CNOOC Shell Huizhou Phase III Ethylene Project and Polycarbonate Project have started full construction!

Recently, the final investment decision was made for the Huizhou Phase III Ethylene Project and the Polycarbonate Project of CNOOC Shell Petrochemical Co., Ltd., and the full construction was officially started.

The Phase III Ethylene Project of CNOOC Shell will build a 1.6 million tons/year ethylene cracking unit and 16 sets of downstream chemical production units and supporting facilities, which are scheduled to be completed and put into production in 2028. The project introduces a number of process technologies that are used for the first time in Asia and China, of which 7 sets of units use Shell's proprietary technology, and can provide more than 5 million tons of chemical products to the market each year, including metallocene polyethylene, polypropylene, styrene, polyether polyols, ethylene glycol, alpha olefins, synthetic alcohols, polyalphaolefins, etc. At the same time, through measures such as optimizing the scope of the project and electrifying large compressor units, the Phase III project will achieve an overall 20% reduction in carbon dioxide emissions and promote the use of renewable green energy and electricity.

The polycarbonate project will build a 260,000 tons/year polycarbonate unit, a 240,000 tons/year bisphenol A unit, a 220,000 tons/year diphenyl carbonate unit, and supporting R&D facilities, which are scheduled to be completed by the end of 2026. The project will use Shell's proprietary production technology, which is the first time that Shell has applied it industrially in the world. It has the advantages of low raw material and utility costs, low energy consumption, safety and environmental protection. After the project is completed and put into production, it can produce 320,000 tons of high-performance specialty chemicals per year, including polycarbonate and carbonate solvents.

Gao Yu, President of CNOOC Shell, said: 'The new project will be integrated with the existing Phase I and Phase II resources and Huizhou Petrochemical Refining Industry, improve the energy efficiency of refining and chemical integration, effectively extend the product value chain, deepen the layout of high-end new materials, and meet the needs of domestic customers for the extension and development of the petrochemical industry chain. At the same time, it will help CNOOC Shell to further play the 'banyan tree effect' and the driving advantages of large projects, attract more downstream customers to settle in Huidong New Materials Industrial Park near Huizhou Daya Bay, and make new contributions to the construction of Huizhou and Daya Bay into a global petrochemical industry highland.'

CNOOC Shell Petrochemical Co., Ltd. was established in 2000. It currently has two phases of factories in operation with a total ethylene production capacity of 2.2 million tons/year. It is one of the largest ethylene monomer petrochemical complexes in operation in China. After the completion of the two new projects, the total ethylene production capacity of CNOOC Shell will reach 3.8 million tons/year, and it can supply more than 10 million tons of high-quality and diversified petrochemical products to the market.

Huang Zhongjin, Vice President of CNOOC Shell, said: 'The two projects will promote CNOOC Shell's strategic goal of becoming the preferred partner for highly differentiated product solutions. With the company's continuous investment in product application research and development and the continuous improvement of its research and development capabilities, CNOOC Shell will provide customer-centric product solutions, develop and produce customized and high-end products, and fulfill its commitment to sustainable development and high-quality lifestyles. At the same time, the completion of the final investment decision for the two new projects also fully demonstrates the confidence of both shareholders in the future development of CNOOC Shell, the good government-enterprise ecosystem, and the growth of demand in China's high-performance chemical market.'