Wanhua Chemical Group Co., Ltd. produces 750,000 metric tons of propylene annually for use in plastics, packaging and synthetic fibersDES PLAINES, Ill., May 3, 2017– Honeywell (NYSE: HON) announced today the successful commissioning and operation of the largest operating single-train propane dehydrogenation unit in China.
Yantai Wanhua Polyurethanes Group Co. Ltd., is using Honeywell UOP’s C3 Oleflex™ process technology to convert propane into 750,000 metric tons annually (MTA) of propylene, the primary component used for making plastics, packaging and synthetic fibers. With this unit, the global production capacity of Oleflex technology is now approximately 6.8 million MTA.
“As China’s largest Oleflex unit, this represents a significant expansion in the country’s propylene capacity and a big step toward meeting local demand for propylene,” said Mike Millard, vice president and general manager of Honeywell UOP’s Process Technology and Equipment business. “No other technology works as efficiently and produces as much high-quality propylene as the Oleflex process.”
Historically, 70 percent of the world’s propylene was produced from petroleum as a byproduct of making ethylene, another component of plastics. In recent years, ethylene producers increasingly have made ethylene from ethane in natural gas, which produces a negligible amount of propylene. This shift in ethylene production has caused a propylene supply gap, leading to investments in facilities that produce on-purpose propylene using Honeywell UOP technology. China consumes more than 15 percent of the world’s propylene and its demand is growing more than 4 percent per year, according to the U.S. Energy Information Administration.
Since 2011, Honeywell UOP’s Oleflex technology has been chosen for 40 of the world’s 47 new propane and isobutane dehydrogenation projects licensed worldwide.
Honeywell UOP’s C3 Oleflex technology uses catalytic dehydrogenation to reliably convert propane to propylene and is proven to have the lowest cash cost of production and the highest return on investment compared with competing technologies.
In addition to technology licensing, Honeywell UOP provided the engineering design, equipment, staff training, technical service and catalyst for the project. The Oleflex unit is part of a large complex that also includes Honeywell UOP LPG hydrotreating technology, a Butamer™ C4 isomerization unit, and PSA, or pressure swing adsorption, units to produce high-purity hydrogen.
Honeywell UOP (www.uop.com) is a leading international supplier and licensor of process technology, catalysts, adsorbents, equipment, and consulting services to the petroleum refining, petrochemical, and gas processing industries. Honeywell UOP is part of Honeywell’s Performance Materials and Technologies strategic business group, which also includes Honeywell Process Solutions (www.honeywellprocess.com), a pioneer in automation control, instrumentation and services for the oil and gas, refining, petrochemical, chemical and other industries.
Honeywell (www.honeywell.com) is a Fortune 100 software-industrial company that delivers industry specific solutions that include aerospace and automotive products and services; control technologies for buildings, homes, and industry; and performance materials globally. Our technologies help everything from aircraft, cars, homes and buildings, manufacturing plants, supply chains, and workers become more connected to make our world smarter, safer, and more sustainable. For more news and information on Honeywell, please visit www.honeywell.com/newsroom.
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