Dimethyl ether is expected to become China's most important alternative fuel

In 2007, China's new coal chemical industry was dominated by coal-to-oil, coal-to-olefin, and coal-to-dimethyl ether. Among them, the dimethyl ether produced by coal has been favored by many companies for its unique advantages. With the gradual start of construction of equipment under construction and the development of dimethyl ether application technology, dimethyl ether is expected to become the most important alternative fuel in China.
Why DME can be a sudden emergence from the global (excluding China) annual output of less than 200,000 tons in 2002 to the current domestic one million tons of equipment? What are the advantages of dimethyl ether and its development prospects? What are the opportunities and challenges China faces at this stage? The author will analyze the following one by one.
Dimethyl ether has a huge price advantage Although DME still hasn't achieved large-scale application in the field of automotive fuel, as a civilian fuel, DME has obvious price advantages compared with natural gas and LPG.
Shandong Jiutai Company and the Erdos City of Inner Mongolia cooperated to build a 1 million-ton/year dimethyl ether plant, supporting 1.5 million tons/year of methanol plant, with a very low cost. Due to the use of local coal resources, the price of raw materials is quite low, the cost of methanol is less than 800 yuan/ton, and the cost of dimethyl ether is also less than 1,400 yuan/ton. With oil prices continuing to be at a high level, the current price of liquefied gas in most parts of South China East China has reached 5,000 yuan/ton. In the field of civilian fuels, dimethyl ether with a cost and freight of less than 3,000 yuan/ton has apparently taken up huge prices. Advantage.
Dimethyl ether can digest domestic excess methanol in the near future. As large-scale domestic coal-to-methanol plants are started, China has changed its methanol-importing country to an exporting country, triggering a frenzy of methanol price cuts. Since November 2006, domestic methanol prices have fallen from around 4,000 yuan/ton to the current level of nearly 2,000 yuan/ton, and a large number of domestic methanol projects are being launched. The potential overcapacity has seriously threatened the profits of the entire methanol industry. space.
Methanol is not only over-capacity, but also difficult to develop its application. MTO investment is huge and the technology is not mature. China's giants such as Shenhua Group, Shenhua Ning Coal and Yankuang Group are constructing demonstration units. Temporarily do not have the conditions for large-scale promotion across the country. However, due to the immature technology, the application of methanol for vehicle fuels is difficult to overcome due to environmental problems and it is basically in a stagnant state. Fortunately, the large-scale construction of a methanol-made dimethyl ether plant to convert methanol into clean, easy-to-use, high value-added dimethyl ether fuel can solve the problem of excess methanol.
The domestic production of dimethyl ether has rapidly expanded. Due to its excellent market prospects, domestic companies have entered the dimethyl ether industry one after another and domestic production of dimethyl ether has expanded rapidly. The domestic dimethyl ether production giant Jiutai Energy and Xinao Group respectively construct a million-ton-class dimethyl ether plant in Zhangjiagang, Jiangsu. Zhongtian Hechuang, a joint venture established by Sinopec, is preparing 4 million tons of dimethyl ether per year. Device.
In addition, Anhui Fuxin Gas Company, Sichuan Lutianhua Luyuan Alcohol Company, Shanghai Huayi Shanghai Coking Co., Ltd., Inner Mongolia Yigao Chemical Company, Yunnan Coal Chemical Company, Yunnan Jiehua Group Co., Ltd., Ningxia Petrochemical Corporation, Hong Kong The GCL Group and Shanxi Orchid Technology Ventures have also launched their own dimethyl ether projects.

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