(Hong Kong, 11 October 2023) - China Risun Group Limited (“China Risun” or the “Group”, HKEX Stock Code: 1907), a leading global integrated producer and supplier of coke, coking chemicals, refined chemicals and related operation and management services in China, held a groundbreaking ceremony for its 5,000-ton/year amino alcohol and intelligent command center projects at its Dingzhou Production Base. Zhang Erwen, Deputy Secretary of the Party Group of Dingzhou Government, Deputy Secretary of the Party Working Committee and Deputy Director of the Management Committee of the High-tech District, attended the ceremony and announced the start of the projects. Also in attendance were Tian Libin, Deputy Secretary of the Party Working Committee and Deputy Director of the Management Committee of the High-tech District, and Wang Yingqi, Chairman and General Manager of the Dingzhou Production Base, who both delivered speeches at the event.
The 5,000-ton/year amino alcohol project, which is currently under construction, covers an area of 60 mu, with a total investment of RMB380 million (as below). It is schedules to be completed and put into operation in November 2024. By then, it will be able to produce 5,000 tons of amino alcohol (i.e. 2-amino-2-methyl1-propanol) per year, with a by-production of 296 tons of acetoxime, 202.4 tons of dimethoxymethane and 10 tons of fusel oil. Amino alcohol is a high-end environmentally friendly multifunctional chemical with high added value and wide range of applications, such as high-end coatings, metal processing, pesticides, medicine, daily chemicals, carbon dioxide absorption, etc.
After years of research, China Risun’s R&D team overcame many difficulties and independently developed the product through small-scale trial exploration, process design and pilot scale-up. Now, it has mastered the complete amino alcohol production technology and built the first pilot unit with a capacity of 182 tons/year in China and a Phase 1 demonstration unit with a capacity of 350 tons/year at the refined chemical workshop of the Dingzhou production base. Production has started steadily, and the product is in short supply and selling well both domestically and internationally. The project has the following advantages: First, it has a strong technological advantage. With China Risun’s exclusive and world-leading non-nitrification green process, it boasts low production cost but high product quality, which has been tested by the pilot unit and the Phase 1 demonstration unit with a capacity of 350 tons/year. After the completion of the project, the production capacity will be increased tenfold, so the cost and quality advantages will be greatly enhanced, breaking the monopoly of foreign companies and filling the gap in the Chinese market. Second, it has strong resources. The project can fully utilize the existing production materials at the production base, including hydrogen, methanol, liquid ammonia, etc., thus effectively reducing costs, directly improving efficiency, and accumulating core competitiveness. Third, it enjoys a favorable policy environment. It is a high-end refined chemical product, which is in line with national industrial policies and enjoys related support. It is also in line with the Group’s strategic development direction, one of the key directions being to facilitate business diversification and high-quality development of the production base. Fourth, high sales are expected due to the scarcity of the product and its expanding market. At present, the global demand for amino alcohol is more than 30,000 tons per year and the applications are continuously expanding. It is expected that the global demand for amino alcohol will continue to grow for a long time in the future. China Risun has seized the market opportunity with its original technology, created a new source of profit, and accelerated the Group’s industrial chain expansion into the high-end segment.
In addition to this project, the construction of the intelligent command center at China Risun’s Dingzhou production base also began at the same time. This new facility covers an area of 2,400 sq. m. with a GFA of 3,700 sq. m. and a total investment of RMB41.88 million. It is scheduled to be completed and put into operation in October 2024. By then, the Dingzhou production base’s energy, production, logistics and electricity planning will be automated, unified and integrated, achieving digital, intelligent and centralized control, greatly improving production efficiency and minimizing manpower in the workplace. It will also be the most advanced intelligent command center in China. In the future, China Risun’s Dingzhou production base will work closely with design, construction and supervision units to ensure that the project is completed and put into production on schedule and to a high standard, and that production and performance targets are achieved quickly. At the same time, based on its existing industrial advantages, China Risun’s Dingzhou production base will anchor in the future key development directions of new materials, refined chemicals, hydrogen energy, and carbon capture and utilization. By optimizing its layout and development projects, it will strive to become the largest exemplary circular economy production base in China, with the longest industrial chain, the highest value-added, and the most advanced technologies, and its comprehensive indicators will also lead the world. It will also make greater contributions to the Group’s national layout and global expansion, facilitate Dingzhou’s "1368" development plan and accelerate the establishment of a modern high-quality medium-sized city.
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