Lanshi Heavy Equipment has secured EPC contracts worth 150 million yuan in the field of coal-to-hydrogen production

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Lanshi Heavy Equipment has secured EPC contracts worth 150 million yuan in the field of coal-to-hydrogen production. Author/Source: Gasification World. Date: 2021-08-27. Clicks: 9. Recently, Lanshi Heavy Equipment issued a statement stating that the company operates in the energy equipment manufacturing sector, providing large-scale technical equipment, high-tech products, and services to industries such as energy, chemicals, steel, non-ferrous metals, and power generation, as well as to the defense and military industries. The company’s products and performance in the fields of hydrogen energy, photovoltaic and solar thermal energy, as well as nuclear power are described as follows: In the field of coal-to-hydrogen production, utilizing cyclic fluidized bed pressurized gasification technology, the company has secured the project for a coal-to-hydrogen plant with an output of 160,000 standard cubic meters per hour at Panjin Haoye. The total value of the EPC contract is 150 million yuan, of which the value related to equipment manufactured by the company itself is 36.7602 million yuan. The average gross profit margin for such equipment is 15%, while the overall gross profit margin for the contract is expected to be no less than 11%. Currently, this project is in its final stages, and the settlement has not yet taken place; it is expected that the settlement will be completed in the second half of this year. In the field of hydrogen production via chemical processes, the company primarily supplies equipment such as reactors, regenerators, first dehydrogenation reactors, and second dehydrogenation reactors. Apart from these, it currently does not engage in any other sub-sectors. The company has completed and settled the revenue for 2 dehydrogenation reactors in the Fujian project, with a settlement amount of over 60 million yuan. The contract currently under execution relates to equipment such as 2 dehydrogenation reactors for the Shandong project, with a contract value of over 80 million yuan. Preliminary estimates indicate that the gross profit margin for this contract is around 10%. In the field of hydrogen storage, the company mainly provides storage tank equipment; it does not currently deal with any other sub-sectors aside from this type of equipment. The two 400-cubic-meter hydrogen balloon tanks for Yulin Huaqin, which the company has undertaken, are currently being installed on site. The value of this order is 2.57 million yuan, and sales are expected to take place this year. In the photovoltaic industry, the company primarily supplies equipment for polysilicon production, including cold hydrogenation reactors, gas-gas heat exchangers, towers, spherical tanks, reduction furnaces, etc. These devices are mainly used in processes such as raw material synthesis, purification, and high-temperature reduction during polysilicon production. To date, the company has received orders in this field totaling 700 million yuan. Preliminary estimates indicate that the average gross profit margin for these devices is between 10% and 15%. Based on the delivery timelines for the products, sales are expected to take place in the second half of this year or next year. In the field of photothermal energy, the company mainly provides molten salt storage tanks. In recent years, projects such as the 4 molten salt storage tanks for the Gansu Axie high-temperature molten salt solar thermal trough power generation test platform in the field of solar thermal energy, and the 15 various types of storage tanks for the CGN Delingha 50MW solar thermal power generation project have been completed one after another; currently, there are no ongoing orders. The company’s nuclear power products mainly include nuclear plate heat exchangers and nuclear pressure vessels. The company entered the nuclear power sector in 2006; due to various factors, nuclear power business currently accounts for a small proportion of the company’s main operations. As of the date of this announcement, the outstanding orders for nuclear power products amount to approximately 95 million yuan. Based on the delivery timelines for these products, sales are expected to take place in the second half of this year or next year. Image: Lanzhou Lanshi Heavy Equipment Co., Ltd. (abbreviated as “Lanshi Heavy Equipment”, stock code 603169) is affiliated with Lanzhou Lanshi Group Co., Ltd. It is a full-service solution provider that covers the research and development, design, manufacturing, installation, as well as after-sales technical support for high-end equipment in various fields such as oil refining, chemicals, coal chemical industry, high-pressure vessel equipment, rapid forging units, plate heat exchangers, and advanced energy technologies related to nuclear power and new energy sources. It currently has over 3,700 employees and covers an area of more than 1,800 mu. It owns several wholly-owned subsidiaries such as Qingdao Lanshi, Xinjiang Lanshi, Lanshi Heavy Industry, Lanshi Heat Exchanger, Lanshi Testing, Lanshi Environmental Protection, Ruize Petrochemical, and Lanshi Zhiyuan, as well as a super-large mobile container factory. Its products are sold throughout China as well as in Asia, Europe, Africa, the Americas and other regions. The company has set many records and achieved numerous firsts in China’s energy equipment industry, and is regarded as the “cradle and backbone of China’s petrochemical machinery industry”.