Liaoning New Integrated Refining and Petrochemical Project

On March 20, the Changxing Island Economic and Technological Development Zone of Dalian released the first public notice of environmental impact assessment for the integrated refining and petrochemical project (Xizhong Island) of PetroChina Dalian Petrochemical Company.

Project Name: China National Petroleum Corporation Dalian Petrochemical Company (Xizhong Island) Refining and Chemical Integration Project

project nature: new construction

construction site: Dalian Changxing Island Economic and Technological Development Zone Xizhong Island Petrochemical Industrial Park

Construction content: This project plans to build new facilities with an annual capacity of 10 million tons of oil refining and 1.4 million tons of ethylene, along with downstream facilities, and will also construct supporting storage and transportation, utility engineering, and auxiliary facilities. The project scope includes the refining and chemical plant area, docks, off-site pipelines, and off-site power supply, railway, and other facilities.

November 16, 2024 Dalian Petrochemical Branch (Xizhong Island) integrated refining and chemical project preliminary feasibility study report obtained approval from China National Petroleum Corporation. After the approval, the relocation of Dalian Petrochemical to Xizhong Island for construction will make substantial progress! The following are some detailed information about the project:

project background

The Dalian petrochemical relocation project has a long history. In 2013, the National Development and Reform Commission proposed the layout of seven major petrochemical industry bases nationwide, and the Dalian Xizhong Island (Changxing Island) Petrochemical Industrial Park became the preferred location for the relocation of Dalian Petrochemical.

On November 20, 2022, a signing ceremony for the cooperation framework agreement on the relocation and transformation project of Dalian Petrochemical of China National Petroleum Corporation was held by the Dalian Municipal Government, clarifying the construction scale and objectives of the project.

project planning

Phase one project: The construction of new facilities will include 10 million tons/year of oil refining and 1.4 million tons/year of ethylene, as well as downstream chemical new materials and other "chain extension" projects, actively building a green, low-carbon, efficient, and new type of integrated refining and petrochemical project.

Phase II project: After the full completion and commissioning, it will ultimately achieve a refining capacity of 20 million tons and an ethylene production capacity of 2.4 million tons on Xizhong Island, which is basically equivalent to the current atmospheric and vacuum distillation capacity of Dalian Petrochemical. After relocation, the ethylene production capacity will increase by 900,000 tons.

project significance

Promote industrial upgrading: The project will strongly promote the transformation and development of Dalian's petrochemical industry towards greener, higher-end, and smarter directions, driving the optimization of layout and industrial upgrading of Dalian's petrochemical industry, and helping to build a modern industrial system with competitiveness.

Enhancing Regional Economy: The implementation of the project will transform the petrochemical product structure in Dalian City, shifting from a focus on oil processing to an expansion towards midstream and downstream high-value-added industrial chains, becoming an important economic growth pole for Dalian City in the future.

Enhance industry competitiveness: As the project progresses, the international competitiveness and influence of the Dalian Changxing Island (Xizhong Island) Petrochemical Industry Base will rapidly increase, accelerating the cluster development of leading petrochemical projects such as integrated refining and chemical, as well as related industrial projects.

supporting facilities construction

Pier construction: The first phase of the working boat pier project in the Changxing Island port area of Dalian Port, Zhong Island operation area, has been completed and is about to be put into use. Two 10,000-ton liquid piers are under accelerated construction.

Public utility corridor project: The park plans to construct a 13.4-kilometer public utility corridor, including 10 kilometers of material corridors and 3.4 kilometers of power corridors. Currently, 70% of the material corridors under construction have been completed.

Road construction: The road project supporting the Xizhong Island Refining and Chemical Industry Park is about to enter the construction phase. East 3rd Street has been successfully completed and opened to traffic, while the extension of East 2nd Street is accelerating the processing of preliminary procedures.

On October 28, 2024, the official website of Dalian Municipal Government released that the relocation of Dalian Petrochemical has pressed the "acceleration key", and the construction of supporting roads for the Xizhong Island Refining and Chemical Industry Park, which is about to be relocated to, has started.

 

On April 11, 2024, the team from China Huanqiu Engineering Co., Ltd. Beijing Branch, the unit responsible for compiling the environmental impact assessment report for the Sinopec Dalian Petrochemical (Xizhong Island) integrated refining and petrochemical project, went to the Xizhong Island Petrochemical Industry Base. They conducted a field survey of the project site and held a symposium to understand the information needed for the preparation of the environmental impact assessment report. Wu Junfeng, Deputy Secretary of the Party Working Committee and Deputy Director of the Management Committee, attended the symposium.

In March 2024, with a total investment of 68.5 billion yuan, the agreement for the relocation and upgrade project of PetroChina Dalian Petrochemical was officially signed.

On the morning of March 10, 2023, Ren Lixin, member of the Party Leadership Group and Deputy General Manager of China National Petroleum Corporation, inspected the progress of the supporting infrastructure construction for the Xizhong Island Refining and Chemical Project.

The relocation project of Dalian Petrochemical of CNPC has a long history. In 2013, the National Development and Reform Commission's "Petrochemical Industry Planning and Layout Scheme (Draft for Comments)" proposed the establishment of seven major petrochemical industry bases nationwide. Among them, Dalian Xizhong Island (Changxing Island) Petrochemical Industrial Park, as an important part and specialized park of the national-level economic and technological development zone - Changxing Island Economic and Technological Development Zone, became the preferred location for the relocation of Dalian Petrochemical.

In 2014, the "Environmental Impact Report for the Dalian Petrochemical Company of China National Petroleum Corporation Changxing Island Refining and Chemical Project (Phase I) 15 million tons/year Russian Oil Processing Project" was publicly displayed online. The environmental impact assessment report shows that China National Petroleum Corporation and the Dalian Municipal People's Government signed the "Cooperation Framework Agreement for the Dalian Changxing Island Refinery Project," planning to relocate the 20.5 million tons/year crude oil processing capacity of the Dalian Petrochemical Company of China National Petroleum Corporation to Changxing Island. This project processes 15 million tons of imported Russian crude oil annually. According to the plan of China National Petroleum Corporation, the Changxing Island refining and chemical project is part of the relocation and renovation project of the Dalian Petrochemical Company, with phased construction; Phase I involves new construction, while Phase II involves relocation.

Focusing on the basic chemical raw materials released by the relocation and renovation project of CNPC Dalian Petrochemical, Dalian City has fully leveraged its "chain leader" role, and has already engaged in discussions with over 20 high-quality downstream industry projects that have both technology and market potential. Once these projects, which span the entire industrial chain, reach full production, it is expected to form an investment of 120 billion yuan, driving output value exceeding 150 billion yuan. This will further strongly promote the construction of Dalian City as a "world-class green petrochemical base" and the realization of the city's development goal of "trillion-yuan GDP within three years."

The new refining and chemical project will strongly promote the transformation and development of Dalian's petrochemical industry towards greener, higher-end, and smarter directions, drive the optimization of layout and industrial upgrading of Dalian's petrochemical industry, and help our city to accelerate the construction of a competitive modern industrial system.