Maoming's 1 million tons of ethylene highlights the advantages of independent innovation

After two years of operation, Maoming Petrochemical's ethylene project has achieved a profit of 4.381 billion yuan, representing nearly 60% of the total investment. The production and sales of 5.23 million tons of ethylene chemical products have driven an output value of over 100 billion yuan after processing. This milestone marks a significant achievement for China’s first self-innovative ethylene project, which has gone through two years of intense development and now stands as a model in the industry. From October 2006 to August 2008, the 1 million-ton ethylene project at Maoming Petrochemical completed its initial phase, producing 1.8865 million tons of ethylene in the past two years. It generated 5.23 million tons of various ethylene-based chemical products, achieving a sales revenue of 46 billion yuan and capturing 60% of the market share in South China's chemical industry. After further processing, the output value reached 100 billion yuan. The project also contributed over 3 billion yuan in taxes, significantly boosting national and local revenues. Additionally, it met all environmental standards, achieving "three simultaneous" compliance and receiving recognition as a national environmentally friendly enterprise. The success of this project is attributed to four major advantages of independent innovation. First, technological innovation: with an investment of 1.56 billion yuan, the project not only ranked first in China but also introduced Sinopec's own technology for the first time. Equipment localization reached 84.84%, with 83.07% of equipment costs coming from domestic sources. Key technologies such as the improved second-generation ring pipe process for polypropylene and core technologies for butadiene units were developed independently, marking a breakthrough in China’s reliance on imported technology. Second, low-cost expansion: by leveraging local equipment and existing infrastructure, the project saved 343 million yuan compared to the original budget. The cost per ton of new ethylene capacity was just 11,800 yuan, a 16% reduction compared to the domestic average, setting a new record for efficiency and return on investment. Third, cost savings in production and management: using locally sourced parts and implementing localized "three agents," the company reduced production costs significantly. Annual procurement savings reached 99.74 million yuan, helping Maoming become one of the most efficient petrochemical enterprises in China. Finally, optimization of refining and chemical integration: by combining refining and ethylene processes, the project improved resource utilization and economic efficiency. By converting aromatics raffinate into finished oil, the company increased annual efficiency by 50 million yuan. Optimized fuel and gas supply reduced emissions and costs by 40 million yuan. Over two years, water and energy consumption per ton of ethylene dropped by 50% and 5%, respectively, placing the project among the industry’s top performers.

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