A new player enters, a state-owned enterprise in Xinjiang lays out natural gas method BDO

Karamay Fucheng Energy Natural Gas Comprehensive Utilization Project, with an estimated total investment of USD 500 million, is located in Baiyatan District Industrial Park and proposes to build 100,000 tons/year of 1,4-butanediol (BDO) plant, including 40,000 tons/year of acetylene, 100,000 tons/year of methanol, 220,000 tons/year of formaldehyde, etc. BDO is one of the main raw materials of PTMEG.

The total land acquisition area of the project is about 550,000m2. The project uses natural gas as raw material to produce acetylene, which requires a total of 500 million cubic meters of natural gas per year, and is expected to purchase natural gas from PetroChina Gas Sales Xinjiang Branch. After the acetylene tail gas is separated by the gas separation device, the separated hydrogen is sent to the BDO plant and the remaining part is sent to the methanol plant to prepare methanol. Methanol is used to make formaldehyde, and then acetylene and formaldehyde are used as raw materials to prepare BDO by acetylene aldehyde process.

After the 100,000 tons of BDO is completed and put into operation, it can provide 120,000 tons of PBAT/PBS production line raw materials to the downstream company, the demand is about 75,000 tons, and the remaining little part of BDO is marketed and sold. The annual sales revenue of the product is about USD 250 million, generating profits of about USD 40 million for the company, paying taxes of USD 1.48 million per year, providing labor jobs for 472 people, and spending USD 170 million on wages and benefits per year.