China MTBE Capacity to Grow

According to sources, the 20,000kt/a refining-chemical integration project at Dalian Hengli Petrochemical (Phase II) will be put into production in October 2018. SCI learns that this integration project includes mixed alkane dehydrogenation unit and olefin isomerization unit, and the total capacity of matched MTBE unit will reach 820kt/a. After the unit is put into operation, about 40% of MTBE resources will be supplied to the market, giving support to the MTBE market in North China and Shandong.

Besides, the MTBE unit at CNOOC and Shell Petrochemicals is maintained normal production, and the MTBE unit at Sinopec Qilu Company, Sinopec Anqing Company and other state-owned refineries will be put into production in 2018. As the existing MTBE capacity is severely surplus and ethanol gasoline will be vigorously promoted in the near future, China’s MTBE industry will falter forward.