[Haichuan Chemical Engineering News] Chlor-alkali industry plans to build a 400,000-ton PVC project in Qinzhou, Guangxi

The products can be exported to Vietnam, achieving the goal of going global.

The Phase 1 Industrial Gas Island project of Huayi is progressing smoothly. To date, approximately 1.5 billion yuan has been invested in this project, and contracts worth around 6.9 billion yuan have been finalized, including those related to equipment procurement. The pile foundation construction for the facilities used in acetic acid production, gasification, and purification processes has also been completed； The accompanying Jinzugang Wharves 16# and 17# have resumed construction, and a joint venture contract has been signed. 　　On March 26, contracts related to the investment in Phase 1 of the industrial gas island project at the Qinzhou Port area, part of the Hua Yi project, were signed for a total value of around 6.5 billion yuan. Piling work on the 1,200-mu site was completed by the end of May, marking the onset of the surface construction phase. 　　The total investment in the first phase of the Huayi project has now risen to 14.3 billion yuan, of which 12.2 billion yuan is allocated to the industrial gas island project. Since the first pile was driven for the main acetic acid project last September, 1,600 piles have been installed as part of the industrial gas island project, with depths ranging from 5 to 25 meters. This has laid a solid foundation for the timely completion of the civil engineering works for the entire project. Looking around, on the construction site covering thousands of acres, over 150 workers from 4 companies in provinces and cities such as Zhejiang, Shanghai, and Jiangsu are operating more than 30 sets of equipment to steadily make progress. To date, procurement contracts for production equipment at the industrial gas island have totaled around 700 million yuan.

There are also these large-scale projects =============== The Tongkun Qinzhou Aromatics Project (Phase I). The total investment in this project is around 31.5 billion yuan; it involves the construction of a PX production facility with an annual capacity of 2.8 million tons, along with related upstream facilities. The annual output value is estimated at 26.8 billion yuan, while the tax revenue generated will be around 1.8 billion yuan. The project is scheduled to begin construction within this year, with completion and operation set for 2022. The preparation of the planning scheme, the feasibility study report, and company registration have been completed. Preliminary tasks such as environmental impact assessment, energy assessment, and stability assessment for the project are currently in progress. Qinzhou City has issued a commitment letter regarding social stability risk prevention and control, preliminary site selection recommendations, and pre-approval opinions on land use. The project now meets the basic conditions required to be upgraded from a reserved project under the \"Petroleum and Chemical Industry Planning Scheme (Revised)\\" to an official planned project. Qinzhou City, in cooperation with the property owners, has completed the application documents and submitted them to the Autonomous Region’s Development and Reform Commission. The preliminary project team, led by Xu Xuegen as the project manager, has recently arrived at Qinzhou Port to commence work. 　　The refinery will have a capacity of 20 million tons per year for refining, 4 million tons per year for olefins, and 2 million tons per year for aromatics, thereby expanding the range of available products. 　　Building on the existing industrial foundation, through continuous adjustment, optimization, and upgrading, resource utilization can be improved further, and the structure of industries and products can become more rational, thereby achieving clean development, circular development, low-carbon development, and sustainable development. 　　The plan is to take around 15 years to transform the Qinzhou Petrochemical Industrial Park into an important petrochemical industry hub in South China and Southwest China, linking it to the petrochemical centers in the ASEAN region and making it a model for the circular transformation of industrial parks; in the long term, it aims to become a **-level petrochemical industry base.

Hengyi and Kuntong are together here once again ======================== Hengyi’s high-end green chemical and fiber integration project: The investment cooperation agreement for this project was finalized in just 108 days, from the start of negotiations on March 21 this year to the official signing on July 7, setting a new speed record for attracting investments to such key projects. 　　Under the agreement, Hengyi Group will establish in Qinzhou a high-end green chemical and fiber integration project for cross-regional cooperation under the Belt and Road Initiative and aimed at serving the ASEAN region. Sub-projects such as caprolactam-nylon and PTA-polyester will be built, with a total investment of around 45 billion yuan. Once completed, the project is expected to generate an annual output value of about 50 billion yuan and tax revenues of around 4.5 billion yuan. The main raw material for this project is benzene, which is transported directly from Hengyi Group’s refinery in Brunei to Qinzhou. Key products such as polyamides take advantage of Qinzhou’s strategic location and port facilities to be sold in China’s vast central, southern, and southwestern regions, as well as in the ASEAN region where there is high demand from industries such as textiles and clothing. This approach enables the establishment of petrochemical bases both overseas (in Brunei) and domestically (in Qinzhou), highlighting Guangxi’s role as a strategic hub in China’s efforts to open up to and develop relations with ASEAN. 　　This year, construction will begin on a integrated industrial project for the production of 1.2 million tons per year of caprolactam and polyamides, with a total investment of around 22 billion yuan. Once completed, it is expected to generate an annual output value of about 20 billion yuan and tax revenues of around 2 billion yuan. This project is part of Guangxi’s petrochemical industry efforts to address its weaknesses; it can effectively extend the downstream industrial chain for aromatics, fill the gaps in the region’s nylon fiber industry, and promote the high-quality development of the petrochemical industry along the coast of the Beibu Gulf Economic Zone. 　　At present, the preliminary project team has arrived at the Qinzhou Petrochemical Park and is carrying out various preparatory tasks to ensure that the project can start by the end of the year. 　　Following the industrial development strategy of \"strengthening key players, completing industrial chains, and clustering enterprises\" and aiming to achieve the \"5+2\" strategic objectives, the bureau’s leadership made decisions to scientifically develop maps of the petrochemical product chain, an overview of the entire industry, as well as investment attraction plans. Through targeted investment attraction and skillful negotiation, projects such as Hua Yi’s Phase II C3C4 and chlor-alkali projects, as well as Hengyi’s high-end green chemical and fiber integration project were successfully brought in. The total contract value for these projects exceeds 40 billion yuan, helping to foster the development of the petrochemical industry and to create a large-scale, competitive, and high-quality industrial cluster at a rapid pace.

To accelerate the development of the petrochemical industry worth 100 billion yuan, and with the goal of establishing a **-level petrochemical industry base, efforts are being made to address various bottlenecks in development, such as insufficient space for industrial growth, a lack of chemical product terminals, and increasing pressures related to safety and environmental protection. In October 2017, the Qinzhou Petrochemical Industry Office commissioned the Petroleum and Chemical Industry Planning Institute to revise the \"Overall Development Plan for the Guangxi Qinzhou Petrochemical Industrial Park\". Recently, the public consultation on the environmental impact assessment of the \"Overall Plan (Revised) for the Qinzhou Petrochemical Industrial Park in Guangxi\" was posted online. The current scope of the Qinzhou Petrochemical Industrial Park is located in the northwest part of the Qinzhou Port Economic and Technological Development Zone in the Guangxi Zhuang Autonomous Region. Its planned area is 26.91 square kilometers; the southern Sandun Island area (27.17 square kilometers) has been included in this revision, resulting in a total planned area of approximately 54.08 square kilometers. Among them, the expanded area of Phase 1 in Sandun, covering 4.95 square kilometers (the area for downstream olefin and aromatic projects), is designated as land for short-term development, while the rest is reserved for long-term use. 　　 After the revisions, the Qinzhou Petrochemical Industrial Park has developed a pattern of interconnected development between the Jingu Area and the Sandun Area ； The planning for the Jingu area remains unchanged; the newly added Sandun area will focus on developing a project for producing ethylene through ethane cracking at a capacity of 1 million tons per year, as well as a series of projects for the comprehensive utilization of 10 million tons per year of condensate oil. By accelerating the development of key projects such as olefins and aromatics in the Sandun area, the industrial chain will be improved and optimized, thereby establishing an industrial system centered on clean energy, organic raw materials, and synthetic materials, characterized by efficient use of resources (through the integration of different stages of the industrial chain and the comprehensive utilization of by-products) as well as high-end products (new chemical materials, specialty chemicals, high-end goods, and application materials). The refinery will have a capacity of 20 million tons per year for refining, 4 million tons per year for olefins, and 2 million tons per year for aromatics, thereby expanding the range of available products. 　　 Building on the existing industrial foundation, through continuous adjustment, optimization, and upgrading, resource utilization can be improved further, and the structure of industries and products can become more rational, thereby achieving clean development, circular development, low-carbon development, and sustainable development. The plan is to take around 15 years to transform the Qinzhou Petrochemical Industrial Park into an important petrochemical industry hub in South China and Southwest China, linking it to the petrochemical centers in the ASEAN region and making it a model for the circular transformation of industrial parks; in the long term, it aims to become a **-level petrochemical industry base.

——The feasibility study for the light hydrocarbon comprehensive utilization project of the first phase of the Sichuan Nengtou Qinzhou Petrochemical Complex is in progress. Sichuan Nengtou is primarily focusing on the investment and construction of the first phase of a propane dehydrogenation plant with an annual capacity of 600,000 tons. The cost of this project is around 10.2 billion yuan. Using imported propane as raw material, the plant will mainly produce 600,000 tons of propane dehydrogenated product per year, 300,000 tons of polypropylene per year, 250,000 tons of butyl octanol per year, as well as other products derived from propylene through further processing. It is estimated that once operational, the plant’s output value will be around 13.4 billion yuan, with additional profits and taxes amounting to about 2.2 billion yuan. The project has seen the signing of a cooperation agreement for the Sichuan Energy Investment Qinzhou Petrochemical Industry Base and the 600,000 tons per year propane dehydrogenation and downstream processing project. The first phase of the project has been approved internally by Sichuan Energy Investment Group; work is currently underway on preparing preliminary reports such as those related to feasibility studies. Discussions are also in progress regarding raw material supply and partnerships with downstream industries, with construction scheduled to begin in October 2019.

——The Guangdong Investment 1.25 million-ton ethane-to-ethylene project is in the process of applying for regulatory approval. The total investment in the project is approximately 19.6 billion yuan. Using imported ethane as raw material, it will involve the construction of facilities for producing 1.25 million tons of ethylene, 450,000 tons of high-density polyethylene (HDPE), 600,000 tons of ethylene glycol (MEG), as well as related supporting facilities, with an annual output value of around 13.5 billion yuan. In November 2018, Qinzhou City signed a tripartite \"Strategic Cooperation Framework Agreement\" with Hua Yi Group and Guangdong Investment Group, and the site for the project was determined. At present, Qinzhou City is actively cooperating with Guangdong Investment Group to carry out various preliminary tasks. Regarding the demonstration project for producing ethylene from ethane, at the end of 2018, the **Development and Reform Commission issued the \"Plan for the Layout of the Petrochemical Industry (Revised Version)\", along with a list of materials required for evaluating planned projects and a list of materials needed to convert reserve projects into planned projects. In accordance with the requirement to convert reserve projects into planned projects, Qinzhou City actively cooperated with Guangdong Investment Group to improve the application materials for demonstration projects to be submitted to the **Development and Reform Commission.

Developing a petrochemical industrial park in Qinzhou, facing the Beibu Gulf, provides convenient transportation, allowing products to be shipped directly to Vietnam and South Asia. The key issue is: a lack of skilled industrial workers and overall regional backwardness.