuan; the annual planned investment amounted to 25.5 billion yuan. Of these, 88 were new projects, 65 were ongoing projects, and 12 were projects related to renovation and upgrading. By the end of July, the rate of project commencement and resumption had reached 90%, resulting in a significant enhancement of the clustering effect within industrial clusters. 2.4 billion yuan in various taxes and fees were reduced or waived ； The proportion of days with good environmental air quality reached 83.5%, and surface water remained in Class II quality ； The achievements in routine COVID-19 prevention and control have been continuously strengthened, earning the recognition as an advanced collective in COVID-19 prevention and control within the national petrochemical industry. Baofeng Group.jpg Entering the 14,000-mu Baofeng Energy Circular Economy Industrial Base, the company’s integrated high-end coal-based new material circular economy industry cluster, which uses coal as raw material, ranks among the top in China. According to the interim results report for the first half of 2020, the company’s total operating revenue was 7.52 billion yuan. The circular economy industry chain makes full use of coal in an efficient and clean manner, using it to produce nearly a hundred high-end chemical products as a substitute for oil; its comprehensive indicators regarding energy consumption and environmental protection are at the leading level in China. Liu Yuanguan, president of Ningxia Baofeng Energy Group, explained that in order to continuously enhance the advantages of its circular integrated industry, advance the modern coal chemical industry toward higher levels of development, and achieve high-quality growth, Baofeng Energy invested 15.3 billion yuan in August 2017 to build a project for producing 600,000 tons per year of olefins through coke gasification. This project consists of two main components: a preceding stage for producing 2.2 million tons per year of methanol via coke gasification, and a subsequent stage for producing 600,000 tons per year of polyolefins from methanol. In October 2019, the downstream methanol-based 600,000 tons/year olefins plant began producing qualified products ； In May 2020, the methanol plant capable of producing 2.2 million tons per year from coke gasification was successfully commissioned after a single trial run. Baofeng Coke Gasification for Olefin Production Project.jpg Under the guidance of Zhan Shijie, deputy head of the Environmental Protection Department at Baofeng Energy’s Methanol Plant No. 2, the reporters gained a deeper understanding of the details regarding the project to produce 600,000 tons of olefins per year through coke gasification; this project is also one of those funded by Baofeng Energy. As he walked, he explained: \"The technology, processes, and equipment used in this project are all first-class, with a high degree of localization. The gasification technology employed in the methanol production facility uses the aerospace Changzheng pressure-fed gasification process for coal, achieving a carbon conversion rate of 99%\" ； The methanol-to-olefins plant utilizes the DMTO patent technology with independent domestic intellectual property rights ； The olefin separation, polyethylene, and polypropylene plants all employ the world’s best process technologies available today. The oxygen production capacity of a single methanol air separation unit is 105,000 cubic meters per hour, making it the largest domestic air separation unit of its kind ； The methanol synthesis tower with an annual production capacity of 2.2 million tons is also among the top facilities in the world today. The facilities of the projects funded by this investment have the capability to produce high-end products such as bimodal polyethylene and metallocene polyethylene; once these products are put into production, they will effectively serve as substitutes for imported ones. At the same time, the company will also further advance the implementation of its strategic plans aimed at achieving higher quality and differentiation. The flue gas from the power boilers used in this project is discharged at ultra-clean levels; the treatment of VOCs and unpleasant odors is highly effective. Industrial wastewater is treated to achieve ‘zero discharge’, and solid waste is recycled or managed ecologically, thereby improving the regional ecological environment. ” DJI_0039.00_02_36_23. Static_006.jpg Chain extension, chain supplementation, chain integration, and chain construction. The Ningdong facility always adheres to the principle that \"projects are of top priority,\" implements a strategy focused on major projects, and boosts targeted and effective investment. “This year, our focus is to include these projects among the 83 major construction projects and 21 key construction projects at the autonomous region level, so as to ensure that investment amounts to over 20 billion yuan for the whole year and to meet the target of a 10% increase in investment. Strengthen the stability of industrial and supply chains, fully implement policies to reduce taxes and fees in order to lower the costs for the real economy. Focus on advancing 40 projects that are set to go into operation, aiming to achieve an additional industrial output value of over 10 billion yuan, thereby creating new drivers of economic growth. Carefully plan the major projects for the 14th Five-Year Plan, focusing on 75 industrial projects with a total investment of 150 billion yuan, and strive for an average annual investment increase of over 10% over the next three years. ”Tian Yanhu, deputy director of the Economic Development Bureau of the Ningdong Base Management Committee, said with confidence. The Ningdong base has always built on its advantages in terms of industrial infrastructure. Especially since 2015, it has focused on extending the industrial chain, fostering industrial clusters, and improving quality and efficiency. It has worked to connect individual elements into a coherent network and expand these networks into larger clusters. Within the context of the coal-to-oil industry, it has implemented projects aimed at increasing the value of by-products and carrying out advanced processing of Fischer-Tropsch wax, thereby elevating the level of development of this industry and enhancing its economic benefits ； Focusing on the coal-based olefins industry, projects such as tert-carbonic acid, acrylic acid, n-isobutyraldehyde, and neopentyl glycol are implemented to extend the industrial chain and enhance the added value and competitiveness of products ； Focusing on the coke industry, projects such as coke gasification for olefin production, advanced processing of coal tar, and comprehensive utilization of light hydrocarbons are implemented to drive the transformation of traditional coal chemical industries into modern ones ； Focusing on the coal-based cogeneration industry, projects such as spandex, acetic anhydride, and **furan are carried out to drive the transformation of coal chemical industry into a new materials industry ； Focusing on major basic raw materials such as methanol and synthetic ammonia, projects related to polymer additives, electronic chemicals, pharmaceutical intermediates, pesticide intermediates, high-end dyes, and fragrances are carried out to achieve deeper processing of coal chemical products. The products are sold in kilograms rather than tons, resulting in price increases of dozens or even hundreds of times. Through project development, technological innovation, and industrial clustering, a modern industrial system characterized by horizontal integration, vertical expansion, and diversified development has been essentially established. CC2A0899.00_00_03_12. Static_001.jpg Ningxia Kunpeng Clean Energy Co., Ltd. is the only enterprise in our region that produces ethylene glycol from coal. Last year, it invested 5.8 billion yuan to build a facility capable of producing 400,000 tons of ethylene glycol as well as 3×480 tons per hour of power generation capacity. This facility plays an important role in completing and enhancing the coal chemical industry chain in the Ningdong area by helping to supplement, strengthen, and extend this chain. This project plays an important role in promoting the clean and efficient use of coal, as well as in driving the development of China’s modern coal chemical industry ； It is of great significance for filling the gap in the modern coal chemical industry at the Ningdong base, accelerating the transformation and upgrading of this industry, fostering the development of industrial clusters, and creating a first-class **-level modern coal chemical base in China. Huang Bin, the general manager of the company, explained that the 400,000-ton ethylene glycol production project uses coal as raw material. It relies on two air separation units to supply oxygen and nitrogen for downstream processes. Syngas is produced using the \"Shenning furnace\" dry coal powder gasification technology, while isothermal shift and low-temperature methanol washing techniques are employed to adjust the hydrogen-to-carbon ratio and purify the gas. High-purity carbon monoxide is obtained through deep cryogenic separation technology. The ethylene glycol synthesis and separation technologies used are those provided by Japanese company Takahashi Kogyo, representing the most advanced production technologies available both domestically and internationally at present. Construction of the project began in March 2019; the first phase with a production capacity of 200,000 tons is scheduled to be completed and put into operation in August 2021, while the second phase with another 200,000 tons of production capacity is planned to be completed and operational by August 2023 ； Construction on the power island project began in March 2020, with completion and commissioning scheduled for March 2021. Once the project is completed and put into operation, it will generate an additional annual sales revenue of 3.2 billion yuan. DJI_0039.00_01_55_20. At rest 005. jpg Introducing major and high-quality projects The Ningdong facility has, at various stages of its development, focused on bringing in large enterprises and groups to work together on major and high-quality projects. Before 2010, emphasis was placed on leveraging the role of coal resources in allocation; enterprises investing in coal chemical projects were provided with a certain amount of coal resources. A number of large-scale companies such as Guoneng Ningmei, Sinopec, Guodian Investment, Lutianhua, and Baofeng were brought in, and various coal chemical projects were implemented, including those for producing methanol from coal, olefins from coal, multiple products from coal, fertilizers from coal, and coal coking. The world’s first DC transmission project with a voltage level of ±660 kV was also built during this period. Before 2015, with an emphasis on the role of electricity resource allocation, the autonomous region entered into new rounds of strategic cooperation agreements with central state-owned enterprises such as the former Shenhua, former State Power Investment Corporation, and Chalco. It also brought in Zhejiang Energy Group and carried out a number of major projects, including coal-to-oil conversion projects and the Ningdong-Zhejiang ±800 kV ultra-high voltage direct current transmission project. Since 2016, by leveraging advantages such as basic raw materials, factor costs, and the business environment, the region has attracted leading enterprises in the industry as well as key private companies such as Taihe, Baosheng, BaiChuan, Baoli, and Suli. A total of 158 projects with an investment amount of 184.6 billion yuan have been carried out; it is expected that once these projects are completed and put into operation, they will help create another industrial economy of similar scale to that of Ningdong. DJI_0039.00_00_52_20.Still_004.jpg The Ningdong Industrial Park for Taihe New Materials, covering an area of about 600 mu, began construction in 2017. It currently has three subsidiaries: Ningxia Ningdong Taihe New Materials Co., Ltd., Ningxia Taihe Aramid Fiber Co., Ltd., and Ningxia Taipulong Advanced Manufacturing Co., Ltd. Ningxia Ningdong Taihe New Materials Co., Ltd. is mainly engaged in the research, development, and production of differentiated spandex and chemical fiber products. It currently has a production capacity of 30,000 tons per year of environmentally friendly differentiated spandex, and its products can meet the new market demands in fields such as textiles and clothing, automotive interiors, and healthcare. Ningxia Taihe Aramid Fiber Co., Ltd. is primarily engaged in the research and development as well as production of aramid-based products. These products are used in fields such as information technology, safety protection, and the automotive industry, and the company currently has a production capacity of 3,000 tons of aramid products per year. The high-performance para-aramid fiber project commenced in August 2018; the main building was completed by the end of July 2019. Equipment installation started in August 2019, trial operation with feedstock began on June 6, 2020, and full operational capacity was achieved on June 14, with the first complete roll of product produced. The facility is now fully operational. Once the project is fully completed, it is expected to generate an additional output value of 600 million yuan per year and create 200 new job opportunities. CC2A0899.00_00_21_35. Static_004.jpg Hou Chunlei, the assistant general manager of the company, explained that the industrial park is planned to have a total investment of 6 billion yuan; it will focus on the development of projects related to spandex and para-aramid, with the aim of creating a high-end industrial cluster that includes differentiated spandex and para-aramid products as well as the basic materials needed for their production. The completion of this industrial park plays a vital role in promoting the transformation and upgrading of industries in Ningxia, filling the gap in high-performance fiber materials, and fostering the development of new industries. It is also of great significance for enhancing China’s capacity to supply high-end equipment, accelerating the development of the new materials industry, and improving technical standards as well as core competitiveness. As good and large-scale projects are introduced and implemented, various policies and services must also be provided in parallel. In recent years, the Ningdong base has been intensifying its efforts in reform and opening up, advancing the \"delegation of power, streamlining administration, and improvement of services\" reforms in depth. It has focused on implementing reforms such as separating licensing from other administrative procedures, streamlining the approval process for construction projects, and handling matters in a single step. New models and systems such as \"one-stop service at a single window\" have been introduced, and a unified platform for government services has been established to effectively improve the business environment. We will thoroughly implement the \"go out and bring in\" strategy, focusing on addressing the weaknesses in industrial development as well as on industries that require priority development. We will carry out targeted activities such as investment promotion along the industrial chain and attracting investments through existing businesses, with the aim of introducing another batch of high-quality industrial projects within this year. The person in charge of the Ningdong Base Management Committee said that although there are currently huge difficulties and challenges, the development goals set at the beginning of the year remain unchanged. This year, efforts will be intensified to attract investment and accelerate project construction, so as to achieve full production and efficiency as soon as possible and create new productive forces. Continuing to uphold the service spirit of a dedicated attendant, we will develop three areas of service – production, daily life, and financial services – to provide comprehensive support to enterprises, ensuring that their investments in Ningdong are profitable and that their projects generate income.