Donghua Tianye Phase II 400,000 tonnes PBAT, 300,000 tonnes BDO project starts construction

On March 18, 2022, 149 key projects in Shihezi City of Xinjiang's 8th Division focused on starting and resuming work, including Donghua Tianye Phase II 400,000 tons/year biodegradable materials project.

On 18 March 2021, Xinjiang Tianye Company Limited announced that it had signed a shareholders' contribution agreement with Donghua Engineering Technology Company Limited in Shihezi City, Xinjiang, agreeing to jointly invest in the construction of polyadipic acid/butadiene terephthalate (PBAT) project.

Project Review

The overall plan of the project is 500,000 tonnes/year, with 100,000 tonnes/year of PBAT to be built in Phase I. The investment in Phase I is estimated at RMB 649.6 million and the construction period is expected to be one year. This is the first industrial project between Shihezi City of the 8th Division of the Xinjiang Production and Construction Corps and a central enterprise, and is also the "No.1 Project" of the 8th Division.

Sinochem Donghua Tianye is a joint venture between Donghua Technology and Xinjiang Tianye, with Donghua Technology holding 51% and Xinjiang Tianye 49% of the shares.

On 26 December 2021, a mechanical completion ceremony was held for the first phase of the PBAT project with an annual production capacity of 100,000 tonnes, and on 21 February 2022, a start-up meeting was held for the commissioning of PBAT by Donghua Tianye New Materials Company Limited, which is expected to be commissioned in the first quarter of 2022.