Jinxi Petrochemical Propane to be put into production

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PetroChina Jinxi Petrochemical Company is located in the first city of Guanyu—Huludao City, a seaside city, and borders Jinzhou Port and Huludao Port of Bohai Bay to the south. The Beijing-Kazakhstan Railway, the Beijing-Shenyang Expressway, and the 102 National Road pass through Huludao. It is not difficult to see its important significance in terms of geographical location, and its products are diverse. Among them, the contribution of liquefied gas with a daily output of 900 tons to the local and neighboring cities cannot be ignored. However, the writer is not talking about liquefied gas today, nor is it an oil product. Instead, Jinxi Petrochemical plans to produce propane. Then what will be the local propane pattern?

From the technical point of view, the main components of liquefied petroleum gas are propane, propylene, butane, and butene, which contain a small amount of pentane, pentene, and trace sulfur compounds, while propane is a by-product of the treatment of natural gas or refined crude oil. Refinery equipment separates the propane, and the liquefied petroleum gas will be cleaner, which will increase the olefin content significantly. It will act as a raw material for the aromatization enterprise from a single fuel area, which will promote the diversification of chemical products. The use of pure LPG as a gas is even more convenient. Propane also has its own unique uses, for example, raw materials for the production of propanol, the main fuel for hot-air balloon, the sedimentation of emery in the semiconductor industry, the replacement of acetylene for cutting, and the fuel for large hotels, but the scale of the refinery is relatively fixed, and it is temporarily not reachable. Adjust propane production according to social needs.

From the perspective of competition, Jinxi Petrochemical's propane sales volume will be mainly local. The nearby Fushun No. 2 Plant will have a daily output of nearly 300 tons; Jinzhou Petrochemical, with a daily output of 100 tons; Dalian Petrochemical, Dalian West Taiyue Supply of 400 tons or so, it is obviously difficult to consume these resources at the full-load running downstream. Especially during the summer, the inspection and production cuts are obvious, and refinery sales are also mainly flat. At this time, Jinxi Petrochemical has settled in, and the initial plan is to produce 130 tons per day. Intra-competition must intensify, and price wars are inevitable. Although there is fierce competition on this level, it is more flexible to boycott resources from other provinces, and linkage pricing is appropriate to prevent the impact of partial low-cost propane on partial return refineries in Shandong and raw gas return vehicles in Shandong. Refined propane will inevitably increase the raw material gas of Jinxi Petrochemical. On the one hand, the price competition of this product will increase unabated. On the other hand, the output of civilian liquefied gas will drop sharply. The internal supply may not be ruled out at that time. The spring of Liaoning Province's liquefied gas prices will come in the spring. After all, this change led to a reduction in supply and support prices.

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