Shaanxi Coal Group’s Yulin Chemical New Polyolefin and Other Projects With Total Investment Exceeding 6.5 Billion Yuan

The olefin, aromatic, and deep processing engineering project of Yulin Chemical Co., Ltd., a subsidiary of Shaanxi Coal and Chemical Industry Group, with an annual coal conversion capacity of 15 million tons for clean and efficient demonstration, received approval from the Ministry of Ecology and Environment in January 2024. The total investment of the project is 176 billion yuan, primarily involving the construction of facilities for 13.5 million tons/year of coal pyrolysis, 5.6 million tons/year of methanol, 1.5 million tons/year of aromatics, and downstream deep processing units and auxiliary facilities. The main products include new materials, degradable materials, and battery electrolytes. The project aims to alleviate the supply-demand contradiction of "abundant coal and scarce oil" in China, respond to the strategic development trend of high-end, diversified, and low-carbon coal chemical industry, and promote the development of the degradable materials industry.

Currently, the implementation of the "Olefins, Aromatics, and Deep Processing Project" is planned to be carried out in stages due to factors such as technology sources, market conditions, and funding guarantees. The initial phase will focus on constructing coal-to-methanol-to-olefins and some downstream units (polyethylene, polypropylene, vinyl acetate, EVA, acrylic acid, and superabsorbent polymers, etc.), with an investment of approximately 62 billion yuan. Subsequently, the remaining downstream olefin units (ethylene oxide, POE, propylene oxide, phenol acetone, biodegradable materials, etc.) and aromatics and downstream units (coal pyrolysis, coal tar hydrogenation, aromatics integration, polycarbonate, polyester, etc.) will be constructed in an orderly manner.

Due to the inconsistent commissioning times of the facilities implemented in phases, the olefin unit constructed earlier produces a surplus of 254,000 tons/year of ethylene and 371,600 tons/year of propylene during the transition period. Ethylene and propylene monomers are flammable and explosive and can only be stored short-term under low temperature or high pressure conditions. Selling and transporting them externally poses significant safety risks, and surrounding enterprises already have stable sources of ethylene and propylene, making it impossible to sell or locally consume this surplus ethylene and propylene. Therefore, to phase-wise consume the surplus ethylene and propylene, Shaanxi Coal and Chemical Industry Group Yulin Chemical Co., Ltd. plans to adopt a "one feedstock, multiple products" construction approach, intending to build projects for 300,000 tons/year of polyethylene, 400,000 tons/year of polypropylene, as well as 220,000 tons/year of vinyl acetate and 200,000 tons/year of polyvinyl alcohol during the transition period.

The construction of the polyolefin project and the polyvinyl alcohol project not only utilizes surplus ethylene and propylene but also shortens the industrial chain compared to downstream olefin and aromatic downstream units (6 units that directly use ethylene and propylene as raw materials, along with 10 downstream extension units), resulting in reduced pollutant emissions. In addition, it brings better profits to the enterprise and enriches downstream products.

Project Name:Shaanxi Coal and Chemical Industry Group Yulin Chemical 300,000 tons/year polyethylene and 400,000 tons/year polypropylene (emergency response) project

Project Nature:

Construction site:Yulin Yushen Industrial Zone Qingshui Industrial Park.

Construction Content:Construction of three temporary emergency disposal units and auxiliary facilities: a new 300,000 t/a high-density polyethylene (HDPE) unit, a 400,000 t/a polypropylene (Spheripol PP) unit, and a 50,000 t/a butene-1 unit.

Total Project Investment:The total investment is 3,168.59 million yuan, of which the environmental protection investment is 16.7 million yuan, accounting for 0.53% of the total project investment.

Land area:This project is located in the existing South Plant Area, with a total area of 1016.38 hectares.²This project covers an area of 10.35 hectares.²。

Staffing and Operating System:The factory operates 8,000 hours per year, and this project requires 131 employees.

Project Name:Shaanxi Coal and Chemical Group Yulin Chemical Co., Ltd. 220,000 tons/year vinyl acetate and 200,000 tons/year polyvinyl alcohol project

Project Nature:

Construction Unit:Shaanxi Coal and Chemical Industry Group Yulin Chemical Co., Ltd.

Construction site:Qingshui Industrial Park, Yushen Industrial Zone, Yulin City, Shaanxi Province

Capacity and Operating Procedures:The staffing level is 168 people, with an annual operating time of 8,000 hours.

Construction content:The main contents of the project construction include220,000 tons/year vinyl acetate plant, 200,000 tons/year polyvinyl alcohol plantAnd the supporting auxiliary facilities.

Total Project InvestmentThe total investment of the project is 3,386,212,100 yuan, of which the environmental protection investment is 16,800,000 yuan, accounting for 0.50%.

Land area:The total site area of this project is 13.66062 hectares.²。