A comprehensive overview of 31 coal/methanol-to-olefins projects: Which technologies are superior, domestic or international?

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This post was last edited by liaifeng on 2018-9-10 at 18:38. A comprehensive overview of 31 coal/methanol-to-olefins projects – which technologies are superior, domestically or internationally? Author/Source: Date: 2016-01-14 Clicks: 17 Low-carbon olefins such as ethylene and propylene are important basic chemical raw materials. With the development of China’s national economy, and in particular the growth of the modern chemical industry, the demand for these low-carbon olefins is increasing steadily, leading to an increasingly prominent supply-demand imbalance. Today, Xiao Qi will introduce to you a variety of projects for producing olefins from coal/methanol, as well as the companies behind them. Let’s expand our knowledge together! The MTO process (Methanol to Olefins) for producing ethylene and propylene, and the MTP process (Methanol to Propylene) for producing propylene are important chemical technologies at present. This technology uses methanol synthesized from coal or natural gas as a raw material. Through a fluidized-bed reaction process similar to that in catalytic cracking units, it produces low-carbon olefins. It is a core technology for producing products such as ethylene and propylene from non-petroleum resources. The representative MTO process technologies abroad mainly include those of UOP/Hydro and ExxonMobil, as well as Lurgi’s MTP technology. The representative MTO process technologies in China are mainly: the DMTO technology developed by the Dalian Institute of Chemical Physics, and the SMTO technology of Sinopec. Olefin production from coal/methanol using the DMTO technology developed by the Chinese Academy of Sciences: 1. The 600,000 tons per year olefin production from methanol project owned by Shanxi Coking Coal Group. Project status: The olefin production from methanol project is expected to be completed in 2017. Due to funding issues, the project progress is slow at present; as of the end of 2014, only 12% of the investment had been completed. The olefin project is expected to be completed by 2017 at the earliest, with profits starting to be generated in 2018. Project scale: 1,800 kta of methanol, 300 kta of ethylene, 300 kta of propylene. Company overview: Shanxi Coking Coal Group Co., Ltd. (abbreviated as Shanxi Coking Coal) is the largest producer of coking coal in China and a key supplier in this market. It is a super-large energy group with coal production exceeding 100 million tons and sales revenue of over 200 billion yuan. It ranked 264th on the list of the world’s top 500 companies in 2015, 49th among China’s top 500 companies, and 2nd among China’s top 100 coal companies. Its total assets amount to 250 billion yuan, and it employs 230,000 people. Shanxi Coking Coal focuses on its core businesses of coal mining, coking, power generation, logistics and trading, and equipment manufacturing; it also engages in supplementary industries such as materials, **, construction, coalbed methane, energy conservation and environmental protection, investment and finance, culture and tourism, and real estate. The main chemical products produced in Shanxi’s coking industry include metallurgical coke, foundry coke, coke powder, methanol, ethylene, propylene, carbon black, sulfur, industrial naphthalene, washed oil, asphalt, sodium sulfate, barium sulfate, magnesium salts, and cosmetics and cleaning products. 2. Jingbian Energy and Chemical Comprehensive Utilization Project. Owner: Shaanxi Yanchang China Coal Yulin Energy and Chemical Co., Ltd. Project status: The project officially commenced construction on June 15, 2008, and has now been completed and put into operation. Project scale: 1,800 kta of methanol, 300 kta of ethylene, and 300 kta of propylene. Company profile: Shaanxi Yanchang Zhongmei Yulin Energy & Chemical Co., Ltd. (formerly Shaanxi Yanchang Petroleum Group Yulin Energy & Chemical Co., Ltd.) is a large-scale chemical enterprise engaged in the comprehensive utilization of coal, gas, oil, and salt. It was jointly established by Shaanxi Yanchang Petroleum Group and China National Coal Group through capital increase and share expansion. The registered capital amounts to 7 billion RMB; Yanchang Group holds 70% of the shares, while China National Coal Group holds 30%. The company was officially inaugurated on May 24, 2010. The company has 16 departments and 9 centers, with a total of 2,121 employees. The company is primarily responsible for the construction, commissioning, production and operation, as well as daily management of the Jingbian Energy and Chemical Comprehensive Utilization project. The project startup requires an investment of 27.5 billion yuan. Using coal, gas, and residue oil as raw materials, it will involve the construction of 8 main production units: 1.8 million tons per year of methanol (all of which will be used as intermediate products and not exported), 600,000 tons per year of methanol-to-olefins, 1.5 million tons per year of residue oil catalytic cracking, 2 units capable of producing 300,000 tons of polyethylene each, 2 units capable of producing 300,000 tons of polypropylene each, 90,000 tons per year of MTBE, and 40,000 tons per year of butene-1. In addition, there will be supporting utility systems, auxiliary facilities, and environmental protection measures. 3. Yan’an Coal, Oil, and Gas Resources Comprehensive Utilization Project. Owner: Shaanxi Yanchang Petroleum Yan’an Energy Chemical Co., Ltd. Project status: This project was registered and approved by the Provincial Development and Reform Commission in November 2007. On September 11, 2015, the comprehensive utilization project of coal, oil, and gas resources in Yan’an by Yanchang Petroleum was launched; the entire project was scheduled to be fully completed and put into operation by 2018. Project scale: 1,800 kta of methanol, 450 kta of ethylene, 250 kta of propylene. Company overview: Shaanxi Yanchang Petroleum Yan’an Energy Chemical Co., Ltd. was established in September 2009; it evolved from the preparatory team for the Yan’an methanol project. The company currently has 404 employees and comprises 11 departments such as the Technical Management Department and the Equipment Management Department, as well as 12 centers including the Coal Gasification and Purification Center and the Natural Gas Conversion and Synthesis Center. In addition, there are 11 departments related to project management, including the Project Management Department and the Design Management Department. The company is primarily responsible for the construction of projects that make comprehensive use of coal, oil, and gas resources in Yan’an, as well as their operation once they are completed. The Yan’an Comprehensive Utilization Project for Coal, Oil, and Gas resources was registered and approved by the Provincial Development and Reform Commission in November 2007. Through scientific planning and extensive deliberation, it was decided to locate the project in Luoyang Village, Fu County, Yan’an. The main facilities to be constructed include a methanol production unit with a capacity of 1.8 million tons per year, a methanol deep-processing unit with a capacity of 600,000 tons per year, a light oil processing and utilization unit with a capacity of 400,000 tons per year, as well as units for producing 420,000 tons of polyethylene, 250,000 tons of polypropylene, 200,000 tons of butanol, 80,000 tons of 2PH (dipropylheptanol), and 50,000 tons of ethylene-propylene rubber per year. Additionally, supporting utility systems will also be built. The total estimated cost for the project is 21.6 billion yuan.

4. Coal-to-Olefins Project by Pucheng Clean Energy Chemical Co., Ltd.
Owner: Shaanxi Coal and Chemical Industry Group – Pucheng Clean Energy Chemical Co., Ltd.
Project status: As of the end of 2014, Pucheng Clean Energy Chemical Co., Ltd. had fully completed all basic construction tasks related to the project; all main chemical processing units had been completed and handed over. Project scale: 1,800 kta of methanol, 300 kta of ethylene, 400 kta of propylene. Company overview: Pucheng Clean Energy Chemical Co., Ltd. is located in Pucheng County, Weinan City, Shaanxi Province. It is a joint-stock enterprise established in November 2008 by Shaanxi Coal and Chemical Industry Group Corporation and China Three Gorges Corporation, in accordance with a strategic cooperation agreement between the two parties. Pucheng Clean Energy Chemical Co., Ltd. plans to utilize the DMTO-Ⅱ technology, for which Shaanxi Coal Group Corporation holds independent intellectual property rights, as well as the world-leading 8.7 Mpa Texaco clean coal gasification technology. Using bituminous coal from the Shennan mining area of Shaanxi Coal Group Corporation as raw material, and by combining advanced and mature patent technologies, production processes, and equipment from both domestic and international sources, the company aims to advance from the production of primary energy products to the deep processing and on-site conversion of such resources, thereby producing olefin products that are in short supply in China in an efficient and clean manner. The total investment for Phase I of the project is 17.9 billion yuan. It is planned to produce 1.8 million tons of methanol and 680,000 tons of olefins annually. Phases II and III are scheduled to result in an annual production capacity of 5 million tons of methanol and 2 million tons of olefins. This project has been included in Shaanxi Province’s major construction projects for 2009. 5. Shandong Shenda Chemical’s DMTO project. Owner: Lenovo Holdings – Shandong Shenda Chemical Co., Ltd. Project status: On December 1, 2014, the 1-million-ton/year DMTO plant under the Lianhong Group’s Shenda Haoda project produced qualified ethylene; on the 5th, it produced qualified propylene. The trial operation with feedstock was a complete success. Project scale: 1,000 kta of methanol, 170 kta of ethylene, and 200 kta of propylene. Company profile: Shandong Shenda Chemical Co., Ltd. is a subsidiary under Lenovo Holdings dedicated to the construction and operation of projects involving the production of low-carbon olefins from methanol. The company is located in the Lunan High-Tech Chemical Industrial Park in Tengzhou City, Shandong Province. Cindar Chemical produces a series of olefin products using methanol as raw material, with its DMTO unit at the core. The main products are 200,000 tons per year of polypropylene, 170,000 tons per year of ethylene, and 60,000 tons per year of C4, C5, etc. The core technology utilizes methanol-to-olefins technology with independent domestic intellectual property rights, while other major chemical processing units employ world-leading technologies. 6. Fude Energy (Changzhou)’s project to produce 330,000 tons of olefins per year from 1 million tons of methanol per year. Owner of the project: Fude Energy – Fude (Changzhou) Energy Chemical Development Co., Ltd. Project status: The project is in its final stages; completion and operation are scheduled for the end of 2015. The polypropylene production facility is expected to be completed and put into operation by June next year. Project scale: 1,000 kta of methanol, 330 kta of ethylene. Company overview: Fude (Changzhou) Energy Chemical Development Co., Ltd. (abbreviated as “Fude Energy (Changzhou)”) was established in November 2011. It is a subsidiary of the Fude Group and is located in Changzhou City, Jiangsu Province. The company covers an area of approximately 880 mu, with a total investment of 3.5 billion RMB. Currently, Fude (Changzhou) is under construction, and its main facilities will include an MTO plant with a capacity of 1 million tons per year, an OCU plant with a capacity of 90,000 tons per year, a polypropylene plant with a capacity of 300,000 tons per year, as well as utility systems and supporting auxiliary facilities. The project commenced successfully in May 2012; the preliminary design work has now been completed, with completion and operation scheduled for the first half of 2015. The company will use the DMTO technology developed independently in China for production, with its main products including ethylene, polypropylene, C4 compounds, and C5 compounds. Upon completion and operation, the project is expected to generate an annual output value of approximately RMB 3.6 billion. 7. Shenghong Petrochemical’s annual 3.6 million-ton alcohol-based multi-product chemical project. Owner: Shenghong Group – Jiangsu Shenghong Petrochemical Co., Ltd. Project status: Under construction. Project scale: 3,600 ktpa of methanol, 600 ktpa of ethylene, and 600 ktpa of propylene. Company profile: Jiangsu Shenghong Petrochemical Co., Ltd. is located in the Xuwei New Area Chemical Industry Park in Lianyungang City, Jiangsu Province. The company occupies a total area of approximately 500 hectares. Jiangsu Sierbang Petrochemical Co., Ltd. is a wholly-owned subsidiary of Shenghong Group. In line with **industrial planning and the need to accelerate the development of a green economy, and by taking advantage of its port facilities, geographical location, industrial strengths, as well as the abundant methanol resources in international markets, the company has invested approximately 21 billion yuan in its operations; it employs over 5,000 people. Its main focus is on producing dimethyltetraoxide, a new raw material for chemical manufacturing, with the aim of creating a new type of petrochemical industry cluster and developing high-end petrochemical products. The company can produce approximately 2.5 million tons annually of high-end petrochemical products that are in short supply in the market, generating sales revenue of around 50 billion yuan. 8. Ningbo Fude’s 600,000-ton methanol-to-olefins project: Owner – Fude Energy, namely Ningbo Fude Energy Co., Ltd. Project status: On January 28, 2013, the DMTO unit at Ningbo Fude was successfully commissioned. Project scale: 3,600 kta of methanol, 200 kta of ethylene, and 400 kta of propylene. Company profile: Ningbo Fude Energy Co., Ltd. (abbreviated as “Fude Energy (Ningbo)”) was established in March 2010; it is located in the **-level development zone, namely Ningbo Petrochemical Economic and Technological Development Zone. The company covers an area of 850 mu, with a total investment of around 6 billion yuan. Fude Energy (Ningbo) has an olefin production facility capable of producing 1.8 million tons of methanol-to-olefins products per year (including olefin separation), a glycol production plant with an annual output of 500,000 tons, and a polypropylene production plant with an annual output of 400,000 tons. Currently, all equipment and units are operating smoothly, and the company’s annual sales revenue has reached approximately 10 billion RMB. Fude Energy (Ningbo) takes into account the characteristics of China’s energy structure and utilizes the DMTO technology developed independently in China. This advanced methanol-to-olefins technology utilizes low-carbon methanol as a raw material to produce valuable basic organic materials such as ethylene and propylene through non-petroleum routes. It also enables the further processing of these products into ethylene glycol and polypropylene, which are in short supply domestically. The technology aligns with China’s **energy development strategy and industrial policies; it holds great strategic significance for ensuring **energy security, optimizing the energy consumption structure, improving energy utilization efficiency, and reducing environmental pollution. 9. Shenhua Baotou Coal-to-Olefins Project. Owner: Shenhua Group – Shenhua Baotou Coal Chemical Co., Ltd. Project status: On August 8, 2010, the project commenced full-process trial operations. Throughout the year, it produced a total of 390,000 tons of MTO-grade methanol and 81,000 tons of polyolefins, generating approximately 900 million yuan in sales revenue. Commercial production began officially on January 1, 2011. Project scale: 1,800 kta of methanol, 300 kta of ethylene, and 300 kta of propylene. Design institute: China Tianchen Engineering Corporation. Company profile: Shenhua Baotou Coal Chemical Co., Ltd. is a wholly-owned subsidiary of the Shenhua Group. It was established in December 2005, with its registered office in Baotou City, Inner Mongolia Autonomous Region. The registered capital amounts to 4.5 billion yuan, and the planned workforce size is 1,500 employees. Currently, there are over 1,100 employees, most of whom come from large enterprises under China National Petroleum Corporation, Sinopec, and the former Ministry of Chemical Industry. Currently, it is undertaking the only large-scale coal chemical project approved by the **Development and Reform Commission – the Shenhua Baotou Coal-to-Olefins Project. The site of the Shenhua Baotou Coal Chemical Project is located in Halingger Town, Jiuyuan District, within the new industrial zone planned for Baotou City. The project encompasses an 1.8 million tons per year coal-to-methanol production facility, a 600,000 tons per year facility for producing downstream products, as well as an air separation unit with a capacity of 224,000 standard cubic meters of oxygen per hour. The total investment amounts to 12.4 billion yuan, and cutting-edge technologies that have not yet been used internationally are planned to be employed to create a world-class coal chemical industry complex. 10. China Coal Mengda’s 600,000-ton-per-year methanol project and 600,000-ton-per-year olefins project
Owner: China National Coal Group – Inner Mongolia China Coal Mengda New Energy Chemical Co., Ltd.
Project status: Under construction
Project scale: 600 kta of methanol, 300 kta of ethylene, 300 kta of propylene
Company profile: Inner Mongolia China Coal Mengda New Energy Chemical Co., Ltd. (abbreviated as “China Coal Mengda Chemical”) is a second-tier subsidiary of China National Coal Group, a central state-owned enterprise. It is responsible for managing the 600,000-ton-per-year methanol project and the 600,000-ton-per-year olefins project invested in and constructed by China National Coal Group in the Ordos region. The company is located in the Wushenzhao Chemical Industry Park in Ordos City, Inner Mongolia Autonomous Region. The methanol production project with an annual capacity of 600,000 tons, invested and built by the company, is the first phase of a project to produce 1.2 million tons of dimethyl ether from coal per year; the total investment in this project amounts to 3.58 billion yuan. The methanol project has been completed and put into operation; it is estimated that after commissioning, it will generate annual sales revenue of 1.4 billion yuan (excluding taxes) and annual profits and taxes of 560 million yuan. The project with an annual output of 600,000 tons of olefins utilizes the internationally advanced DMTO technology to develop downstream products from methanol; the main products include 300,000 tons per year of polyethylene, 300,000 tons per year of polypropylene, as well as C4 and MTBE. The project includes six main production units, namely DMTO, C4, olefin separation, polyethylene, polypropylene, and PSA, along with supporting utility systems such as heat and power generation, circulating water systems, and wastewater recycling systems. The total investment amounts to 10.78 billion yuan. Upon completion of the project, the annual sales revenue will be 8 billion yuan, with an annual profit of 1.25 billion yuan. 11. Yankuang Group’s project for producing 1.8 million tons of coal-to-methanol and then to olefins per year. Owner: Yankuang Group – Yanzhou Coal Industry Ordos Energy Chemical Co., Ltd. Project status: The first phase of the project was put into operation in June 2014, while the second phase is under construction. Project capacity: 1,800 kta of methanol, 300 kta of ethylene, and 300 kta of propylene. Company overview: Yanzhou Coal Industry Ordos Energy Chemical Co., Ltd. was established on December 18, 2009, with a registered capital of 3.1 billion yuan. It is a wholly-owned subsidiary of Yanzhou Coal Industry Co., Ltd., and it represents Yankuang Group’s only investment entity in Inner Mongolia. The company is engaged in the efficient and clean comprehensive development of coal resources in the Ordos region. Its main activities include coal mining and processing, coal chemical production, as well as other related operations related to the efficient use of coal. It is a diversified new energy enterprise that focuses on the comprehensive development of coal-based products in Inner Mongolia Autonomous Region, and it is also one of the five key energy bases that Yankuang Group is working to develop. Yanzhou Coal Industry’s annual production capacity of 1.8 million tons of methanol-to-olefins product comes from a project that was acquired by the company at a cost of 190 million yuan from **Jiantao Group. The first phase of this project, which involves 900,000 tons of methanol production per year, requires an investment of around 5.3 billion yuan. It is one of the largest, most advanced, technologically sophisticated, and highest-performing facilities of its kind in China and indeed around the world. By the end of April 2012, the cumulative investment in the first phase of the 900,000-ton methanol project had exceeded 2.2 billion yuan. 12. Shenhua Xinjiang Ganquanbao 680,000 tons/year coal-based new materials project. Owner: Shenhua Group – Beijing Engineering Branch of China Shenhua Coal-to-Oil Chemical Co., Ltd. Project status: On September 1, 2015, the EPCM project for the entire plant system of the Shenhua Xinjiang 680,000 tons/year coal-based new materials project was completed, marking that the plant was ready for full-scale operation. Project scale: 1,800 kta of methanol, 320 kta of ethylene, 360 kta of propylene. Company overview: The Xinjiang Coal Chemical Branch of China Shenhua Coal-to-Oil Chemical Co., Ltd. is a direct subsidiary of China Shenhua Coal-to-Oil Chemical Co., Ltd., which is a wholly-owned subsidiary of the Shenhua Group. On June 6, 2012, the company held an inauguration ceremony in the Ganquanbao Industrial Zone. The company will focus on coal-based new materials as its main area of development. Utilizing the most advanced domestic coal chemical technologies, it will use high-quality coal from the Junggar Basin as raw material to produce polyolefin products. The official launch of the company marks the entry into the practical implementation phase of the 680,000-ton/year coal-based new materials project, with a total investment of 24.5 billion yuan. Upon completion, the project will further promote the in-depth development and utilization of Xinjiang’s coal resources, facilitate industrial upgrading and the attraction of high-end talent, and accelerate the transformation of Xinjiang’s resource advantages into economic benefits. It holds great significance for further optimizing Xinjiang’s energy structure and fostering the development of coal-based new materials industries in the region. 13. China Coal Energy Ili Coal, Electricity and Chemicals Co., Ltd.’s 600,000 tons/year coal-to-olefins project: Owner – China Coal Energy Corporation, Xinjiang Branch. Project status: The construction began on May 28, 2011, in Chabuchar County, Ili Prefecture; feasibility studies are currently being carried out for a 6 million tons/year coal mine. Project scale: 1,800 kta of methanol, 300 kta of ethylene, 300 kta of propylene. Company profile: China National Coal Group Corporation (referred to as “CNCC”) is a key state-owned enterprise under the supervision of the State-owned Assets Supervision and Administration Commission of the State Council. Its main business activities include coal production and trading, coal chemical processing, power generation at coal mines, coal mine construction, coal machinery manufacturing, coalbed methane development, as well as related engineering technology services. The Xinjiang Branch of China National Coal Energy Group Co., Ltd. (hereinafter referred to as “CNCE Xinjiang Branch”) was established in June 2008. Its headquarters is located in the High-Tech Zone of Urumqi. It is a branch established by China National Coal Group and CNCE in Xinjiang, responsible for the development, construction, production, and operation management of CNCE’s projects in the region, as well as fulfilling the functions of an investor on behalf of CNCE. 14. 600,000-ton/year olefins project of Xinjiang Orient Hope Nonferrous Metals Co., Ltd. Owner: Orient Hope Group – Xinjiang Orient Hope Nonferrous Metals Co., Ltd. Project status: Under construction. Project scale: 1,800 kta of methanol, 300 kta of ethylene, and 300 kta of propylene. Company profile: Xinjiang Orient Hope Nonferrous Metals Co., Ltd. (hereinafter referred to as “Xinjiang Orient Aluminum”) is a wholly-owned subsidiary of Orient Hope Group, a super-large private enterprise in China. Dongfang Hope Group is headquartered in Pudong, Shanghai, and is among the top 500 private enterprises in China. There are nearly 15,000 employees and over 150 companies, with an annual output value of more than 50 billion yuan; the competitiveness in the fields they operate in ranks among the highest in the industry. Xinjiang Xilu was established on December 30, 2010. The project is located in the Wucaiwan Industrial Park in Jimsar County, Changji Prefecture, Xinjiang, and is set to become a large-scale modern integrated aluminum and electricity production facility. Upon completion, the project will produce 3.2 million tons of electrolytic aluminum and have a power generation capacity of 5.95 million kilowatts, generating sales revenue of 63.1 billion yuan, thus becoming the largest integrated aluminum and power enterprise in China and even the world. 15. Ningxia Baofeng DMTO Project. Owner: Ningxia Baofeng Energy Group Co., Ltd. Project status: On October 31, 2014, the first feeding operation was successful. On November 5, qualified propylene was produced; on November 6, qualified ethylene was produced as well. Thus, the trial run of the DMTO plant was a complete success. Project scale: 1,800 kta of methanol, 300 kta of ethylene, and 300 kta of propylene. Company profile: Ningxia Baofeng Energy Group Co., Ltd. is one of the large private enterprises in Ningxia, with a registered capital of 2 billion yuan. It is a large conglomerate whose core businesses include coal production, processing, operation, and sales; it also engages in various other businesses such as real estate, commercial storage and transportation, warehousing, and logistics distribution. The company’s coal chemical industry chain is based on coal mining. Through coal mining and washing, high-quality coal is used to produce coke via coking processes, while the residual coal and coal sludge are utilized for waste heat power generation. Taking advantage of the fact that coke oven gas contains more hydrogen and less carbon, while coal-derived gas has more carbon and less hydrogen, these two substances are combined to produce methanol; methanol is then used in the DMTO process to generate ethylene and propylene. After being processed and utilized through the circular economy industry chain, coal yields over 100 different products, resulting in a significant increase in its added value. The production wastewater is subjected to centralized and staged purification treatment to meet the standards for recycled water, and is fully reused, thereby achieving zero discharge through a closed-loop circulation of wastewater within the industrial park. The comprehensive production cost of the product is about 30% lower than that of independent chemical projects of similar scale, and its overall indicators in terms of process, equipment, environmental protection, and energy consumption are at the leading level in China. 16. Qinghai Damei Exhaust Gas Comprehensive Utilization for Olefin Production Project. Owner: Qinghai Damei Coal Industry Co., Ltd. Project status: The project is constructed in two phases; the investment for the first phase amounts to 12.7 billion yuan. Its scope of operations includes the processing and sales of olefins and related downstream products. The construction scale includes 600,000 tons per year of methanol-to-olefins production, 100,000 tons per year of olefin conversion, 20,000 tons per year of MTBE/butene-1 production, 300,000 tons per year of polyethylene production, 400,000 tons per year of polypropylene production, along with the necessary utility systems, auxiliary facilities, and external infrastructure. The project is scheduled to be completed and put into operation in October 2017, and it is expected to generate annual sales revenue of 8 billion yuan upon completion. Project scale: 300,000 tons per year of ethylene, 400,000 tons per year of propylene. Company overview: In order to implement the construction of a circular economy demonstration base as planned by the Qinghai Provincial Party Committee and the provincial government, Western Mining Group Co., Ltd. took the lead in establishing Qinghai Damei Coal Industry Co., Ltd. in January 2012 (with a registered capital of 1 billion RMB). This company is responsible for organizing and carrying out the construction of the project for the comprehensive utilization of waste gases to produce olefins in Qinghai Damei, and it has been included as a key investment project in Qinghai’s 13th Five-Year Plan. The company is located in the West Area of Ganhe Industrial Park, within the Xining (**) Economic and Technological Development Zone in Qinghai Province. The project covers an area of about 5 square kilometers and enjoys a favorable geographical location. Relying primarily on the existing methanol product exhaust resources in the park, polyethylene and polypropylene products are produced through the conversion of methanol into olefins, thereby forming a methanol-olefins-polyolefins industrial chain to achieve the goals of circular economic development in the Ganhe Industrial Park. 17. Integrated Metal Magnesium Project for Comprehensive Utilization of Qinghai Salt Lake Resources. Owner: Qinghai Salt Lake Industry Group Co., Ltd. Project status: From January to July 2015, the integrated metal magnesium project of the Salt Lake Group invested 3.3 billion yuan, covering 82.5% of the annual target; the total investment to date amounts to 28.4 billion yuan. The 1 million tons/year DMTO plant was successfully commissioned on December 24, 2014. Project scale: 1,000 kta of methanol and 1,000 kta of olefins produced from methanol. Company profile: Qinghai Salt Lake Industry Co., Ltd. (operating in the chemical raw materials and products manufacturing sector) is a provincial state-owned enterprise under the supervision of the State-owned Assets Supervision and Administration Commission of Qinghai Province. The company is located at the Qarhan Salt Lake—the largest dried-up inland salt lake in China—and serves as the country’s current largest industrial production base for potash fertilizer. At present, the company’s registered capital is 1.59 billion yuan, and it has 17,211 employees. Currently, the company has 5 holding companies, 7 branch offices, 8 wholly-owned subsidiaries, 4 affiliated companies, and 1 **-level technology center. The company currently has a production capacity of 2.6 million tons of potash fertilizer, with total assets amounting to 43 billion yuan. The total investment in Salt Lake Group’s integrated magnesium metal project is 27.8 billion yuan. The project comprises ten sub-projects: 100,000 tons per year of metallic magnesium, 1 million tons per year of methanol and olefins produced via MTO process, 500,000 tons per year of PVC (250,000 tons produced by the ethylene method and 250,000 tons by the calcium carbide method), 2.4 million tons per year of coke, 400,000 tons per year of calcium carbide, 1 million tons per year of soda ash, along with 2 x 300MW cogeneration units and a project for the harmless treatment of 100,000 tons of calcium chloride. 18. Qinghai Qinghua Mining, Metallurgy and Coal Chemicals Group’s 6 million tons per year coal-based integrated production project. Owner: Qinghai Qinghua Mining, Metallurgy and Coal Chemicals Group Co., Ltd. Project status: Under construction. Project scale: 1,800 kta of methanol, 300 kta of ethylene, 300 kta of propylene. Company profile: Qinghai Qinghua Mining, Metallurgy and Coal Chemicals Group Co., Ltd. (abbreviated as Qinghai Qinghua Group) was established in June 2003. Against the backdrop of the strategy for the development of the western region, it responded positively to relevant calls and entered Qinghai in 2003 through investment promotion activities held during the “Qinghai Investment Promotion Fair”. After eight years of rapid and extraordinary development, it has now become a large-scale private enterprise group that integrates coal mining and processing, iron ore mining and processing, as well as coal chemical manufacturing. The total registered capital is 690 million yuan, with over 2,200 employees currently working there. It has 4 wholly-owned subsidiaries. As one of the first pilot enterprises in the **-level Qaidam Circular Economy Pilot Zone, Qinghai Qinghua Group has leveraged the local mineral resources with unique advantages to invest in and build a number of landmark and milestone projects. These include the Juhugeng No. 2 Coal Mine, the largest coal mine in Qinghai Province, the 2.5 million tons per year iron ore mining and processing facility in Golmud, as well as Phase I of the Wulan Coal Chemical Circular Economy Industrial Park, which features a 1 million tons per year coal chemical plant, a 3 million tons per year coal washing plant, and a dedicated railway line. Projects for the deep processing of 150,000 tons of tar, a pelletizing plant with an annual capacity of 1.2 million tons, and an iron-zinc ore mining and processing facility at Yemaqiuan with an annual capacity of 500,000 tons are under construction. 19. Huahong Huijin’s 1.8 million tons per year coal-to-methanol and 700,000 tons per year olefins production project. Owner: Pingliang Huahong Huijin Coal Chemical Co., Ltd. Project status: Under construction. Project scale: 1,800 kta of methanol and 700 kta of olefins. Company overview: Pingliang Huahong Huijin Coal Chemical Co., Ltd. is located in the Pingliang Industrial Park in Gansu Province, with a registered capital of 3 billion RMB. The company was established in February 2012. Its construction scale includes the extraction of 10 million tons of coal raw materials per year, as well as the production of 1.8 million tons of coal-derived methanol, 700,000 tons of olefins, and various fine chemical products derived from olefins. The total investment in this project amounts to 26 billion yuan. This project is approved by the National Development and Reform Commission; it is the only large-scale coal-to-olefins upgrading demonstration project in Gansu Province, as well as one of the top ten key projects in Pingliang. It has been included in the national plan for demonstration projects related to the deep processing of coal. The project is implemented in two phases, with Phase 1 including DMTO, polypropylene, polyethylene, as well as utility systems and corresponding auxiliary systems. By utilizing advanced methanol-to-olefins technology and polyolefin processes, it can process 1.8 million tons of methanol per year, producing 360,000 tons of polypropylene and 300,000 tons of polyethylene annually. The second-phase project includes major units such as gasification, shift, low-temperature methanol washing, methanol synthesis, air separation, and sulfur recovery, along with supporting auxiliary systems. Coal/methanol-to-olefins project utilizing Honeywell UOP’s MTO technology. 1. Shandong Yangmei Hengtong MTO Project. Owner: Shandong Yangmei Hengtong Chemical Co., Ltd. Project status: On November 12, 2013, construction commenced on the 300,000-ton/year methanol-to-olefins project undertaken by Yangmei Hengtong Chemical Co., Ltd. On February 13, 2015, the MTO unit was brought online. Project scale: 1,000 kta of methanol, 135 kta of ethylene, 160 kta of propylene. Company profile: Shandong Yangmei Hengtong Chemical Co., Ltd. is a integrated chemical enterprise that combines coal chemistry, salt chemistry, and cogeneration; it is the largest production base for chemicals, fertilizers, and fine chemicals in southern Shandong and northern Jiangsu, and is ranked among the top 100 chemical enterprises in China. The company covers an area of over 1.7 million square meters and has more than 2,000 employees. The company has developed a circular economic development model with thermal power at its core and coal chemical industry and salt chemical industry as its two wings. The main products are urea, caustic soda, hydrogen peroxide, PVC, methanol, thermoelectric materials, and seven types of chlorine-based products. 2. Huisheng Engineering MTO Project: Owner – Huisheng (Nanjing) Clean Energy Co., Ltd. Project status: The plant was successfully commissioned on September 26, 2013, in the Nanjing Chemical Industrial Park, and qualified products were produced; the quality of the ethylene and propylene produced met or exceeded the standards required for polymerization purposes, with the ethylene quality reaching 99.98% and that of propylene reaching 99.8%. Project scale: 1,000 kta of methanol, 135 kta of ethylene, 160 kta of propylene. Company profile: Huisheng (Nanjing) Clean Energy Co., Ltd. (referred to as “Huisheng Energy”) is a company that specializes in the production and operation of various gases, as well as products such as methanol, olefins, and butyl octanol. In the Nanjing Chemical Industrial Park, it has established a complementary industrial chain centered around its coal chemical complex, one that emphasizes optimized resource allocation and shared benefits among participating companies. It serves as a key player in several chemical industry chains within the park, and is regarded as a model enterprise in the Nanjing Chemical Industrial Park as well as an example of implementing the principles of a circular economy. The Huisheng Engineering MTO project not only represented the first successful application of Huisheng Engineering’s MTO separation technology, but it also utilized Honeywell UOP’s advanced MTO technology, making it the world’s first industrial MTO plant to employ UOP technology. 3. Jutai Energy’s Ordos MTO project: Owner – Jutai Energy. Project status: The project with an annual production capacity of 1 million tons of methanol has been completed and put into operation. The project with an annual production capacity of 600,000 tons of olefins began construction in March 2013, with completion and operation planned for the second half of 2015. Project scale: 1,000 kta of methanol, 300 kta of ethylene, 300 kta of propylene. Company profile: Jutai Group was established in 2002; it is a private enterprise focused on coal chemical products and is also a high-tech enterprise at the ** level, holding independent intellectual property rights. The company is engaged in the research, development, and production of products such as methanol, dimethyl ether, olefins, ethylene glycol, and aromatics. It has subsidiaries in Linyi, Shandong, Ordos, Inner Mongolia, Guangzhou, Zhangjiagang, Beijing, and other locations. With an annual production capacity of 1.6 million tons of methanol and 1 million tons of dimethyl ether, the company employs over 4,100 people. While developing clean energy, Jutai Group has primarily focused on creating new coal chemical products with high technological content and added value. The group’s methanol production facility in Inner Mongolia, with an annual capacity of 1 million tons, is currently the largest coal-based methanol plant in the world. The olefin production facility, with an annual capacity of 600,000 tons, began construction in March 2013; it utilizes technology developed by UOP in the United States for producing low-carbon olefins from coal, and is scheduled to come online in the second half of 2015. The planned aromatics production facility from coal, with an annual capacity of 1 million tons and converting those aromatics into PTA, will employ process technologies developed by Tsinghua University. 4. SPIC-Dow 800,000-ton coal-to-olefins project: Owners – SPIC and Dow. Project status: On November 27, 2015, the Ministry of Environmental Protection announced that it had officially accepted the environmental impact assessment documents for this joint venture project between SPIC and Dow, which aims to produce 800,000 tons of coal-based polyolefins per year. The project start date is expected to be after 2017. Project scale: 2,000 kta of methanol, 400 kta of ethylene, 400 kta of propylene. Company overview: The 800,000-ton coal-based polyolefins project is currently the largest of its kind in the world. The MTO+OCP production process, jointly developed by Total and the U.S.-based company UOP, is employed, along with advanced measures to reduce energy consumption and emissions. The comprehensive energy efficiency, energy consumption, water consumption, and pollutant emission levels are at the leading level in the country. SPIC is a super-large central enterprise under the administration of the State-owned Assets Supervision and Administration Commission. It is a comprehensive energy group that operates in various sectors such as electricity, coal, aluminum, railways, and ports. Its total assets are spread across 28 provinces, municipalities, and autonomous regions across the country, and it owns 7 listed companies at home and abroad, including Shanghai Electric. In recent years, China Power Investment has adopted a three-step development strategy, focusing on electricity as the core and coal as the foundation, promoting integrated industrial development, and striving to transform into a comprehensive energy enterprise group. Total Group is one of the world’s leading companies in the oil, gas, and chemicals sectors. It is also the fifth-largest publicly listed company in the oil and gas industry, ranking 11th among the world’s top 500 companies in 2014. Dowdar’s refining and chemical industry operations include the group’s refining, petrochemicals, specialty chemicals, oil trading, and shipping businesses. The petrochemical sector includes basic petrochemicals (olefins and aromatics) as well as the related polymers (polyethylene, polypropylene, and polystyrene); the specialty chemicals sector encompasses rubber products (Haskinson Company) and electroplating (Ametek Company). Coal/methanol to olefins project utilizing Sinopec’s SMTO technology: 1. Zhongtianhechuang coal-to-olefins project. Owner: Zhongtianhechuang Energy Co., Ltd. Project status: The project is located in Ordos, Inner Mongolia; it uses SMTO technology and is being built in two phases. Phase 1 mainly involves the construction of two coal mines and a methanol plant with an annual capacity of 3.6 million tons; Phase 2 focuses on the construction of 2 × 1.8 million tons/year methanol-to-olefins plants, as well as plants for producing 670,000 tons/year of polyethylene and 700,000 tons/year of polypropylene. The project is scheduled to be completed by the end of 2015 and put into operation in July 2016. Project scale: 3,600 kta of methanol, 670 kta of ethylene, 700 kta of propylene. Company overview: Zhongtian Hechuang Energy Co., Ltd. (abbreviated as “Zhongtian Hechuang”) was established in September 2007; it is a large-scale modern enterprise specialized in the deep processing of coal, producing coal chemical products as well as electricity. It was invested and constructed by four shareholder companies: China National Coal Energy Group Co., Ltd., Sinopec Corporation, Shanghai Sheneng Group Co., Ltd., and Inner Mongolia Manshi Coal Co., Ltd. 2. Central China Petrochemical Ethylene Feedstock Conversion (MTO) Project: Owner – Sinopec Central China Petrochemical Co., Ltd. Project status: On December 23, 2009, Sinopec’s methanol-to-olefins demonstration project was established in Puyang, Henan; on August 10, 2011, the 600,000-ton MTO facility of Central China Petrochemical was handed over; on October 10, 2011, the methanol-to-olefins plant of Central China Petrochemical was commissioned successfully for the first time. Project scale: 600kta of methanol, 180kta of ethylene, 60kta of propylene. Company overview: Sinopec Zhongyuan Petrochemical Co., Ltd. (hereinafter referred to as Zhongyuan Petrochemical, commonly known as Zhongyuan Ethylene) was put into operation in July 1996. The company’s registered capital is 2.4 billion yuan, of which Sinopec holds 93.51% and Henan Province holds 6.49%. The initial capacity of Zhongyuan Petrochemical is 140,000 tons per year of ethylene, 120,000 tons per year of polyethylene, and 40,000 tons per year of polypropylene, with a total investment of 4.933 billion yuan. The first round of technical upgrades was carried out in 2000, during which the ethylene production capacity was increased to 180,000 tons per year, the polyethylene production capacity to 200,000 tons per year, and the polypropylene production capacity to 60,000 tons per year. The company also has additional facilities for the further processing of by-products such as gasoline hydrogenation, benzene extraction, hydrogen production, butylene-1, and the production of propylene through catalytic cracking. The main products produced are polyethylene, polypropylene, benzene, butylene-1, MTBE, etc. 3. Sinopec Henan Coal Chemical Hebi Coal Chemical Integration Project
Owner(s): Sinopec Great Wall Energy & Chemical Co., Ltd., Henan Coal and Chemical Industry Group
Project status: Construction commenced in 2013; currently under construction with approval
Project scale: 1,800 kta of methanol, 300 kta of ethylene, 300 kta of propylene

Company introduction: On the 28th, Sinopec Great Wall Energy & Chemical Co., Ltd. was inaugurated in Beijing, marking the full launch of Sinopec’s specialized development of the coal chemical industry. Sinopec Great Wall Energy and Chemical Co., Ltd. is a wholly-owned subsidiary of Sinopec Corporation. It is responsible for investing in and operating Sinopec’s coal chemical business, coordinating the construction of related projects, and providing specialized management for this sector. The company aims to become a leader in China’s coal chemical industry within 8 to 10 years, ultimately ranking among the world’s forefront in the clean and efficient utilization of coal resources. Henan Coal and Chemical Industry Group Co., Ltd. (abbreviated as “Henan Coal and Chemical Group”) is a state-owned wholly-owned company established on December 5, 2008, with the approval of the Henan Provincial Party Committee and the provincial government. It was formed through a strategic reorganization of five companies: Yongmei Group, Jiaomei Group, Heemei Group, Zhongyuan Dahuahua Group, and Provincial Gas Group. It is a large-scale energy and chemical enterprise that engages in diverse activities across various industries such as coal mining, chemicals, non-ferrous metals, equipment manufacturing, logistics and trade, construction, and modern service industries. 4. Sinopec Coal-to-Olefins Project in Bijie: Owner – Sichuan Vinylon Plant of Sinopec Group. Project status: The project’s foundation-laying ceremony was held at the end of September 2011. On June 28, 2015, the Ministry of Environmental Protection stated that although the Development and Reform Commission had entrusted provincial authorities with the approval process for this project, the authority to conduct environmental impact assessments lies with the Ministry of Environmental Protection; therefore, approval for this project must come from the ministry level, and it is still uncertain whether approval will be delegated to provincial authorities. Project scale: 1,800 kta of methanol, 300 kta of ethylene, 300 kta of propylene. Company overview: Sichuan Vinylon Plant of Sinopec Group (referred to as Chuanwei Plant) is located in the Chongqing (Changshou) Chemical Industry Park on the north bank of the Yangtze River in Changshou District, Chongqing. It was one of the four large-scale fiber production projects introduced in the early 1970s with the personal approval of Premier Zhou Enlai. Chuanwei Plant has now become a large-scale integrated enterprise in China that uses natural gas as its main raw material to produce chemical fiber products; it is also the only natural gas-based chemical enterprise under Sinopec Group. Coal/methanol to olefins project using Lurgi MTP technology: 1. Datang Dolun Coal Chemicals’ 460,000 tons per year coal-to-olefins project. Owner: Datang Inner Mongolia Dolun Coal Chemicals Co., Ltd. Project status: Since it began trial production on March 16, 2012, it is still in the commissioning phase. Project scale: 1,680 kta of methanol and 460 kta of propylene. Design institute: China Fifth Ring Engineering Co., Ltd. Company overview: Datang Dolun Coal Chemical Co., Ltd., which has an annual production capacity of 460,000 tons of polypropylene, is located in Dolun County, Xilin Gol League, Inner Mongolia. With a total investment of over 18 billion yuan, it is a demonstration project for olefin production in China’s coal chemical industry and falls under the category of projects supported by energy development strategies and industrial policies. The project consists of 7 main production units, including lignite pre-drying, gasification, syngas purification, methanol production, MTP, and PP production, along with supporting air separation and power generation facilities. Using lignite owned by the Datang Group as raw material, the company employs the world’s most advanced production technologies from companies such as Shell in the Netherlands, Lurgi in Germany, and Dow in the United States to primarily produce polypropylene, while also generating by-products such as gasoline, LPG, and sulfur. After nearly 3 years of construction, the Datang Dolun project has evolved from a blueprint into a large-scale chemical industrial city in reality. 2. Shenhua Ningxia Coal Group’s coal-to-olefins project: Owner – Shenhua Ningxia Coal Industry Group Company. Project status: Construction of the project began in October 2007; all units were completed by September 30, 2010. Full-scale testing started in August of the same year, and by December 31, 2010, the entire production process was operational, enabling the production of qualified polypropylene products. Project scale: 1,800 kta of methanol and 500 kta of propylene. Design institute: China Global Engineering Corporation. Project overview: This project is one of the key projects planned for construction in the Ningdong Energy and Chemical Industry Base (Area A). It covers an area of approximately 192 hectares, with a designed production capacity of 500,000 tons of polypropylene per year; as by-products, it will produce 184,800 tons of mixed aromatics, 41,200 tons of LPG, and 13,800 tons of sulfur. The GSP and MTP technologies employed in this project are the first to be used on an industrial scale worldwide. During the project implementation and trial operation phases, through technical research and improvements, 21 **patents were obtained. Luqi acquired patent rights covering 15% of the global market share related to MTP technology. The gasifier nozzles and MTP catalysts were developed through independent research and are now produced domestically; in addition, a coal furnace with independent intellectual property rights was created. Shenhua Ningxia Coal Industry Group Company is a holding subsidiary of Shenhua Group, and it is also a key enterprise in the Ningxia Hui Autonomous Region. In December 2002, the Party and government authorities of the Ningxia Autonomous Region restructured the three major coal mining groups – Gengyuan, Taixi, and Lingzhou – along with the former Ningxia Coal Group Company, to form Ningxia Coal Industry Group Co., Ltd. In January 2006, the autonomous region **collaborated once again with Shenhua Group to establish Shenhua Ningxia Coal Industry Group Co., Ltd. through capital increase and share expansion. The registered capital is 10.1 billion RMB, of which Shenhua Group holds 51% and Ningxia ** holds 49%. By the end of 2008, the total assets reached 46.888 billion yuan. 3. Anhui Huayi Coal-based Integrated Chemical Production Base Project. Owner: Anhui Huayi Chemical Co., Ltd. Project status: The project is being constructed in two phases; the first phase involves building facilities that use coal as raw material to produce 600,000 tons of methanol and 500,000 tons of ethyl acetate per year. Phase 1 of the project has been successfully put into operation; upon reaching full capacity, it will generate annual sales revenue of 4 billion yuan and approximately 700 million yuan in tax revenues. "During the 12th Five-Year Plan period, new projects will be established successively, including those for 1.8 million tons of methanol, 500,000 tons of olefins, 600,000 tons of ethylene glycol, 100,000 tons of acetic anhydride, 150,000 tons of butyl octyl alcohol, 120,000 tons of acrylates, 180,000 tons of hydrogen peroxide, 400,000 tons of vinyl chloride, and 200,000 tons of dimethyl ether. The entire base project is being advanced in an orderly manner in accordance with the principle of “one-time planning, phased implementation”, and is scheduled to be fully completed in 2020. Project scale: 2,400 kta of methanol and 500 kta of propylene. Company profile: Anhui Huayi Chemical Co., Ltd. is a large state-owned coal chemical enterprise jointly invested in and constructed by Shanghai Huayi Group, Shanghai Huayi Energy & Chemical Co., Ltd., and Huaibei Mining Group Co., Ltd. The company’s registered capital is 1.54 billion yuan, and it currently occupies an area of 2,877 mu. The total investment for the company’s first phase of construction amounted to 5.16 billion yuan. The company’s coal-based cogeneration fine chemical production base was approved by the provincial development and reform commission in 2007; the total investment amounted to 35 billion yuan, with sales revenue expected to reach 50 billion yuan. In line with the principles of a circular economy and comprehensive resource utilization, the plan focuses on using coal as the main raw material to develop high-value fine chemical products, thereby creating a complete coal chemical industry chain. It also aims to expand into downstream products of methanol, turning it into a base for fine chemical products with the longest industrial chain in the coal chemical sector. 4. Anhui Huaihua Group’s 1.7 million tons per year coal-to-methanol and converted olefins project. Owner: Anhui Huaihua Group Co., Ltd. Project status: Under construction. Project scale: 1,700 kta of methanol and 520 kta of propylene. Company overview: Huaihua Group Co., Ltd. is a large-scale coal chemical enterprise controlled by Wanbei Coal and Electricity Group; it is one of the founding members and governing bodies of the new generation of China’s coal chemical industry technology innovation alliance, an initiative promoted by six ministries and commissions. Anhui Huaihua Group Co., Ltd. is a large-scale enterprise, one of the top 100 chemical companies in the country. It is a key enterprise among the thousand enterprises under the close supervision of the Provincial Economic and Trade Commission, as well as one of the 100 enterprise groups that are given special attention by the Ministry of Chemical Industry. It serves as the coal chemical industry hub in Anhui Province. It has over forty types of chemical and fertilizer products. At present, Huaihua has gradually developed a production structure based on five major categories of in-depth processing: synthetic ammonia and ammonia derivatives, methanol and alcohol derivatives, *ao acids and *ao acid salts, coking and chemical product recovery, and fine chemicals, with a total of over 30 different products.