Luxi Chemical plans to invest a total of 3.33 billion yuan in building a 400,000-ton/year silicone project?

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On the evening of June 29, Luxi Chemical issued a announcement stating that the 28th meeting of the eighth board of directors held by the company approved the proposal regarding the investment in building an organic silicon production facility. In light of the company’s product portfolio and market trends, the company plans to invest in constructing the first phase of this facility, which will have an annual production capacity of 400,000 tons of organic silicon. The construction scope of the first phase of the 1 million tons/year silicone project mainly includes 400,000 tons of silicone monomer as well as supporting utility facilities and other auxiliary equipment. The total investment is expected to be 3.33 billion yuan. The monetary funds required for the project construction will be primarily sourced through the company’s own funds and bank loans, to ensure the smooth progress of the project. The project is expected to be completed and put into operation by the end of 2023. Once operational, it is anticipated to generate annual revenue of 4 billion yuan and profits and taxes of 700 million yuan. Luxi Chemicals stated that, by leveraging the industrial structure and integration advantages of the park, as well as taking into account market trends for silicone products, the company plans to further increase the production capacity of its key products, raise the proportion of new chemical materials in its offerings, continuously optimize the industrial structure of the park, enhance its profitability, and strengthen the park’s competitiveness.