Hong Kong-China XLX Fertiliser Ltd. reports that it will spend RMB3 billion to build a fourth urea plant near its existing plants in Xinxiang City, Henan Province. The new plant is expected to come online in 2013. The new urea plant, with a capacity of 800,000 mt/y, will boost the group’s total capacity by more than 60 percent and increase the group’s annual production capacity of urea from 1.25 million mt to over 2 million mt. Moreover, in response to the environmental policies of the Chinese government to reduce the usage of anthracite coal through technology upgrading, the plant will introduce new technology that enables it to use coal powder as feedstock instead of anthracite coal. The company said that while the cost of coal powder is lower than anthracite coal, it has a higher conversion rate when being changed from coal into coal gas. Electricity consumption per ton of urea production will thus be lowered further.
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