Total to build coal-based petrochemical plant in China
8 Nov 2010
Paris - Total and the Chinese energy group China Power Investment Corp. (CPI) plan to build a coal-based petrochemical plant in coal-rich Inner Mongolia.
Total will bring its expertise in the methanol-to-olefins (MTO) and the olefin cracking process (OCP) technology to the venture. Subsidiary Total Petrochemicals has tested extensively the technology at a purpose-built semi-commercial plant in Feluy, Belgium.
CPI is one of the five biggest energy producers in China with a particularly strong position in coal mining and transformation of coal into energy.
Total said it will also study solutions on how to capture and store CO2 using the know-how gained from its CCS pilot project in Lacq, France.
Both companies will launch a feasibility study on a project of 1,000ktpa polyolefins production site, based on methanol produced from the gasification of coal.
The investment for the plant, which is due to start production after 2015, is estimated at Euro2-3bn and will mark a major step for a stronger development of Total in China. It will also give CPI access to state-of-the-art technology that incorporates high environmental standards, the group said.
The MTO technology allows the production of propylene and ethylene from methanol, which can be obtained from various feedstocks such as natural gas, coal or biomass. In combination with the OCP process, it allows a high yield of polyolefin production.
“This project is part of Total’s strategy of transforming fossil or renewable resources into petroleum or petrochemical fractions, in particular by using gasification processes”, said François Cornélis, president of chemicals and vice chairman of Total.
