Total investment of 9.86 billion yuan! Approval granted for Yulin Coal Chemical Ethanol Acetic Acid downstream products of Yanchang Petroleum (major change)

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On April 21, 2026, the Shaanxi Provincial Department of Ecology and Environment issued a public notice regarding the proposed approval for the environmental impact assessment of a construction project. The environmental impact assessment for the Shaanxi Yanchang Petroleum Yulin Coal Chemical Ethanol Acetic Acid Downstream Products Project (with significant changes) has now entered the stage of public announcement prior to official approval. I. Basic project information
Project owner: Shaanxi Yanchang Petroleum Yulin Coal Chemical Co., Ltd.
Nature of construction: Renovation and expansion
Location: Southern area of the Coal Chemistry Industry Zone, Yuheng Industrial Park, High-tech Zone, Yulin City. The production facilities and supporting systems are located in Plot C17, while the shift dormitories and canteen are located in Plot C13.
Environmental assessment agency: Zhongsheng Environmental Technology Development Co., Ltd.

II. Comparison of production capacity before and after project changes
1. Original approved construction plan (Shaanxi Environmental Approval No. [2024]21, approved in 2024): Using acetic acid and oxygen produced within the factory, as well as ethanol produced by its subsidiary Kaiyue Coal Chemical, the following facilities were to be built: a 300,000-ton/year facility for producing ethylene via ethanol dehydration, a 200,000-ton/year facility for producing ethyl acetate, and a 200,000-ton/year facility for producing EVA (ethylene-vinyl acetate copolymer). Supporting infrastructure and public utility systems were also to be constructed, making use of the existing environmental protection facilities at the factory. 2. After this major adjustment, the new product plan maintains the existing capacity of the 300,000 tons per year vinyl acetate production facility; all efforts are focused on adjusting the downstream processing chain. The original capacities for vinyl acetate and EVA are eliminated, while new facilities for high-end materials are established: a 30,000 tons per year ultra-high molecular weight polyethylene facility, a 50,000 tons per year vinyl oil facility, a 50,000 tons per year α-olefin facility, and a 100,000 tons per year polyolefin elastomer (POE) facility.

III. Project investment and environmental protection requirements
Total project investment: 985,995.49 million yuan.
Total investment in environmental protection measures: 275,140 million yuan, accounting for 2.79% of the total project investment.
Basis for compliance with regulatory requirements: This overall optimization of the product portfolio constitutes a significant change as defined in the Ministry of Environmental Protection’s “List of Major Changes in Construction Projects.” Therefore, it falls under the category of major environmental changes, and the necessary environmental impact assessments must be carried out in accordance with the law. The winning bidder for the foundation design of the vinyl acetate production unit as part of the ethanol and acetic acid downstream products project at Shaanxi Yanchang Petroleum Yulin Coal Chemical Co., Ltd. is Sinopec Shanghai Engineering Co., Ltd.; the amount awarded is 14.92 million yuan. The winning bidder for the foundation design of the utility systems and auxiliary facilities for the same project is Hualu Engineering Technology Co., Ltd.; the amount awarded is 8.95 million yuan