Recently, a group of companies are reporting to the National Development and Reform Commission on Ethylene Cracking and Ethylene Demonstration Project. It is reported that there are 2 to 3 demonstration projects. In the end, the project will be fierce.
Actively prepared everywhere
At present, there are altogether 7 companies that have announced the ethane ethylene project planning, which are: The world's top 500 enterprises Xinjiang Guanghui Industrial Investment (Group) Co., Ltd., the top 500 domestic polyester fiber leading enterprise Zhejiang Tongkun Holding Group Co., Ltd. A 2 million-ton/year ethylene project in Dalian Xizhong Island, a supporting ethane terminal and a storage tank project invested by the company in cooperation with a large-scale central state-owned enterprise in Dalian Changxing Island (West Zhongdao) petrochemical industry base area, with a total investment of approximately RMB 30 billion The project uses 2.6 million tons/year of ethane to crack ethylene, down 1.4 million tons/year of high-density polyethylene and linear low-density polyethylene, and 1.1 million tons/year of ethylene glycol. It is expected to be completed and put into production in February 2021. The 2 million tons/year ethane-based ethylene project planned by Jineng City in Jinzhou City. This project is expected to have a total investment of RMB 26.1 billion. The construction period is estimated to be 36 months. Tianjin Shenghua Chemical Development Co., Ltd. proposes The 1 million-ton/year ethylene-based ethylene project will be the leader, supporting the construction of a 350,000-ton/year high-density polyethylene plant and a 450,000 tons/year linear low-density polyethylene plant. Yangmei Coal Group Qingdao Hengyuan Chemical Co., Ltd. is in Qingdao Dong Family planning 2 million tons/year ethane comprehensive utilization project. Nanshan Group Co., Ltd. Longkou high-end chemical new material industrial concentration area plans to use imported ethane as raw material to produce ethylene, ethylene glycol, polyethylene and other products. The main equipment includes : 2 million tpa ethylene plant, 1.25 million tpa ethylene glycol plant, 400,000 tpa ethylene-vinyl acetate polymer/low density polyethylene resin plant, 35 million tonne/year linear low density polyethylene resin plant , 350,000 tons/year high density polyethylene resin plant, 300,000 tons/year high density polyethylene resin/linear low density polyethylene resin plant. Satellite petrochemical planned 2.5 million tons/year ethane cracking in Lijing New District, Lianyungang Ethylene plant, 1.5 million tons/year propane dehydrogenation to propylene plant, PE, EO/EG, vinyl acetate, propylene oxide, acrylonitrile, polypropylene, acrylic acid and ester downstream supporting equipment. Guangxi Investment Group Co., Ltd. 1 million tons The Ethylene Ethylene Project is planned for the Sandun Circular Economy Demonstration Island in Qinzhou City, Guangxi Province. The total projected ethylene production capacity of the above project is 11.5 million tons/year, and the required ethane production capacity is approximately 15 million tons/year. Insiders pointed out that in addition to The announced planning project, there are some intention companies did not enter the public vision.
For the application of the ethylene cracking ethylene demonstration project, the reporter found during the interview that all localities are actively preparing for the project. Many projects have even received attention from local provinces and cities.
The progress of the project is not uniform
For these projects that have already been announced and planned, they have different advantages and they have different progresses. The demonstration project can be used to anybody, and people in the industry have to wait and see.
From the point of view of location, Dalian Huikun New Material Co., Ltd. and satellite petrochemical planning projects are all in the national seven petrochemical industrial bases, in line with the state's proposal to build a large-scale refinery, and ethylene projects will be given priority in the national seven petrochemical industrial bases in principle. The Qinzhou, where the Guangxi Investment Group Co., Ltd. planning project is located, is the most convenient passage to the sea in the southwest region.
Judging from the progress of the project, the implementation of ethane is a top priority. At present, Zhejiang Satellite Energy Co., Ltd., a wholly-owned subsidiary of satellite petrochemicals, has jointly established a joint venture company in the United States with SPMT, a US company. The joint venture plans to build ethane export facilities. Focus Group, Nanshan Group Co., Ltd. has signed a supply contract with ethane company in the United States. In particular, Dalian West Island 2 million tons/year ethylene project is signed by a large-scale central enterprise directly with a US ethylene resource supplier for ten years. Locking down ethane resources, and jointly with the ethane supplier, Guanghui Group and internationally renowned shipping companies, investing in ethane liquefaction and export facilities in the United States, enjoying control and pricing of export facilities and exclusive procurement rights, and shipping companies The ship construction and operation plan has also been determined. At the same time, this central enterprise also led the investment and operation of the ethane import terminal and storage tank area for Dalian West Zhongdao Island to form a unique ethane supply chain protection.
From the perspective of the company, Guangxi Investment Group Co., Ltd., Tianjin Suihua Chemical Development Co., Ltd., Yangmei Group are state-owned enterprises, and several other companies are private enterprises. At the same time, Tianjin Suihua Chemical Development Co., Ltd., satellite petrochemical, Xinjiang The chemical background of Guanghui and Zhejiang Tongkun is even more eye-catching, especially the Xinjiang Guanghui Group and the Zhejiang Tongkun Group, two of the ethylene 2 million tons/year ethylene projects of Xizhong Island, both of which are industry leaders. At present, it has finally surfaced, and has jointly invested in Dalian Xizhongdao Petrochemical Industrial Park to establish a project investment company - Dalian Huikun New Material Co., Ltd., to fully start all the preliminary work of the project construction. This project construction not only proves that the investment Shanhaiguan Customs is of great significance to accelerating the transformation and upgrading of Liaoning's petrochemical industry, boosting the development and opening up of the coastal economic belt of Liaoning, and the national strategic development of rejuvenating northeast China.
Risk can not be ignored
Although various companies are actively preparing for the project, one person in the industry engaged in international energy trade repeatedly emphasized the risks to reporters.
It is understood that the ethane export facility is a key link in the export of ethane resources. It is generally held in the hands of pipeline companies in the United States. These pipeline companies build fractionation units to separate ethane from natural gas condensate, and then build separate pipelines to export. The facility is connected to the underground salt cavern of ethane in Mont Bellevue, Texas, USA. This will ensure that ethane can be exported. There are three modes of investment for general U.S. export facilities: First, U.S. companies are wholly owned and operated by U.S. companies, and export facilities are used. Pricing is determined by the U.S. companies; secondly, U.S. companies and foreign partners set up joint ventures, and foreign partners join as financial investors. The U.S. usually requires foreign parties to provide large amounts of funds to invest in export facilities, but foreign The company’s operations, management, and pricing do not have any control; the third is the establishment of a joint venture between the U.S. company and the foreign company to jointly control the operation, management, and pricing of the joint venture. The difficulty for the Chinese company to have resources is evident. .
At the same time, the sale of ethane resources to Chinese companies in the United States requires a 10- to 15-year-long contract, and a large performance bond guarantee is required, mainly to worry about Chinese companies’ breach of contract and the United States’ investment in facilities. According to the demand for ethane, the demand is generally 1.3 million tons of ethane for the equivalent of 200 million U.S. dollars and 2.6 million tons of ethane for the performance guarantee of 400 million U.S.. The performance guarantee will set many terms in the contract. In the middle of the year, if there is a violation, it will be regarded as a breach of contract, and the triggering of many clauses is sometimes caused by uncontrollable circumstances. The non-implementation of the temporary contract does not actually harm the long-term interests of U.S. companies in pipelines and export facilities. But if the U.S. The party did not supply, and did not see the U.S. companies providing Chinese companies with the corresponding performance guarantees. From this point of view, it is in fact unequal.
In addition, for private enterprises, domestic foreign loans are external debts, the state has strict controls, and the approval process is long. There are many uncertainties. For those companies whose own financial strength is not strong, the amount of new investment projects is It is several times that of the existing company's total assets. Whether the related company has the corresponding strengths and capabilities is also a matter of caution.
In summary, the industry analysts stated that the ethane-based ethylene project involves upstream ethane resource acquisition, pipeline construction, US liquefaction export facilities, transoceanic transportation, China's import facilities, ethane cracking equipment, and multiple international and domestic trades. The link is a complex systematic project that requires strong capital and strength to build and operate related facilities. It also requires talents from various disciplines to control and manage all nodes and avoid risks. A company alone operates, funds, talents, etc. It is difficult to fully support all aspects. Therefore, when designing a project, it is necessary to consider the cooperation of multiple parties to help each other to take full advantage of their respective advantages in trade, transportation, installations, and capital, and to complete the project through the entire industry chain.