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We are pleased to share a new ppPLUS resource detailing the DMTO (Methanol-to-Olefins) technology, developed by the Dalian Institute of Chemical Physics (DICP) and their partners.

Light olefins—ethylene and propylene—are the building blocks for countless modern products: plastics, synthetic rubbers, fibers, and more. Traditionally, these are produced by steam cracking of naphtha or other oil-derived feedstocks. As the world looks for greater energy and feedstock security and sustainability, MTO technology stands out by enabling the direct production of olefins from methanol, which can be synthesized from coal, natural gas, biomass, or captured COā‚‚.

DMTO: The World’s Leading Technology

The DMTO process, pioneered and continuously advanced by DICP, is the world’s foremost MTO technology in terms of scale, efficiency, and impact:

šŸ”µ Innovation Leadership: DICP’s breakthroughs—including the landmark SAPO-34 catalyst and fluidized bed reactor system—opened a practical, competitive route from methanol (coal-based or otherwise) to olefins.

šŸ”µ Industrial Scale: By 2020, over 8 million tonnes of annual olefin capacity in China had been built on DMTO and DMTO-II plants, with more than 26 global licenses issued.

šŸ”µ Process Evolution: Third-generation (DMTO-III) plants achieve record selectivity (85-90%) for ethylene and propylene and further reduce methanol consumption per tonne of olefins produced.

šŸ”µ Integrated Upgrades: The process can incorporate Cā‚„ conversion (achieving higher yields and better energy balances) and has led to “Methanol-to-Propylene” variants to answer evolving market needs.

Strategic Impact: Unlocking Coal and De-Risking Energy Supply

For China and other coal-rich countries, DMTO allows the transformation of abundant coal resources into high-value chemicals—drastically reducing reliance on imported oil and gas.

šŸ”µ It supports national economic security, local jobs, and value-added industry around coal conversion.

šŸ”µ The technology also provides a platform to transition towards cleaner methanol sources (biomass, CCUS), future-proofing the olefins sector.

Learn More and Connect

The deployment of DMTO is one of the defining success stories of applied catalysis and process engineering in the 21st century.

For anyone interested in the intersection of energy, chemicals, and strategic resource management, DMTO offers a robust, proven solution with international relevance.

Discover details, process fundamentals, historical milestones, and technology generations in this dedicated ppPLUS resource.

Let’s connect and discuss how methanol-to-olefins and related technologies are shaping the future of the global chemicals industry.

#mto #dmto #coaltochemicals #coaltoolefins #sinopec #honeywell #kbr #dalianinstituteofchemicalphysics #chineseacademyofsciences #china #dicp





Changxing Island National Economic and Technological Development Zone | Credit: Invest in China

Project Overview: PetroChina has approved a final investment decision (FID) for a new multi-billion-dollar refinery and petrochemical complex in northeast China's Dalian. The project
represents a strategic replacement of the company's aging 410,000 bpd Dalian Petrochemical refinery, which completed its closure in June 2025.

Operator and Ownership: PetroChina (through its parent company CNPC) will be the sole operator of the new refinery complex. The project is being developed as a direct replacement for the closed Dalian Petrochemical Corp facility, maintaining state ownership under the PetroChina umbrella.

Location Details: The new complex will be constructed on Changxing Island, approximately two hours' drive from downtown Dalian in Liaoning Province. The specific location is part of the Dalian Changxing Island (Xizhong Island) Petrochemical Industrial Base, which is being developed as a world-class green petrochemical industrial hub.

Project Capacity and Configuration: The approved complex comprises:
šŸ”µ Crude oil refinery: 200,000 barrels per day (bpd) capacity; This represents a significant downsizing from the original 410,000 bpd capacity of the closed Dalian facility, reflecting China's shift from fuel production to higher-value petrochemicals. The refinery will incorporate modern hydroprocessing units for producing both fuel products and petrochemical feedstocks.
šŸ”µ Ethylene complex: 1.4 million metric tonnes per year capacity. The ethylene complex will likely employ steam cracking technology for olefin production.
šŸ”µ Downstream units: Polyethylene, polypropylene, and polyolefin elastomer production

Investment and Cost: The project carries an estimated total cost of 68.5 billion yuan ($9.56 billion). This substantial investment reflects the complex's integrated refining and petrochemical capabilities, along with the necessary infrastructure development on Changxing Island.

Construction Timeline and Start-up Schedule: PetroChina has already begun preliminary infrastructure construction, including jetty and pipeline installation. The construction phase is expected to span multiple years given the project's complexity. Based on similar projects and the scale involved, commercial operations are anticipated to start in the late 2020s to early 2030s. The timeline reflects the comprehensive scope of work required for both the refinery and integrated petrochemical facilities, along with supporting infrastructure on Changxing Island.

Information sources: PR Newswire, Reuters, Hyrocarbon Processing, Inspection Engineering, Tank Terminals, Oil Price, Iran Oil & Gas, Discovery Alert, Insights Global, Channel News Asia.

#changxing #changxingisland #dalian #china #refinery #cnpc #petrochina




Nov 29, 2022 -- Screenshot from Dalian Refinery video | Youtube

PetroChina is set to shut down the final operational crude unit at its largest refinery in northern China, the Dalian Petrochemical Company, by June 30, 2025. This move marks the first complete closure of a state-run refinery in China, according to industry sources.

The closure involves the No.1 crude unit, which has a capacity of 200,000 barrels per day. Following this, the refinery’s secondary processing units are scheduled to be phased out in July. The Dalian plant, with a total capacity of 410,000 barrels per day, accounts for nearly 3% of China's total refining capacity and primarily processes Russian ESPO blend crude from Siberian fields.

This decision aligns with PetroChina’s long-term strategy to relocate and replace the Dalian facility with a smaller, more modern plant at a new location. The shutdown process began in late 2023, and the company will start reducing its crude oil and feedstock inventories this month, aiming to clear all product stocks by the end of August.

A spokesperson for PetroChina did not immediately respond to requests for comment. The final investment decision for the proposed new refinery complex on Changxing Island, about two hours from downtown Dalian, has yet to be made.

This development follows earlier reports confirming PetroChina’s intention to close the Dalian refinery by mid-2025 as part of broader restructuring efforts within China’s refining sector.

#dalian #refinery #cnpc #petrochina #crudeoil #espo









Photo: Petrochina Dalian Refinery


7 Nov 2024

PetroChina, one of China’s major oil companies, plans to close its Dalian refinery in northeastern China by mid-2025, marking the first complete shutdown of a state-operated refinery in the country. The Dalian refinery, which dates back to 1993, has a crude processing capacity of 410,000 barrels per day (bpd) and a Nelson complexity index of approximately 6.1, reflecting its ability to handle various crude oil types and produce a range of refined products. It contributes around 3% of China’s total refining capacity and has been a significant part of PetroChina’s refinery network for decades.

The refinery plays a vital role in supplying refined products to the Chinese domestic market, including diesel, gasoline, and jet fuel. While its primary focus has been on meeting local demand, the Dalian refinery has also engaged in exports, supplying refined products to other regions in Asia, particularly Japan and South Korea. The facility primarily processes Russian ESPO (East Siberia Pacific Ocean) crude, which is delivered via pipelines from Siberian fields through China’s northeastern region.

PetroChina’s decision to close the Dalian refinery stems from multiple factors, including overcapacity, weakened domestic fuel demand due to slower economic growth, and an increase in vehicle electrification across China. Environmental concerns have also played a role, as the refinery has been situated in a densely populated area, with incidents such as an oil spill in 2010 and fires in 2013 and 2017 highlighting the risks of operating a large facility in close proximity to urban areas.

The phased shutdown began in October 2023, with PetroChina closing a 210,000-bpd unit within the refinery. The remaining capacity is scheduled to be taken offline by 2025. Once the shutdown is complete, PetroChina intends to redirect crude oil supply to other refineries in northern China, including the WEPEC (West Pacific Petrochemical Company) refinery in Dalian and another facility in nearby Jinzhou.

In a bid to offset the reduction in refining capacity, PetroChina’s parent company, the China National Petroleum Corporation (CNPC), announced plans to develop a new, smaller refinery and chemical complex on Changxing Island, approximately two hours from Dalian. This project, valued at CNY70 billion (USD 9.6 billion), is expected to process around 200,000 bpd of crude oil and produce 1.2 million tonnes of ethylene annually. However, the new complex is still in the pre-feasibility stage, and a final investment decision has yet to be made.

The closure of the Dalian refinery underscores PetroChina’s efforts to modernise its infrastructure, reduce environmental risks, and adapt to changing energy demands. With China moving towards greener energy solutions and reduced reliance on fossil fuels, PetroChina’s shift reflects the country’s broader strategic push towards sustainability.

Source

#dalian #refinery #cnpc #petrochina #crudeoil #espo


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