Shandong Luxi Chemical Co., Ltd. Luhua Silicone Feasibility Study Report


1 General
1.1 Project Name
Shandong Luxi Chemical Co., Ltd. 200,000 tons / year organic silicon project
1.2 undertake unit
Shandong Luxi Chemical Co., Ltd.
1.3 Project leader and contact person
Project leader: Zhang Jincheng
Project Contact: Chen Yunfeng
1.4 Introduction to the construction unit
Shandong Liaocheng Luxi Chemical Group Co., Ltd. is a state-owned large-scale chemical enterprise group company. There are 10 subsidiaries and holding companies including listed companies. The group's existing assets are 4.46 billion yuan and more than 10,000 employees. The products are mainly composed of synthetic ammonia, urea and potassium sulfate compound fertilizer. In addition, it also produces caustic soda, sulfuric acid, hydrochloric acid, power generation, chemical special pumps, various coal-fired oil-fired boilers, first- and second-class pressure vessels and other products. It is a group company integrating scientific research and technology development. Among them, the holding company Shandong Luxi Chemical Co., Ltd. was listed on the Shenzhen Stock Exchange in 1998, referred to as “Luxi Chemical”, code “000830”.


1.5 Project Overview
The project is located in Luxi Chemical Industrial Park, Dong'e County. The geographical position is superior and the transportation is very convenient. According to the forecast of domestic and foreign markets and the resources of raw materials such as methanol, silicon block and concentrated hydrochloric acid, the production scale of methylchlorosilane mixed monomer in this project is determined to be 200 kt/a. The project covers an area of 132,311.74 square meters (by 198.47 acres). The construction and structure covers an area of 47,458.02 square meters, with a total construction area of 60,710.10 square meters.


1.6 Total investment and financing
The total investment of the project is 172 million yuan, of which the enterprise self-raised 560 million yuan and the bank loan is 1.16 billion.


1.7 Main financial indicators
The main financial indicators are shown in Table 1-1.


Zibo City Engineering Consulting Institute 1
Feasibility Study Report of Shandong Luxi Chemical Co., Ltd. 200,000 tons/year organosilicon project
Table 1-1 Summary of Financial Indicators
No. Name Unit Indicator Description
Total investment in project scale (including bottom-up capital)
10,000 yuan 172000
Gold)
1.1 Construction Investment RMB 163140.6
Of which: basic reserve fee 10,000 yuan 7511
Among them: the price increase reserve fee of 300,000 3004
1.2 Construction period interest million yuan 5473.9
1.3 Working capital million yuan 11285
The initial working capital is 10,000 yuan 3385.5
2 Operating income (including tax) 10,000 846.15 Average production period
3 Business tax and surcharges 10,000 yuan 1552.76 Average production period
VAT 10,000 yuan 15527.55 average production period
4 Total cost and expenses 10,000 yuan 332311.71 Average production period
5 Total profit 10,000 yuan 54454.14 Average production period
6 Income tax 10,000 13613.53 Average production period
7 After-tax profit Ten thousand yuan 40840.6 Average production period
8 Financial profitability analysis
8.1 Financial internal rate of return
Project investment income before income % 34.55
After the project investment income tax % 27.31
Own funds % 37.71
8.2 Financial net present value
Project investment income tax before the yuan 220395.1 ic = 11%
After the project investment income tax is 10,000 yuan 146275.75
8.3 Project investment recovery period
Static investment income tax year 5.07
After the static investment income tax year 5.76
Dynamic investment income tax year 5.81
Dynamic investment income after the year 6.93
8.4 Total Investment Yield % 31.1
8.5 Project capital net profit margin % 72.93
9 Liquidity analysis
9.1 Financial ratio
Asset-liability ratio % 32.54 Year of production
Current ratio % reached the year of production
Quick ratio %
9.2 Loan repayment period Year 2.99 Excluding construction period
10 Breakeven point % 39.35 Average production period
Zibo City Engineering Consulting Institute 2
Feasibility Study Report of Shandong Luxi Chemical Co., Ltd. 200,000 tons/year organosilicon project
2 Basis, principles and scope of preparation
2.1 Basis for preparation
(1) Trial version of the National Development and Reform Commission's Guide to Feasibility Study of Investment Projects;
(2) The third edition of the “Measures and Parameters for Economic Evaluation of Construction Projects” issued by the National Development and Reform Commission and the Ministry of Construction;
(3) Compilation of the "Notice on Printing and Distributing the Work Procedures for the Examination and Acceptance of Labor Safety and Inspection of Construction Projects (Engineering) in Shandong Province" (Lu'an Jianfa [2002] No. 46);
(4) "Guidance Catalogue for Industrial Structure Adjustment" (2005);
(5) The Environmental Protection Law of the People's Republic of China;
(6) Law of the People's Republic of China on the Prevention and Control of Environmental Noise Pollution;
(7) Master plan of Luxi Chemical Industrial Park in Dong'e County;
(8) Basic information and data provided by the enterprise;
(9) Other national and local laws, regulations, policies and regulations, and technical materials.


2.2 Main design principles
In the design of this project, follow the guidelines of innovation, advanced, reliable, practical and effective. Ensure that the project is advanced in technology, excellent in quality, guarantees progress, saves investment, improves efficiency, and makes full use of practical experience to achieve the goal of reducing costs and improving economic efficiency.


The specific design principles of this project:
1. Implementing the principles and policies of national infrastructure construction, adopting domestic mature silicone monomer production technology, absorbing domestic and foreign advanced experience, improving the quality of silicone products, and ensuring safe and stable operation of the equipment in a long period.


2. The general layout of the factory fully considers the overall layout of the existing land in the Luxi Chemical Industrial Park in Dong'e County and the proposed installations around the site, adapting to local conditions, rationally arranging, leaving room for development.


3. Under the premise of satisfying production safety, adopt economical and reasonable design plan, save engineering investment and save land occupation. The installation adopts open-air and semi-open-air layouts, which fully reflects the requirements of “five-in-one” (integration, open-air, light-weight, socialization, localization).


4. Fully rely on the existing public works and auxiliary facilities conditions in Luxi Chemical Industrial Park of Dong'e County to optimize the design plan and save engineering investment.


5. Strictly implement national and local fire protection, environmental protection, labor safety and health laws and regulations, and build a modern factory that meets fire safety requirements and is clean and environmentally friendly.


6. The environmental protection measures are designed and put into operation at the same time as the main project. Governance process is going to fall
Zibo City Engineering Consulting Institute 3
Feasibility Study Report of Shandong Luxi Chemical Co., Ltd. 200,000 tons/year organosilicon project
Reliable, the effluent must comply with national and local pollutant discharge standards and be used as comprehensively as possible. The implementation of the "safe production, prevention-oriented" policy to ensure that the device meets the requirements of occupational safety and health, to ensure the safety and health of workers.


2.3 Content and scope of preparation
According to the relevant laws and regulations and the entrustment of the construction unit, the main contents and scope of the application report preparation of this project are as follows:
Product market forecast
Product plan, proposed scale
Production process and design
General layout and transportation
Public works and ancillary facilities
Environmental protection and comprehensive utilization
Labor safety and health
Energy saving
Fire
Business organization and labor capacity
Project implementation plan
Investment estimation and financing
Economic evaluation
2.4 Purpose of preparation
Conduct research and research on the social, economic, and technical aspects of the project, conduct technical and economic analysis and comparative demonstration on various technical solutions and construction plans that can be adopted, and make scientific predictions and evaluations on the economic benefits after the completion of the project. On this basis, the project's technological advancement and adaptability, economic rationality and effectiveness, as well as the necessity and feasibility of construction, analysis, systematic demonstration, multi-program comparison and comprehensive evaluation, for project investment decision and next step Provide evidence.


Zibo City Engineering Consulting Institute 4
Feasibility Study Report of Shandong Luxi Chemical Co., Ltd. 200,000 tons/year organosilicon project
3 Background and necessity of project construction
3.1 Background of project construction
There are many kinds of silicone products, and the production process is complicated. From silicon powder, methyl chloride, chlorinated benzene and other raw materials, monomers such as methylchlorosilane and phenylchlorosilane are synthesized by catalytic reaction, and then hydrolyzed, alcoholyzed, polymerized, etc. A series of chemical reactions produce various types of polymers that are processed into different types of products. Methyl siloxane-derived products made from methylchlorosilane monomers, usually accounting for more than 90% of total silicone products. Therefore, the development of the silicone industry is inseparable from the synthesis technology of organochlorosilanes (especially methylchlorosilane) monomers. In other words, the level of development of a country's silicone industry depends to a large extent on the level of methylchlorosilane production technology.


Since the synthesis of the first organosilicon compound by the French chemists C. Friedl and JMCrafts in 1863, the silicone industry has been in development for more than 100 years. People have never stopped researching and developing silicones. It is worth mentioning that the British chemist F.F.Kipping used the Grignard reaction to synthesize hydrolyzable silanes with different functionalities, such as RSiCl.
3
R2SiCl lays the foundation for the development of silicone polymers. Roger, GE, USA, 1941
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(E.G. Rochow) Invented a direct synthesis organochlorosilane process by reacting methyl chloride directly with silicon powder under the action of a copper catalyst to produce methylchlorosilane in one step. Rocha's invention laid the foundation for the industrial production of silicone. In 1943, Dao Chemical Company and Corning Glass Co., Ltd. jointly established Dow Corning Company, specializing in the research and production of organic silicon, which is the world's first professional silicone professional.
Production company. In 1947, GE Corporation of the United States established the Silicone Division to synthesize methylchlorosilane monomer by direct method, and began large-scale industrial production of silicone. Since then, a series of silicone products such as silicone resin, dimethyl silicone oil, defoamer, lubricant, diffusion pump oil, and hot vulcanized silicone rubber have been introduced and put on the market.


After the Second World War, the successful application of silicone products in military production attracted the attention of Western industrial countries, and established a number of companies engaged in organic silicon research and production, such as Wacker and Bayer in Germany.
(Bayer), Goldschmidt; Japan's Shin-Etsu Chemical Co., Toshiba Silicones, Toray Silicones, France's Rhone-Poulenc, Silicone Products Industries (SISS); British Imperial Chemical Industry Corporation (ICI), etc., making silicones in technology, scale, new products
Development and application have achieved rapid development. From 1941, the United States GE company invented direct synthesis of methyl chloride
Since the silane method, after nearly 40 years of development, by the end of the 1970s, global silicone sales
Zibo City Engineering Consulting Institute 5
Feasibility Study Report of Shandong Luxi Chemical Co., Ltd. 200,000 tons/year organosilicon project
Up to 2.2 billion US dollars, with an average annual growth rate of 17%; in the late 1980s, the annual global production of organic silicon monomer has exceeded
1000kt/a, product sales reached 4 billion US dollars; after the 1990s, monomer production has entered a relatively low-speed steady growth period. In 1998, the global production of organic silicon monomer was 1340kt, equivalent to 650kt of polysiloxane.
The output value was 7.35 billion US dollars; in the late 1990s, the demand for the world organic silicon market tended to be strong, and major silicone companies began large-scale mergers and acquisitions and expansion, and they have expanded their production scale. Currently, the world's organic silicon monomer production capacity has exceeded. 2300 kt / a, sales of more than 9.5 billion US dollars; by 2010, the global silicone monomer production capacity will exceed 4000 kt / a, when the global silicone market capacity will exceed 15 billion US dollars.


The research and development of domestic silicone monomers started late. The direct synthesis of methylchlorosilane began in the late 1950s. In the 1970s, there was a small fluidized bed reactor. By 1998, the first domestic 10,000-ton silicone. The monomer production unit began normal production. In the same year, the total output of methyl monomers in the country exceeded 20kt. Compared with the world's advanced level, domestic silicone monomer production has a large gap in terms of equipment scale, single fluidized bed reactor production capacity, and technical and economic indicators. With the improvement of China's scientific and technological level, the national economic growth mode has gradually changed from extensive to intensive, and the demand for high-performance chemical new materials has become more and more important in all walks of life. Strong market demand has promoted the rapid development of the organic silicon industry. In the past five years, the domestic organic silicon industry has developed the fastest.
During the most significant period, the production of silicone monomer increased from 33.62 kt in 1999 to 2005.
156.44kt, with an average annual growth rate of more than 25%. Silicone materials are widely used in various fields of national defense, science and technology, national economy and people's daily life. Although they are not large in terms of consumption, they often play an irreplaceable role. The development and application of silicone materials has promoted the transformation and development of many technical fields. Silicone polymers can be used both as a base material and as functional materials added to other materials to improve their performance. Therefore, the silicone material has won the reputation of “industrial MSG” and “Technology Development Catalyst”. The silicone industry is a highly technology-intensive and capital-intensive industry, and silicone materials are also high value-added fine chemical products. For example, in 1998, the global production of polysiloxanes was about 775 kt, which accounted for only the world's total production of synthetic resins.
0.65%, but sales of various products reached $7.35 billion, accounting for total sales of synthetic resins.
9.2%.


Silicone production technology is complex, engineering is difficult, and there are many related industries. Therefore, the development of organic silicon not only provides high-performance new chemical materials for the market, but also drives materials, machinery manufacturing, automated instruments and chemical reagents. Industrial development. The development of the organic silicon industry is one of the signs of a country's comprehensive national strength. At present, people are increasingly aware that the future of high-tech society is inseparable from organic silicon materials, which will play an increasingly important role in human development and social progress. In view of the important position of organic silicon materials in the national economy, developed countries regard the importance of organic silicon materials as new materials in the 21st century.