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**Five coal chemical industry bases with a value of 100 billion each: Energy, Shaanxi Coal Industry, Yanchang Petroleum, Jiangsu Hengli, and Yulin Energy (CAS)

2021-03-04View Original

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Over the past five years, the Yushen Industrial Zone has seen project plans with an investment scale of over 600 billion yuan implemented by various investors. The total investment in projects that have already begun construction amounts to 60 billion yuan, and the land used for these projects covers more than 10 square kilometers. Both the scale and speed of construction have reached new heights. This zone has developed into a industrial cluster worth hundreds of billions of yuan, with world-class companies such as **Energy Group and Shaanxi Coal Group acting as the main investors, and cutting-edge modern coal chemical industry technologies serving as the driving force behind its development. It is now one of the most specialized parks in China and even in the world in terms of the concentration of modern coal chemical industry activities. The five key industrial projects that are to be prioritized include ones with a total investment of 108 billion yuan; these projects are mainly focused on the production of polyolefins, methanol, ethylene glycol, as well as new coal-based biodegradable materials. Once completed and put into operation, this project will be able to convert 13 million tons of coal per year into usable resources, thereby establishing a production facility for coal-based biodegradable modified plastics with an annual capacity of 2 million tons. Yulin Chemical is carrying out the construction of a demonstration project for the production of new chemical materials through the differentiated utilization of coal in the Qingshui Industrial Park of the Yushen Industrial Zone. As the largest coal chemical project under construction globally at present, this project covers an area of approximately 13 square kilometers. The total planned investment is 126.2 billion yuan, and it will be able to process over 24 million tons of coal each year. The project is constructed in two phases and four stages, comprising a total of 27 process units along with associated utility systems. These mainly include the medium- and low-temperature pyrolysis of 15 million tons of coal, the production of 5.6 million tons of methanol, 1.8 million tons of ethylene glycol, 2 million tons of MTO, as well as downstream products derived from these intermediates. The first phase of the project requires an investment of around 70 billion yuan; it will involve the construction of facilities for producing 1.8 million tons per year of ethylene glycol, 5.6 million tons per year of methanol, and 2 million tons per year of olefins, as well as a large volume of fine chemical products derived from these olefins. Phase 1, stage 2 involves the construction of a facility capable of producing 5.6 million tons per year of methanol and 2 million tons per year of olefins, along with related processing units; completion is scheduled by the end of 2023. The 1.8 million tons per year ethylene glycol production facility is part of the first phase of this project; it is also the largest coal-based ethylene glycol production plant under construction worldwide. The estimated investment for this facility is 26.5 billion yuan. The project utilizes Collin’s patented dry powder gasification technology and Japan’s patented technology for producing ethylene glycol from syngas. Shaanxi Coal Group Yulin Chemical Co., Ltd. and Nippon Kako Kagaku Co., Ltd. jointly invested in establishing Shanxi Coal Group Yulin Chemical Yugao Chemical Co., Ltd. to build and operate facilities for the production of oxalate esters as well as for the hydrogenation of oxalate esters to produce ethylene glycol. One of the overall goals set for the project construction is that by June 30, 2021, both the first phase of Project Phase I, which involves an ethylene glycol production facility with a capacity of 1.8 million tons per year, and the first phase of Project Phase II, which includes a coal pyrolysis facility with a capacity of 1.2 million tons per year along with a pilot plant for the advanced processing of coal tar with a capacity of 500,000 tons per year, will be mechanically completed – this goal is referred to as “21630”. Phase II of the project focuses on coal pyrolysis and is also divided into two stages. The first stage involves an industrial demonstration facility for 1.2 million tons per year of pulverized coal pyrolysis and 500,000 tons per year of advanced processing of coal tar; completion of the construction is scheduled for June 2021 ; In the second phase, the scale of pyrolysis will be increased to 15 million tons, and the coal tar industry chain will be expanded to produce aromatics as well as downstream products derived from arylenes. Construction is scheduled to begin in 2022, with all construction work to be completed by the end of 2025. The Yanchang Petroleum Group’s industrial cluster worth hundreds of billions of yuan involves a total investment of 106.2 billion yuan and covers an area of about 13,100 mu. It consists of three projects: a coal-based ethanol project with an annual production capacity of 500,000 tons, requiring an investment of 7 billion yuan; a coal-based aromatic compounds project with an annual production capacity of 1 million tons, requiring an investment of 51.8 billion yuan; and an integrated industry demonstration project for coal tar extraction and syngas production with an annual capacity of 8 million tons, requiring an investment of 47.4 billion yuan. The Hengli Energy (Yulin) Coal Chemical Integration Industrial Park is located in the Yulin Economic and Technological Development Zone in Yulin city. The total planned investment for this park is around 151.3 billion yuan, of which 114 billion yuan is allocated to the coal chemical integration project and 37.3 billion yuan to textile new material projects. The project was invested and constructed by Hengli Energy (Yulin) Co., Ltd. It covers a total area of approximately 31,640 mu, of which the coal-to-chemicals integrated project occupies about 20,877 mu, and the textile new materials project covers around 10,763 mu. The main construction components include an integrated coal chemical project that will process 17 million tons of raw coal per year. It will feature facilities for producing 9 million tons of methanol per year, 9 million tons of MTO per year, 1.5 million tons of aromatics per year, and 1.5 million tons of PTA per year. The project will also enable the production of 3 million tons of olefins per year; if necessary, it can be adapted to produce 2 million tons of diesel and other petroleum products as well. The textile new materials project will process 3 million tons of raw coal per year, build a methanol production facility with an annual capacity of 1.8 million tons, and produce 2 million tons of new materials as well as 1.3 million tons of chemical fiber textiles per year. (Latest project information) The Yulin Energy Zhongke Industrial Cluster project has a total investment of 89.4 billion yuan and covers an area of about 14,500 mu. It comprises two projects: the coal-to-ethylene glycol project of Shaanxi Yulin Energy Chemical Materials Co., Ltd., located in the South Area of the Qingshui Industrial Zone in Yushen Industrial Park, Yulin City, and the demonstration base for the technological upgrading of coal-based clean fuel production developed by Yulin High-Tech Energy Technology Co., Ltd.

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