CNPC Expanding Ethanol Capacity in Daqing

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Researched by Industrial Info Resources (Sugar Land, Texas)--A China National Petroleum Corporation (CNPC) (Beijing) subsidiary in Heilongjiang Province recently announced that the company has started a project to expand ethanol capacity in Daqing City. The $1.9 billion project will increase the Daqing company's ethanol capacity from 600,000 tons per annum (TPA) to 1.2 million TPA. After the project's completion in 2011, the subsidiary would be one of China's largest ethanol producers.

Also included in the plans are: a 300,000 TPA of polypropylene, 600,000 TPA of pyrolysis gasoline hydrogenation, 400,000 TPA of aromatics extraction, two all-density polyethylene (250,000 TPA and 300,000 TPA), and dozens of public facilities (butyl alcohol and 2-ethyl hexanol, polybutadiene rubber, boilers, roads, etc.).

The annual capacity of propylene, butadiene, polyethylene, polypropylene, polybutadiene rubber and butyl alcohol and 2-ethyl hexanol will reach 610,000 tons, 220,000 tons, 1.09 million tons, 400,000 tons, 160,000 tons and 200,000 tons, respectively.

The Daqing company currently can refine 12 million TPA of crude oil, providing ample raw material for the ethanol product lines. It will adopt advanced techniques and equipment for the project, making it a clean project, reaching the goal of also reducing emissions. The company will also renovate equipment to raise efficiency and reduce emissions.

China found its first oilfield in Daqing half a century ago and since then has become one of China's most important oil production and refining bases. CNPC's Daqing company built the 300,000-TPA ethanol product line in 1998 and enlarged it to the current capacity.

Daqing oilfield, China's biggest, passed its production peak several years ago. After years of research, Daqing has set the petrochemical product chain as its aim and has made the current project a key one in the nation's petrochemical plans in the 11th five-year plan (2006-10).

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