SINGAPORE (ICIS news)--Shanghai Huayi Group may spend yuan (CNY) 30bn ($4bn) to develop a coal chemical base in Anhui province to produce methanol and derivatives as part of expansion plans, a company official said on Tuesday.
The state-owned chemicals maker is also looking at ways to raise cash to fund the expansion and has not ruled out going public, she added.
Huayi was in talks with the Anhui government to build basic infrastructure such as roads and to provide water, electricity and gas for the greenfield park in Chaohu city, the official said.
The company was also keen for Anhui to get the central government s approval for the industrial park which would safeguard its long term development, she added.
Huayi has received approvals to build a 600,000 tonne/year methanol plant, costing CNY2bn-3bn, and a port in its first phase of development at the park, she said.
Methanol derivative plants such as acetic acid would be built later, she added.
Huayi recently appointed Liu Xunfeng, the former head of Shanghai Chemical Industry Park Development Co, as its president, the official said.
It would tap on Liu s experience in drawing investors and it has not ruled out going public as one of the faster ways to raise money for capital intensive investments, she added.
The group owns one of China s largest methanol producers Shanghai Coking and Chemical and mainland-listed polyvinyl chloride (PVC) maker Shanghai Chlor-alkali Co (SCAC) which operate plants in Shanghai s Wujing and Caojing districts.
($1=CNY7.43)
The state-owned chemicals maker is also looking at ways to raise cash to fund the expansion and has not ruled out going public, she added.
Huayi was in talks with the Anhui government to build basic infrastructure such as roads and to provide water, electricity and gas for the greenfield park in Chaohu city, the official said.
The company was also keen for Anhui to get the central government s approval for the industrial park which would safeguard its long term development, she added.
Huayi has received approvals to build a 600,000 tonne/year methanol plant, costing CNY2bn-3bn, and a port in its first phase of development at the park, she said.
Methanol derivative plants such as acetic acid would be built later, she added.
Huayi recently appointed Liu Xunfeng, the former head of Shanghai Chemical Industry Park Development Co, as its president, the official said.
It would tap on Liu s experience in drawing investors and it has not ruled out going public as one of the faster ways to raise money for capital intensive investments, she added.
The group owns one of China s largest methanol producers Shanghai Coking and Chemical and mainland-listed polyvinyl chloride (PVC) maker Shanghai Chlor-alkali Co (SCAC) which operate plants in Shanghai s Wujing and Caojing districts.
($1=CNY7.43)
