Urea, chlor-alkali in Qinghai

28 February 2005 00:01  [Source: ACN]

QINGHAI Salt Lake Potash Co is to build a 330 000 tonne/year urea facility and a 120 000 tonne/year chlor-alkali plant in Geermu, Qinghai, China, a company source told ACN.

The proposed units are part of an integrated project. The company had planned to build a 100 000 tonne/year polyvinyl chloride (PVC) plant, a 60 000 tonne/year potassium hydroxide unit, a 72 000 tonne/year potassium carbonate unit, and a 90mW power plant, but it was not known that a urea facility and a chlor-alkali plant would be included (ACN 5 April 2004).

The company planned to use natural gas to make acetylene, which would be used to make vinyl chloride and then PVC. Engineering design had started, said the source. The company had also sought bids from contractors and equipment suppliers. It aims to start up the proposed plants at the end of 2006.

The project had been projected to cost about Rmb1.8bn (US$217.5m), but the source said the figure had increased with rising construction costs. He was unable to say what the revised cost was. The project would be funded through equity injection and bank loans, but the source was unable to say if financing had been firmed up.

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