China invests US$1.45 bln in Coal-To-Olefin project

27-Sep-05

China's first coal-to-olefin project will be built by China Shenhua Group Corp. in Baotou, in Inner Mongolia Autonomous Region, at a total investment of 11.7 billion yuan (US$1.45 bln). The project will include a 1.8 mln ton methanol installation, a 600,000 ton MTO (methanol-to-olefin) installation, a 300,000 ton polyethylene installation and a 300,000 ton polypropylene installation. The project will consume 3.45 million tpa of coal as the raw material and 1.17 million tpa of fuel coal. The preparatory work for the project has been basically completed. With the approval from China's State Development and Reform Commission, work on construction of the project is expected to start immediately.