Shanghai Pujing Chemical and Hengyi Energy Technology (Turpan) signed a technology licensing agreement for a 2.4 million tons per year project for producing ethylene glycol from coal for high-quality fibers

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In early August 20025, Shanghai Pujing Chemical Technology Co., Ltd. signed a technology licensing agreement for a project to produce 2.4 million tons per year of high-quality ethylene glycol from coal, intended for use in fiber production. This is the largest coal-based ethylene glycol project in the world to date. It represents the second large-scale ethylene glycol project undertaken by Pujing Chemical after the 1.2 million tons per year project (with 600,000 tons per year in the first phase) carried out for Zhejiang Zhengkai Group’s Sichuan Zhengdakai New Materials Co., Ltd. The project will be built in the Coal-Based New Materials Circular Industry Park in Turpan City, Xinjiang Uygur Autonomous Region. Hengyi Energy Technology (Turpan) Co., Ltd. is a wholly-owned subsidiary of Zhejiang Hengyi Group Co., Ltd. (hereinafter referred to as “Hengyi Group”). Hengyi Group is one of the largest fiber manufacturing companies in the world, with its headquarters located in Hangzhou, Zhejiang. It currently has production capacities of 8 million tons of oil refining products, 23.2 million tons of PTA, 13.5 million tons of polyester, 500,000 tons of CPL, and 520,000 tons of nylon. Hengyi’s investment in coal-based ethylene glycol production in Xinjiang not only helps to address the weaknesses in the upstream segment of the polyester industry chain and ensure self-sufficiency in raw materials, but it also enables the company to reduce its reliance on fluctuations in crude oil prices by optimizing the raw material structure. This approach helps to lower the costs associated with the entire industry chain and enhance its profitability. Pu Jing Chemical will leverage its accumulated experience, make full use of its strengths in ethylene glycol technology development, and mobilize its most skilled personnel to spare no effort in advancing the project progress, so as to achieve safe, stable, long-term, full-capacity, and high-quality operation of the facility at an early date, thereby helping Hengyi Group to reach new heights in its polyester industry chain development in Xinjiang.