Tahe Refinery Expansion Program - Detailed Description

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Kokel, Nicolas
10/16/2025 7:30 PM

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Tahe Refinery | Credit: thlh website banner

Project Overview

  • Project Name: Sinopec Tahe Refining & Chemical Company Limited Refining and Chemical Integration Project​
  • Project Nature: Expansion and Modification (改扩建)​
  • Total Investment: RMB 29.987 billion (approximately USD 4.2 billion)​
  • Location: Chemical Industry Concentration Zone, Kuche Economic and Technological Development Zone, Aksu Prefecture, Xinjiang​
  • Environmental Approval: Received from Xinjiang Environmental Protection Department on June 20, 2025​
  • Groundbreaking Date: September 20, 2025​
  • Completion Schedule:​
    • Refining section and aromatics complex: June 2028
    • Ethylene section: October 2029

Capacity Expansion

  • Crude Oil Processing: Expansion from 5 million to 8.5 million tons per year
  • Major New Production Capabilities:
    • Ethylene: 800,000 tons/year
    • Aromatics (including PX): 800,000 tons/year
    • Polyethylene: 800,000 tons/year total (two units)
    • Polypropylene: 450,000 tons/year​

Total Project Scope Summary

  • 16 new major production plants
  • Upgrade of existing #1 and #2 crude distillation sequences
  • Modification of 4 existing units
  • New utilities, storage, environmental protection facilities, and offsite infrastructure​

Production Assets

Existing Assets - Old Refinery Area (8 Plants)

The existing refinery has these units already in operation:​

Plant Total
Capacity
Nr. of Units Individual
Capacity
Technology
Unit (t/y) - (t/y) -
Atmospheric Distillation 5,000,000 2 1,500,000 +
3,500,000
Incorporate
Sinopec proprietary
optimization technologies
Vacuum Distillation 500,000 1 500,000
Delayed Coker 2,600,000 2+ n.d Sinopec proprietary
Gasoline/Diesel
Mixed Hydrotreaters
2,400,000 2 n.d. Sinopec Proprietary
Aviation Kerosene
Hydrotreater
n.d. 1+ n.d. Sinopec Proprietary
Continuous Reformer 150,000 1 150,000 Sinopec Proprietary
Sulfur Recovery 40,000 3
(est.)
n.d. Sinopec proprietary
Asphalt Production 400,000 1 400,000 Sinopec proprietary

 

Existing Plants Modifications

Two existing hydrotreating units will be retrofitted:​

  • The #1 crude unit undergoes the most significant transformation, essentially being demolished and rebuilt at 3.3× larger capacity​
  • The existing #2 crude unit remains operational but receives modifications to integrate with the expanded facility​
  • Both existing hydrotreating units are repurposed: one shifts focus to aviation fuel while the other is upgraded for higher capacity gasoline/diesel production​
  • All other existing units (delayed coking, reforming, isomerization, asphalt, sulfur recovery) continue operating without major modifications during the expansion​
Existing Plant Current Capacity Modification Type Result
#1 ADU 1,500,000 t/y Major expansion & upgrade #3 CDU/VDU:
5,000,000 t/y
#2 ADU
& VDU
3,500,000 t/y / 500,000 t/y Process optimization Modified and optimized configuration
#1 Gasoline/Diesel Hydrotreater Not
disclosed
Purpose
change
800,000 t/y Aviation Kerosene Hydrotreater
#2 Gasoline/Diesel Hydrotreater Not
disclosed
Capacity upgrade 1,600,000 t/y Mixed Gasoline/Diesel Hydrotreater


New Assets - Existing Refinery Area

The following plants will be built within the existing refinery footprint:

New Plant Capacity Technology
#3 Atm. and Vacuum Distillation 5,000,000 t/y Public domain
#3 Delayed Coker 2,200,000 t/y Sinopec proprietary
Hydrocracker 2,400,000 t/y Sinopec proprietary
PSA Unit 120,000 Nm³/h Licensed PSA technology
#4 Sulfur Recovery 2 × 60,000 t/y Sinopec proprietary
#2 Aviation Fuel Hydrotreater 1,000,000 t/y Sinopec proprietary
Ebullated Bed Resid Hydrotreater 2 × 2,000,000 t/y Sinopec proprietary
#1 Hydrogen Production 80,000 Nm³/h Sinopec proprietary

 

New Chemical Production Area (9 New Units)

A completely new factory area will be established:

New Plant Capacity Technology
Ethylene Plant 800,000 t/y Sinopec ST CBL cracking
 ST LECT separation
Pyrolysis Gasoline Hydrotreater 400,000 t/y Sinopec ST pyrolysis
gasoline hydrogenation
Butadiene
Extraction
400,000 t/y Sinopec ST acetonitrile extraction
 C4 hydrogenation
MTBE/Butene-1 Plant 300,000 t/y (80,000/30,000) Sinopec Technology
Development Co. proprietary
#1 Polyethylene Plant 400,000 t/y Sinopec ST gas-phase
PE technology
#2 Polyethylene Plant 400,000 t/y Sinopec ST gas-phase
PE technology
Polypropylene
Plant
450,000 t/y Sinopec ST 3rd generation
loop reactor PP technology
Aromatics
Complex
800,000 t/y Sinopec sulfolane extraction + transalkylation + aromatics suite (PX, isomerization, fractionation)
#2 Continuous Catalytic Reformer 1,500,000 t/y Sinopec proprietary
(SLCR technology)

 

Technology Provider

All process technologies are proprietary Sinopec technologies, developed by:​

  • Sinopec Technology Research Institute (RIPP)
  • Sinopec Engineering (Group) Co.
  • Sinopec Technology Development Company

The project represents Sinopec's "fully self-owned intellectual property, industry-leading green and low-carbon process technologies".​

Annual Operating Hours​

  • Refining section, continuous reforming, aromatics complex: 8,400 hours/year
  • Chemical section (ethylene and derivatives): 8,000 hours/year

Expected Economic Impact

Upon completion and commissioning (assuming USD 60/barrel crude oil):​

  • Additional annual output value: RMB 20.2 billion (USD 2.8 billion)
  • Additional annual tax revenue: RMB 3.5 billion (USD 490 million)
  • Job creation: Approximately 10,000 positions
  • Product portfolio: Refined fuels, ethylene, paraxylene (PX), benzene, xylene, polyethylene, polypropylene

Green Energy Integration

The expansion project incorporates groundbreaking sustainability features:​

  • First Sinopec project to use 100% green electricity
  • Signed 2.6 billion kWh/year green power supply agreement with Kuche Huadian
  • Direct green electricity connection: 750 million kWh/year
  • Full consumption of 20,000 tons/year green hydrogen from Kuche photovoltaic hydrogen project​

Strategic Significance

The project is described as Sinopec's "bridgehead project for integrated industrial chain development in Xinjiang" and will transform Tahe into a fully integrated refining-petrochemical complex capable of producing high-value chemicals including ethylene and aromatics, supporting downstream textile, polymer processing, and chemical manufacturing industries in Western China.​

This expansion will elevate Tahe Refinery from a basic fuel-focused refinery to a world-scale integrated refining and petrochemical complex, achieving Sinopec's strategic vision of "10 million tons refining + 1 million tons ethylene + aromatics" for the facility.

References

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