【Haichuan Engineering Updates】Capacity expansion will achieve an annual output of 7.5 million tons! Fujian Energy Chemicals kicks off construction of a 3-million-ton PTA expansion project with a total investment of 5.77 billion yuan
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On January 5, 2023, the groundbreaking ceremony for the expansion project of Fujian Fuhai Chuang Petrochemical Co., Ltd., a subsidiary of Fujian Energy Chemical Group, with an annual production capacity of 3 million tons of purified terephthalic acid (PTA), was held grandly at the Gulei Petrochemical Complex in Zhangzhou. The total investment planned for this project is 5.77 billion yuan. An expansion project to increase PTA production capacity to 3 million tons per year will be carried out on top of the existing 4.5 million tons per year production facility; once completed, the production capacity will reach 7.5 million tons per year. By leveraging the existing utility facilities and comprehensive supporting infrastructure, this will contribute to an improvement in the company’s overall economic performance. The project adopts the world’s most advanced PTA production technology, offering significant competitive advantages such as a high level of technological maturity, lower energy and material consumption compared to the advanced standards set forth, as well as lower processing costs. This project is an important part of Fujian Energy Petrochemical Group’s efforts to expand the petrochemical industry chain to a value of 100 billion yuan within the Gulei Petrochemical Park as part of its 14th Five-Year Plan. The facility is located adjacent to the PX production unit that supplies raw materials, and it aligns with the strategic goals of the company’s polyester industry development. By expanding the scale of the company, strategic alliances can be formed between upstream and downstream enterprises, thereby achieving a strategy of scaled operations for the company. After the project is implemented, it will help promote the development of related petrochemical projects in the Gulei Petrochemical Park, and it will also serve as an important driver for local economic growth.
Fujian Fuhai Chuang Petrochemical Co., Ltd. is located in the Gulei Port Economic Development Zone in Zhangzhou, Fujian Province, covering an area of approximately 290 hectares. The company was established on October 27, 2017, as a joint venture involving Fujian Fuhua Gulei Petrochemical Co., Ltd. (holding 75.99% of the shares), bank debt-to-equity conversions (holding 21.66% of the shares), and Chinese and foreign enterprises such as Xianglu Petrochemical Co., Ltd. (with Taiwanese investors holding 2.35% of the shares). Fujian Fuhua Gulei Co., Ltd. is itself composed of Fujian Energy Petrochemical Group Co., Ltd. (holding 51% of the shares) and Zhangzhou Jiulong River Group Co., Ltd. (holding 49% of the shares). The company’s total assets amount to 41.345 billion yuan, comprising five components: the PX plant, the PTA plant, its own thermal power plant, the liquid cargo terminal, and the solid cargo terminal. The company’s PX plant, PTA plant, and associated facilities are important components of the Gulei petrochemical industry cluster developed by Fujian Energy Chemical Group. These projects rely on one another to optimize production costs, thereby granting them strong competitiveness in the industry; at the same time, they contribute to the development of related industries in the Gulei Port Economic Development Zone. The PX plant covers an area of 163.33 hectares; its main products include PX, OX, benzene, and liquefied petroleum gas. The key facilities include a 5.5 million-ton condensate hydrogenation unit, a 3.16 million-ton hydrocracking unit, a 2.7 million-ton continuous reforming unit, a 2.98 million-ton extraction and disproportionation unit, and a 1.6 million-ton p-xylene unit. The PX plant is equipped with world-class production equipment and patented technologies, and its production capacity, overall energy consumption, and market competitiveness place it among the top in China’s aromatic chemicals industry ； The PTA plant covers an area of 83 hectares and has a production capacity of 4.5 million tons per year. Its main product, purified terephthalic acid (PTA), is an important chemical raw material used in the production of polyester pellets, short fibers, filaments, polyester films, and other products. It is a leading enterprise in China’s PTA market as well as one of the major PTA producers globally ； The existing capacity of the on-site thermal power plant consists of 4×670t/h ultra-high pressure and high-temperature coal-fired boilers, as well as 3×150MW extraction-type coal-fired heating units, which meet the company’s needs for steam for production and on-site electricity supply ； The liquid chemical terminal will feature 1 berth with a capacity of 150,000 tons and 4 berths with a capacity of 10,000–30,000 tons each. Its annual handling capacity is 13.5 million tons, with a total storage capacity of 896,000 cubic meters. In addition, a 7.1-kilometer long pipeline network will be constructed to connect the terminal to the company’s production facilities ； The solid bulk terminal will include 1 berth of 150,000 tons capacity with a designed annual throughput of 5.8 million tons, and 1 berth of 50,000 tons capacity with a designed annual throughput of 2.3 million tons; the coal unloading capacity is 5.8 million tons while the PTA loading capacity is 2.3 million tons. The total storage capacity of the warehouses is 144,000 tons. In addition, a 5.8-kilometer-long coal pipeline will be constructed to connect the terminal to the company’s production facilities.
This project is an important part of Fujian Energy & Petrochemical Group’s efforts to expand the petrochemical industry chain to a value of 100 billion yuan within the Gulei Petrochemical Park as part of its 14th Five-Year Plan