China’s P&L methanol to switch to coal feedstock

08 May 2008 08:58  [Source: ICIS news]

SHANGHAI (ICIS news)--China-based Pingmei & Lantian (P&L) has invested yuan (CNY)960m ($137m) to convert its natural gas-based methanol unit to coal to meet the pressure from increasing natural gas prices, a company source said on Thursday.

Zhongyuan Methanol, P&L’s biggest subsidiary, has a methanol capacity of 400,000tonne/year, and presently uses natural gas as feedstock.

"Zhongyuan Methanol will use coal as feedstock once the technology project is finished in the end of 2009," said the official who in charge of the project.

The methanol producer was facing immense pressure from rising natural gas prices and would save around CNY 300/tonne once it began using coal as feedstock, said the source.

P&L located at Zhumadian in Henan province has two other subsidiaries in Suiping and Guangshan, also in Henan.

($1=CNY6.99)

By: Dolly Wu
+65 6780 4359

< previous article(ICIS Chemical Business podcast November 2, 2009)

For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.

Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.

Printer Friendly