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Total investment of 21.88 billion! The second phase of the 1.2 million tons per year ethylene project at Dushanzi Petrochemical in Tarim has been launched!

2023-10-07View Original

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On September 28, the second phase of China National Petroleum Corporation’s Dushanzi Petrochemical Company’s 1.2 million tons per year ethylene production project in Tarim was officially launched in the Shangku High-Tech Industrial Development Zone in Korla, in southern Xinjiang. The approved investment for this project amounts to 21.88 billion yuan. Leveraging the abundant oil and gas resources in the Tarim Basin, it will build 11 major production units, including one unit capable of producing 1.2 million tons of ethylene per year, two units capable of producing 450,000 tons of fully dense polyethylene per year, and one unit capable of producing 300,000 tons of low-density polyethylene per year. The proportion of self-developed technology used in this project exceeds 99%, while the proportion of domestically produced equipment exceeds 98%. “Ethylene has a wide range of industrial applications; it is a basic raw material for synthesizing resins, synthetic fibers, synthetic rubbers, pharmaceuticals, dyes, pesticides, new chemical materials, and daily-use chemical products. The ethylene industry chain extends to various fields such as agriculture, pharmaceuticals, electronic components, and aerospace. ”Hua Jianzhong, the chief expert at Dushanzi Petrochemical and deputy commander of the project management team for Tarim’s 1.2 million tons per year ethylene production facility phase II, said. To some extent, the production scale, output, and technical level of ethylene serve as an important indicator of a country’s **chemical industry development level**. Li Ji, a member of the Party Committee, deputy general manager of China National Petroleum Corporation’s Dushanzi Petrochemical Company, and executive deputy director of the project management team for Phase II of the Tarim 1.2 million tons/year ethylene plant, said, “This project boasts advantages such as lightweight raw materials, high yields, short production processes, low investment costs, and reduced expenses. The product strategy emphasizes ‘specialized materials, branding, high-end quality, and diversity.’ With an annual processing capacity of 2.755 million tons of raw materials, it is capable of producing over 2 million tons of high-end polyolefins and high-performance rubber materials per year.” ”It is reported that the project is scheduled to begin construction on a full scale within this year, with basic construction completed by 2025 and the facility fully operational by 2026. After the project goes into operation, 100% ‘green electricity’ will be used; the overall energy consumption will be below the industry’s best levels, with near-zero emissions of carbon dioxide and wastewater. Dai Houliang, Secretary of the Party Leadership Group and Chairman of CNPC, delivered a video message stating that Xinjiang is a core area for the development of the Silk Road Economic Belt, as well as a region that CNPC focuses on and invests in for development. This project is an important initiative by Sinopec to drive the transformation and upgrading of its refining and chemical processing operations, as well as to accelerate the development of a green and low-carbon economy. It holds great significance and has a profound impact on promoting structural reforms on the supply side of the petrochemical industry, as well as on ensuring the security of energy and chemical industry chains and supply chains. Xu Wenqing, executive director of China National Petroleum Corporation’s Dushanzi Petrochemical Company, said that as a key project among Xinjiang’s eight major industrial clusters, this project will help improve the local capacity for resource transformation. It will also support the Bayingolin Mongol Autonomous Prefecture in developing an industrial cluster centered around ethylene, thereby driving the development of related industries and promoting local economic growth. Not far from the project launch site, the first phase of the Tarim 600,000 tons/year ethane cracking to produce ethylene project is operating smoothly. Phase 1 of the project was fully completed and put into operation on August 30, 2021, setting records for safety performance, construction speed, and commissioning efficiency among similar facilities in China. In 2022, the production of ethylene and polyethylene both exceeded 600,000 tons throughout the year. It is reported that Dushanzi Petrochemical Company currently has a capacity to process 10 million tons of crude oil per year, produce 2 million tons of ethylene per year, manufacture 450,000 tons of synthetic ammonia per year, produce 800,000 tons of urea per year, generate 450,000 kilowatts of electricity per year, and store 5 million cubic meters of crude oil. The launch of the Tarim 1.2 million tons/year Phase II ethylene project at Dushanzi Petrochemical marks the beginning of Dushanzi Petrochemical’s journey toward an annual ethylene production capacity of over 3 million tons.

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