曲靖市硅橡胶生产线建设项目 Silicone Rubber Production Line Construction Project in Qujing

Project Overview

1. Project Name

曲靖市硅橡胶生产线建设项目

Silicone Rubber Production Line Construction Project in Qujing

2. Project Industry

New Material Industry

3. Project Site

Organic Silicon New Material Industrial Park of Huashan Subdistrict, Zhanyi Industrial Park

4. Project Overview

Silicone Rubber Production Line Construction Project in Qujing is located in Organic Silicon New Material Industrial Park of Huashan Subdistrict, Zhanyi Industrial Park, with a total investment of about RMB 1 billion. Based on the sound industrial clusters as well as the Park advantages in Zhanyi Industrial Park, the project constructs the organic silicon production line, complements the downstream industrial chain of silicon chemical industry, and gains greater competitive advantages and higher profits for the products by relying on the sound upstream industrial chain in the Industrial Park.

Project Implementation Background

1. Industrial Policies

Three-year Action Plan to Enhance Core Competitiveness of Manufacturing Industry (2018 - 2020)

Catalogue for the First Batch Application Demonstration of Key New Materials (2019 Edition)

Implementation Opinions of People's Government of Yunnan Province on Promoting the Development of Integrated Hydropower Silicon Material Processing and Manufacturing Industry

2. Upper-Level Plan

The park plan has been completed.

Project Construction Plan

1. Project Site Overview

1. Project Site: Organic Silicon New Material Industrial Park of Huashan Subdistrict, Zhanyi Industrial Park

2. Scope and Land Scale: It is connected to Xuanwei City to the north, Qujing City to the south, Xundian County to the west and Fuyuan County to the east.

3. Land usage, land expropriation and reservation, land cost, whether involving "three red lines": The land planned for the project has been expropriated and reserved, and none of the three lines is involved.

2. Investment Estimate

1. Investment Estimate: RMB 1 billion

2. Fund Raising: Self-raised by enterprises, financing.

3. Project Content

1. Functional Zoning: Silicone Rubber Production Line Construction Project in Qujing is mainly planned to build a silicone rubber production line and its supporting facilities, which will be divided into four zones for construction.

2. Project Content:

Four zones: Silicone rubber production zone, product R&D zone, logistics and warehousing zone, and comprehensive service zone.

Silicone rubber production zone: Raw material quality inspection workshop, ingredients mixing workshop, hydraulic molding workshop, subsequent processing workshop, and inspection and packaging workshop.

Product R&D zone: Scientific research center, market research center, etc.

Logistics and warehousing zone: Raw material storage zone, product storage zone, and logistics center.

Comprehensive service zone: Office building, accommodation building, canteen, etc.

Government: leading role, macro-control and management

Enterprise: As the main body of investment and operation, it is responsible for the actual operation of project construction, equipment input, operation, marketing, etc.

Project Advantages

1. Industrial Basis

The well-equipped industrial basis of Organic Silicon New Material Industrial Park of Huashan Subdistrict, Zhanyi Industrial Park, has formed an industrial cluster of coal coking, fine chemicals, organic silicon new materials, chemical equipment manufacturing as a whole. The project relies on the YEIG organic silicon monomer and supporting projects with a capacity of 400,000 tons, and plans 5,000 mu of organic silicon new materials industrial park, with a focus on the development of silicone oil, silicone rubber, silicone resin, silane coupling agents and other silicone downstream products; with a focus on the introduction of 32 types of organic silicon new materials such as HTV silicone rubber, HTV silicone rubber compound, organic silicon sealant, medical silicone rubber and products, simethicone, vinyl silicone oil, water-soluble silicone oil, organic silicon defoamer, organic silicon water-proofing agent, methyltrimethoxysilane, organic silicon resin, hexamethyl disiloxane, poly aluminum chloride, etc. The project has a good industrial development foundation and broad industrial prospects.

2. Resource Advantages

1. Mineral Resources:

There are 47 kinds of mineral resources in Qujing City, with a total mineral resource reserve of 35.5 billion tons and a potential economic mineral resource value of over RMB 13 trillion. With proven coal reserve of 9 billion tons, it is one of the 19 key coal-producing areas in China, accounting for more than half of the province's raw coal production. The reserves of lead, zinc, manganese, sulfur, iron, phosphorus, and limestone for cement purpose rank the top in the province.

2. Hydropower Resources:

Within Qujing, rivers and streams radiate in different directions which respectively belong to the Yangtze River and Pearl River system with more than 80 rivers of 100 km² drainage area, hydropower resource reserves are 4,068,200kw.

3. Human Resources:

Qujing is a city of large population and labor export city, with 5.95 million students in 3 colleges and universities, and 9.63 million students in 32 secondary vocational schools. It has formed a vocational education system and skill training system of large scale, high level, complete categories, and adapted to the demand, with the completed Qujing Vocational Education Center being a larger vocational education and training base in the southwest. Qujing City is an old industrial base in Yunnan Province, with an abundance of technical personnel, skilled workers and enterprise managers.

4. Natural Gas Resources:

China-Myanmar Natural Gas Pipeline has a designed gas transmission capacity of 12 billion m³/year, with an actual annual gas supply of 7 billion m³. Natural gas transmission and distribution stations and supporting pipeline networks have been built in most of the urban areas and industrial parks in Qujing.

5. Electric Power Resources:

Yunnan is an important West-to-East Power Transmission and clean energy base of China, with the installed capacity of clean energy with hydropower as the main clean energy accounts for 71.31 million kw (61.31 million kw of hydropower, 7.89 million kw of wind power, 210,000 kw of photovoltaic). The power supply in Yunnan Province far exceeds the power demand, with abandoned hydropower amounting to 16.8 billion kWh, 15.3 billion kWh, 31.5 billion kWh and 28.7 billion kWh from 2014 to 2017 respectively. Qujing City has a dual security advantage of both hydropower and thermal power, with an installed power capacity of 95.44 million kw, of which: 6.8 million kw of thermal power, representing 49% of the province's installed thermal power. There are one 500 kV converter station, six 500 kV substations and twenty 220 kV substations.

3. Supporting Conditions

1. Within the Huashan Subdistrict, Yunnan Commodity Trading Center and Heilaowan strategic loading station of Guiyang-Kunming Railway have been built and connected with Guiyang-Kunming Railway and Panxi Railway, with an annual goods throughput of 3 million tons.

2. There is one 4×300MW thermal power plant in Zhanyi Industrial Park, and six 220kV and above substations are distributed in and near the park.

3. There are two reservoirs near Huashan Subdistrict, including Huashan reservoir with a capacity of 82.33 million m³ and Bailang reservoir with a capacity of 20.27 million m³. These two reservoirs can supply 46 million m³/year to the subdistrict, which can meet the demand of water for production and consumption in the subdistrict.

4. Location and Transportation

Zhanyi, known as the “throat of Yunnan”, has a three-dimensional transportation network that is "interconnected and seamlessly jointed". Two high-speed railways, two railways, five highways, and two National Highways run through the territory; and projects like urban rail transit, general aviation airport, and air cargo hub are being accelerated, which builds a smooth traffic network from north to south and from east to west. In particular, Qujing North Railway Station, the second-largest high-speed railway passenger station in Yunnan, is located in Zhanyi, which is 30 minutes away from Kunming, 40 minutes away from Kunming Changshui International Airport, 6 hours away from Guangzhou, and 10 hours away from Shanghai.

Factors Guarantee

Fiscal and tax preferential policies at all levels for province/city/district/county/park corporate investments

Enjoy the preferential policies of the Central Government, Yunnan Province, Qujing City, relevant industries, and the Notice by CPC Committee Office of Zhanyi District, Qujing City and Office of People's Government of Zhanyi District, Qujing City on the issuance of "Qujing City Zhanyi District Investment Attraction Support Policy (Trial)" (ZBT [2018] No. 73)

Benefit Analysis

1. Profit Model: This project makes profits by selling silicone rubber products.

2. Economic Benefits: After the project is put into operation, the total annual taxation of profit in normal operation year is RMB 230 million, and the investment payback period is 6.4 years based on the financial internal rate of return at 17.38%.

Investment Promotion Direction

Pearl River Delta and Yangtze River Delta.

Cooperation Pattern

Sole proprietorship and others

Contact Information

Contact Authority: Investment Attraction Bureau of Zhanyi District, Qujing City

Contact Person: Gu Zhengxing (Secretary of the Party Group)

Tel.: 13887179550