Oriental Shenghong plans to invest 3.939 billion yuan to build the third phase of purified terephthalic acid (PTA) project

On the evening of June 27, Dongfang Shenghong announced that in order to further consolidate the advantages of purified terephthalic acid (PTA) production scale and enhance the comprehensive competitiveness of the entire industry chain, the company's secondary wholly-owned subsidiary Jiangsu Honggang Petrochemical Co.
, Ltd.
The company ("Honggang Petrochemical") will invest in the construction of a 2.
4 million ton/year purified terephthalic acid (PTA) phase III project
.
The total investment of the project is 3,938,550,000 yuan, and the project construction period is planned to be 28 months
.

Basic information on investment projects

Project name: Phase III project of 2.
4 million tons/year purified terephthalic acid (PTA) of Jiangsu Honggang Petrochemical Co.
,
Ltd.

Construction site: Lianyungang Petrochemical Industry Base, Xuwei New District, Lianyungang City, Jiangsu Province.
The project covers an area of ​​about 24.
1 hectares
.

Construction content and scale: This project plans to build a 2.
4 million tons/year purified terephthalic acid (PTA) production plant, and simultaneously implement desalinated water storage tanks, circulating water cooling stations, comprehensive water supply stations, sewage treatment, hydrogen compressors and PSA , Public transformation and distribution room, finished product packaging and finished product warehouse, material warehouse, transformation and distribution room, installation tank farm, installation cabinet room and other supporting projects and ancillary facilities, and other public and auxiliary projects rely on existing facilities
.

Investment amount: The total investment of this project is 3,938,550,000 yuan, of which construction investment is 3,503,860,000 yuan
.

Source of funds: own funds, bank loans,
etc.

Project progress: The construction period of this project is planned to be 28 months
.
At present, the preparation, review, and project filing of the project feasibility study report have been completed, and it is still in the preliminary approval stage
.

Dongfang Shenghong said that the construction of this project is in line with the company's industrial integration development strategy, and is an important intermediate link in the company's "crude oil refining-PX/ethylene glycol-PTA-polyester-chemical fiber" industry chain, which will digest the company's Shenghong Refinery upwards.
The p-xylene (PX) production capacity of the chemical integration project will provide stable supply of raw materials for the company's polyester chemical fiber segment, which is conducive to the realization of the company's development strategy and the sustainable and stable development of production and operation
.

This project adopts the most advanced green PTA production technology with further energy saving and optimization, which effectively reduces the production cost
.
The construction of this project will reasonably plan public works and auxiliary facilities, optimize the project construction period, make full use of the existing construction conditions of Shenghong Petrochemical Industrial Park, and partially rely on the existing equipment reservation of Honggang Petrochemical, which is conducive to reducing the overall investment quota.
Further reduce the overall operating cost of Honggang Petrochemical and improve the core competitiveness of products
.
At the same time, the expansion of Honggang Petrochemical's PTA production capacity will help to increase market share, further increase the market share of main products, and consolidate the company's industry position
.
After the project reaches production, it will have a positive effect on the company's operating performance
.