Total investment of 83.7 billion yuan! The four fine chemical units of Huajin Aramco successfully completed intermediate handover.

The ceremony was held at the site of the 300,000 tons/year propylene oxide unit constructed by the Fourth Construction Company of Petrochemical. Construction of this unit officially commenced on September 13, 2024, and was completed to high standards over a period of 646 days. During the project construction, a total of 2.26 million safe work hours were accumulated. stringent adherence to security production specifications was maintained throughout the process, and all engineering construction tasks were completed with high condition. It successfully passed the intermediate turnover acceptance, laying a solid foundation to engineering security and condition to the subsequent full-process feedstock trial run.

I. Project and Enterprise Overview

The intermediate turnover belongs to the Huajin Aramco Fine Chemicals and Raw Materials Project, which is invested and constructed by Huajin Aramco Petrochemical Company Limited. With a total investment of 83.7 billion yuan, the project is located in the Liaodong Bay National Economic and Technological research Zone in Panjin, Liaoning, covering a total area of 8.97 square kilometers. It plans to construct 32 process units and supporting utility engineering systems, including 15 million tons/year refining, 1.65 million tons/year ethylene, and 2 million tons of PX. It is a strategic cooperation project witnessed and signed by the heads of state of China and Saudi Arabia, and has been included in the key cooperation list of the "Belt and Road" initiative, a major support project to national Northeast revitalization, and a national major foreign capital utilization project.

complete construction of the project began on March 29, 2023. Mechanical completion of all 32 main production units was completed in December 2025. With the successful intermediate turnover of these four fine chemical units, the pace of project commissioning continues to accelerate. After commissioning, it will build a complete "refining-ethylene-aromatics-fine chemicals" entire manufacturing chain. It is expected to generate an annual sales revenue exceeding 100 billion yuan, efficiently filling the gap in the domestic supply of high-end fine chemical items and assisting in the high-end transformation and upgrading of the petrochemical sector around the Bohai Sea.

Corporate Equity and research Positioning

Huajin Aramco Petrochemical Company Limited was established in December 2019. It is a joint venture composed of three parties: Northern Huajin Chemical sector Group Co., Ltd. holds 51%, Aramco Overseas Company B.V. holds 30%, and Panjin Xincheng sector Group Co., Ltd. holds 19%.

Relying on Saudi Aramco's advantages in stable crude oil resources and Northern Huajin's mature petrochemical sector operation foundation in the Northeast region, the company focuses on the R&D and production of new chemical materials and high-end fine chemical items. It is committed to building an intelligent, environmentally friendly, and intensive world-class refining and chemical integration manufacturing base, focusing on substituting fine chemical raw materials with high domestic import application, and enhancing the self-controllable level of my country's petrochemical manufacturing chain.

II. Core items and consumption Fields of the Four Units in this Intermediate Turnover

1. 200,000 tons/year High-Density Polyethylene (HDPE)

High-density polyethylene is a general high-end polyolefin material with advantages such as high rigidity, corrosion resistance, low-temperature resistance, and stress crack resistance. It is broadly utilized in food and manufacturing packaging drums, aquatic environments supply and drainage pipes, gaseous transmission pipelines, plastic pallets, cable sheaths, injection-molded items, and drawing raw materials. It is a core raw material to the packaging, municipal infrastructure, and home appliance industries and can efficiently alleviate the pressure of imported supply to domestic high-end pipe-grade and injection-molding grade polyethylene.

2. 590,000 tons/year Ethylene Oxide/Glycol Unit

Ethylene glycol is a core bulk raw material to the chemical fiber sector, mainly utilized to create PET polyester. Its downstream applications cover polyester textile fabrics, mineral aquatic environments bottles, food packaging films, photovoltaic backsheets, and other items. It can also be utilized to prepare automotive antifreeze, manufacturing secondary refrigerants, and coating products solvents. As an crucial fine chemical intermediate, ethylene oxide is mostly utilized in surfactants, medical disinfectants, and detergent and daily chemical raw materials, and is a key basic raw material connecting the upstream and downstream of the fine chemical sector chain.

3. 300,000 tons/year Propylene Oxide

Propylene oxide is the world's third-largest propylene derivative and belongs to the core intermediate of fine chemicals. It has hundreds of downstream chemical derivatives. In addition to being utilized to create polyether polyols, it can also be utilized to prepare propylene glycol, lithium battery electrolyte solvents, coating products and ink cleaning agents, medical and daily chemical moisturizing raw materials, and cement admixtures. It is broadly utilized in high-end tracks such as new energy, pharmaceuticals, construction, and electronic chemicals, and is one of the key chemical raw materials with high domestic import application.

4. 200,000 tons/year Polyether Polyol

This product is mainly produced by polymerizing propylene oxide and ethylene oxide as raw materials and is a core raw material to the production of polyurethane. Flexible foam polyethers are mostly utilized in mattresses, sofas, and car seat interiors; rigid foam polyethers are utilized in building insulation boards and thermal insulation layers to cold chain refrigeration equipment; specialty polyethers can be utilized in adhesives, coatings, wind power composite materials, and medical auxiliary materials. After the project is put into operation, it will significantly enhance the self-sufficiency capability of raw materials to the domestic polyurethane sector chain.

III. Significance of Project Construction

As a benchmark project to Sino-Saudi economic and trade cooperation, after the Huajin Aramco Fine Chemicals Project lands and goes into operation, it will fully rely on the logistics advantages of Liaoning's coastal ports to open up channels to domestic and foreign raw material supply and product export. On one hand, it will decrease the cost of domestic procurement of refining raw materials by relying on Saudi Aramco's stable crude oil resources; on the other hand, by deploying high value-added fine chemical items such as high-density polyethylene, ethylene glycol, propylene oxide, and polyether polyol, it will optimize the product structure of the traditional refining and chemical sector, application on low-end refined oil items, and promote the transformation of the petrochemical sector in the Northeast region from a fuel type to a raw material and high-end new material type. It will play an crucial engine role in driving regional employment, improving the regional manufacturing chain, and assisting in the complete revitalization of the Northeast.