Shandong Qicheng to Start an Alkylation Unit

According to sources, the 400kt/a alkylation unit at Shandong Qicheng Petrochemical will be put into operation before the end of April. Currently, the daily C4R2 supply volume at Shandong Qicheng Petrochemical is about 400mt, and the demand for alkylated oil is moderate. After the 400kt/a alkylation unit is put into operation, the alkylated oil supply in Shandong will increase, and the demand for C4R2 at Shandong Qicheng Petrochemical will grow.

In 2017, the alkylation capacity in Shandong was surplus. Influenced by the limited C4R2 supply, the overall operating rate of alkylation units was about 50%, and the alkylated oil output was less than 3,000kt. In Shandong, the demand volume of alkylated oil was about 3,500kt, so some alkylated oil resources from Anhui and Henan flowed into Shandong in 2017.

After the alkylation unit at Shandong Qicheng Petrochemical is put into operation, the downstream demand for alkylated oil in Shandong will decrease by 80kt. Thus, the alkylation capacity in Shandong will become more surplus, and the C4R2 supply will become tighter.