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120,000 tons EPC Annual Production Project

I. Project Background

EPC products have features such as heat-insulation, sound insulation, anti-acid, anti-alkaline, water-proof, shock resistance, mould-proof.  It has a wide range of usage in highway infrastructure, housing construction, foundation pit in extreme heat or cold areas, electronics, etc.  There is a shortage in the supply of EPC in China’s domestic market due to the shortage of petrobenzene resources.  The increase rate of EPC consumption is expected at the level of 12% and in 2011 the consumption volume is predicted to be 2,580,000 tons.  The northeast region of China shows more demand for EPC products due to its distinguished weather conditions.  The current consumption of EPC products is 180,000 to 200,000 tons per year.  The production in this area only accounts for 70,000 per year, 50,000 tons in Dalian and 20,000 tons in Jilin. 

II. Construction Scale and Production Plan

Annual production of EPC - 120,000 tons.

III. Market Analysis and Economic Benefit Forecast

Annual sales income estimate 1,128,000,000 RMB, annual profit estimate 51,420,000 RMB,(first phase 60,000 tons EPC production – annual sales income 564,000,000 RMB, annual profit 25,710,000 RMB, investment payoff before tax – 3.2 years, investment payoff after tax – 4.3 years).

IV. Total Project Investment and Financing Arrangement

Total investment 140,000,000 RMB.

V. Cooperation Ways

Joint venture or cooperation

VI. Foreign Investment and Constitution

Funds & Technology

VII. Project Construction Venue

Longtan district of Jilin City

VIII. Project Progress

In the stage of preparation

IX. Outline of Project Organizer

North Chemicals Company subsidiaries to the Jilin Petrochemical company, PetroChina.  Main business in petrochemicals production, machinery manufacturing, and building material production.  Production equipments-51 sets, main products – 90 kinds, annual sales income estimates 1 billion RMB.

X. Contact Methods

Contact: Economic and Technological Cooperation Bureau of Chemical Industrial Circular Economy Demonstration Zone, Jilin City

Tel: 0086-432-6302-0240, 6304-1733

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