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Project Overview: Project Name: Xinjiang Baicheng Longyu New Materials Co., Ltd. – 200,000 tons per year natural gas-based BDO production facility. Nature of the project: New construction. Constructor: Xinjiang Baicheng Longyu New Materials Co., Ltd. Scope of construction: This project intends to use natural gas as a raw material to produce acetylene through partial oxidation of natural gas; the synthetic off-gases generated in the acetylene production process will be used as a raw material for methanol production via desulfurization and hydrogenation processes, with formaldehyde being produced subsequently through iron-molybdenum catalytic oxidation； Subsequently, 1,4-butanediol (BDO) was prepared using acetylene and formaldehyde as raw materials via the alkyne-aldehyde method (Reppe method) ； This project mainly involves the construction of 2 sets of BDO production facilities with an annual capacity of 100,000 tons each, 1 set of acetylene production facility with an annual capacity of 70,000 tons, 1 set of methanol production facility with an annual capacity of 300,000 tons, 2 sets of formaldehyde production facilities with an annual capacity of 240,000 tons each (with formaldehyde calculated at 37% concentration), as well as other supporting facilities. Construction location: The project is situated in the new area of the Baicheng Industrial Park. The total land area of the factory complex is 142.5 hm2, which is divided into two sections, north and south. This project is located in the southern section (75.46 hm2), while the northern section is reserved for the company’s “coking ethylene glycol project”. To the east of the entire factory complex, across Jinhui Road, lies the Jinhui Zhaofeng factory complex ； The south and west sides are open areas, designated as category three industrial land. The southeast corner is adjacent to the Jia Ti Xia compound fertilizer project, while the southwest corner is next to the natural gas gate station ； The north side is open space with no land use plans. The geographical coordinates of the project site are 81.3836 degrees east longitude and 41.4358 degrees north latitude. Construction scale: This project uses natural gas as a raw material to produce BDO, with a construction scale of 200,000 tons of BDO per year. Construction period: 24 months. Project investment: 720,335.84 million yuan. Staffing: The company will employ 600 people, of whom 467 will be workers involved in production and maintenance, while 133 will be management and technical personnel. Production system: 333 working days per year, with an annual operating time of 8,000 hours. Xinjiang Baicheng Longyu New Materials Co., Ltd. was established on December 15, 2021, as a joint venture between Xinjiang Holding Investment Co., Ltd., which is part of Henan Energy and Chemical Group, and Baicheng County Urban and Rural Construction Investment and Development (Group) Co., Ltd. The company is located in the new industrial park area of Baicheng County, Aksu Region, Xinjiang Uygur Autonomous Region, to the west of Jinhui Road and south of the Tianshan Gas Refueling Station; it covers an area of 2,137 mu.