Maoming's 1 million tons of ethylene highlights the advantages of independent innovation

After two years of production, the company realized a profit of 4.381 billion yuan, accounting for nearly 60% of the investment; production and sales of 5.23 million tons of ethylene chemical products, driving hundreds of billions of output value after processing

Until September of this year, China’s first self-innovative ethylene project, Maoming Petrochemical’s 1 million tons of ethylene, has gone through two years of arduous exploration and handed over a transcript that has drawn the industry’s attention: from October 2006 to 2008. In August of this year, it produced 1.8,865,000 tons of ethylene in the last two years, produced 5.23 million tons of various kinds of ethylene chemical products, achieved a sales income of 46 billion yuan, and the products accounted for 60% of the market share in South China Chemical Industry. After processing, the output value was 100 billion yuan. The profit was 4.381 billion yuan, accounting for nearly 60% of the total investment, the annual investment rate of return was over 20%; the tax payment was over 3 billion yuan, which contributed to the increase of national and local fiscal revenues; and the realization of environmental protection "three simultaneouss" and resource recycling. All qualified discharges of the three wastes were rated as national environmental friendly enterprises.
With good economic, social and environmental benefits, Maoming Petrochemical's one million tons of ethylene highlights four major advantages of independent innovation:
The first is the advantage of technological innovation. The investment of 1.56 billion yuan in Maoming's 1 million tons of ethylene not only ranks first in China, but also uses Sinopec's independent innovation technology for the first time, and the localization of equipment is high. Among them, there are 448 of the 510 equipments for ethylene crackers in the project. Manufacturing, localization rate reached 84.84%, according to the total value of equipment, domestic equipment value accounted for 83.07% of the total cost. At the same time, the largest 300,000-ton polypropylene plant in China has first adopted the improved localized second-generation ring pipe process and achieved localization of major equipment, and built 640,000 tons/year of gasoline hydrogenation and 460,000 tons/year of aromatic hydrocarbon pumping. The 100,000 tons of butadiene and other devices also used core technologies and proprietary technologies independently developed by Sinopec, becoming the largest ethylene project with the largest number of independent innovation technologies, thus rewriting the major ethylene technologies and equipment in China relying mainly on the introduction of history. After nearly two years of unremitting exploration, Maoming Ethylene successfully mastered its own innovative technology, 300,000 tons of polypropylene and other major devices to achieve the standard production, hearth equipment such as 600,000-ton cracking gas compressor to achieve a long period of smooth operation, to create benefits to win condition.
The second is the advantages of low-cost expansion. "Today's investment is the cost of tomorrow." Due to the adoption of independent innovation technologies, localized equipment, and full use of and reliance on existing facilities and public works, while strictly controlling investment costs during construction, Maoming's total investment in million tons of ethylene is 343 million yuan less than the budget, and equipment is taxed locally. Billion yuan has greatly reduced investment costs. Maoming added one million tons of ethylene to new tons of ethylene production capacity and invested 11,800 yuan. Compared with the average domestic investment of 1,47,700 tons of large-scale ethylene-renovated tons of ethylene, the company saved investment by 16%, setting a new domestic record for ethylene investment. It will help improve the project investment return rate.
The third is the advantages of production cost and management cost savings. Thanks to the use of independent innovation technology, it is beneficial to rely on domestic solutions for parts and components, implement localization of “three doses”, effectively reduce production costs and management costs, and significantly reduce processing costs for Maoming Ethylene products to the second place in China’s petrochemical system and put into production. Since it has saved production costs by more than 500 million yuan, it has seized the opportunity of localization of ethylene process equipment to facilitate the localization of “three agents”, implemented 11 localization of “three agents”, and saved 99.74 million yuan of procurement funds each year.
The fourth is the optimization advantage of refining and chemical integration. In the application of independent innovation technologies, Maoming Petrochemical promoted the strategy of “refining large refineries and large ethylene,” and enhanced the comprehensive utilization of oil and ethylene materials for mutual use, effectively improving resource utilization and economic efficiency. Through the processing of the aromatics raffinate oil-refining refining system produced by ethylene into finished oil, a 50-million-yuan increase in efficiency will be achieved in one year. The fuel and gas supply from refining and ethylene will reduce emissions and reduce costs by 40 million yuan. After continuous optimization in the past two years, the consumption of water in Maoming ethylene-ton products has dropped by 50%, energy consumption has dropped by 5%, and major economic and technical indicators have entered the advanced level in the industry.

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