Three LPG aromatization plants with the total annual capacity of 500,000mt are expected to be put into production in Shandong Province in the second half of this year, C1's research showed.
When coming on stream, the three plants may need to purchase 750mt per day of C4 LPG as feedstock to produce about 700-800mt ultraclean LPG daily.
Shandong is expected to add 800,000mt per year of LPG aromatization capacity in total in the whole year of 2011.
LPG aromatization could help to increase profits of independent refineries as aromatics and gasoline are high value-added products, market sources said.
Currently, operating rates of LPG aromatization plants were unstable because of feedstock shortage. However, LPG aromatization will be one of the solutions to oversupply of LPG in the future.
