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On March 12, Fukang City signed a project agreement with Huadong Coal Chemical Company in Guxian County, Linfen, Shanxi, for a cyclical industry involving 900,000 tons of coking production and 100,000 tons of methanol production from coke oven gas; the total investment in this project amounts to 540 million yuan. It is understood that the project is located within the Jinshang Industrial Park in the Fukang Heavy Chemical Industry Park, covering an area of 800 mu, and will be constructed in three phases. The initial investment is 130 million yuan to build a coking plant with an output of 450,000 tons ； The second phase involves an investment of 130 million yuan to build a coking plant with a capacity of 450,000 tons ； Phase 3 involves an investment of 280 million yuan to build a facility for the low-pressure synthesis of methanol from 100,000 tons of coke oven gas. Construction of this project began in April 2009, and it was completed and put into operation by the end of December 2012, with a construction period of 4 years. Upon completion of this project, it will provide employment for over 400 people and generate profits and taxes amounting to 120 million yuan. The spot supply of methanol at Quanzhou Port is tight, and some traders are reluctant to sell; the current market price ranges from 1900 to 1910. Downstream manufacturers are cautious in their purchases, resulting in slow overall shipments. The U.S. methanol spot market performed poorly yesterday, with prices falling slightly by 0.5 cents per gallon to 38.5–39.5 cents per gallon due to weak demand. It is understood that market participants in this area are negotiating prices for supplies for March and April at around 38–40 cents per gallon FOB Houston; there are still some offers at a higher price of 56 cents per gallon, but such prices hardly result in any deals. Demand in North America remains weak, with few deals closed this week. The latest negotiated price for methanol CFR China in the first half of April is $198 per ton ； The negotiated price for CFR Southeast Asia remains at 177 dollars per ton; the negotiated price for CFR Taiwan is 199 dollars per ton. The price for CFR South Korea stays at 197 dollars per ton, while the negotiated price for CFR Japan remains at 192.5 dollars per ton. The negotiated price for CFR India is also 177.5 dollars per ton. In the second half of April, the CFR China price for methanol rose slightly by $2 per ton to $197 per ton ； The negotiated price for CFR Southeast Asia remains at 175 USD/ton, CFR Taiwan remains at 195 USD/ton, CFR South Korea remains at 195 USD/ton, CFR Japan remains at 192.5 USD/ton, and CFR India remains at 175 USD/ton. http://www.16ds.com/products/65
According to a report in Vietnam’s Economic Times on March 11, the Canadian Methanex Group plans to invest $1 billion in Vietnam to build a methanol plant with a production capacity of 1.3 million tons per year, with the products intended primarily for the Chinese market. Reports indicate that Methanex is the largest group in the world for methanol production, boasting advanced production technologies; its methanol output accounts for 17% of the global market. On February 12, 2009, Kailuan Group signed framework agreement on coal chemical project investment with ** in Ordos City and ** in Zhungeer Banner, Inner Mongolia. The framework agreement covers a project for producing 400,000 tons of formaldehyde per year, a project for producing 40,000 tons of polyformaldehyde per year, and a project for producing 400,000 tons of acetic acid per year. The total investment amount is 3.17 billion yuan, and it is estimated that after all these projects are completed and put into operation, they will generate an annual after-tax profit of 685 million yuan. This coal chemical project is a supporting project for the Hongshuliang mine of Inner Mongolia Kailuan Hongfeng Coal Co., Ltd. The coal chemical projects that Kailuan Group is developing include a coking plant with an annual production capacity of 2 million tons located in the Jingtang Port Coal Chemical Park, a project for producing methanol from 200,000 tons of coke oven gas per year, a project for hydrogenating and refining crude benzene with an annual capacity of 100,000 tons, and a project for processing coal tar with an annual capacity of 300,000 tons. These projects are set to come online in 2009, at which time Kailuan Group will have an annual production capacity of 5.5 million tons of coke, 200,000 tons of methanol, 300,000 tons of tar, and 70,000 tons of pure benzene. In terms of coal production, Kailuan Group will develop four major mining areas in Hebei, Inner Mongolia, Xinjiang, and Shanxi. By the end of the 11th Five-Year Plan period, its coal production capacity will reach over 50 million tons per year.