SINOPEC Engineering Group (SEG) and Zhong Tian He Chuang Energy Corporation entered into an EPC contract for the development of a new coal chemical project in Uxin Banner, Ordos, Inner Mongolia. SEG’s scope of the work under the contract includes the general contracting of engineering, procurement, construction (EPC) for main units, such as a coal gasification unit, a purification unit, a 3.6 Mtpa synthetic methanol unit and two 1.8 Mtpa methanol to olefin units (SMTO).
SEG will also supply a 200 Ktpa olefin catalytic cracking unit, a 350 Ktpa polypropylene unit (loop reactor), a 350 Ktpa polypropylene unit (gas reactor), a 10 Ktpa MTBE and 30 Ktpa 1-butylene combined unit utilities and facilities, such as the air separation and air compression units, olefin intermediate tankage units among other things. The contract took effect from the date of signing and the provisional handover date shall be by 30 October 2015. The total value of the contract is approx. EUR 2.27B.
This is by far the world’s largest coal to olefin project. Equipped with the SMTO technology jointly developed by SEG and China Petroleum & Chemical Corporation, it has the capacity up to an aggregate of 3.6Mtpa methanol to olefin units.