Linfen, Shanxi – Shanxi Sanwei Group announced in March 2014 it is to license its Conser PTMEG (polytetramethylene ether glycol) production technology for RMB450mn ($74mn) to Xinjiang Guotai Xinhua Chemical.
The process, which also produces 1,4-butanediol production uses an acetylene-formaldehyde process.
According to Sanwei's website, it has a complete industrial chain for BDO and its downstream business, including two production lines for PTMEG with a 45kT/year total capacity. After the transaction Xinjiang Guotai will be permitted to set up facilities with a 60kT/year capacity for PTMEG and a 200kT/year capacity for 1,4-butanediol.
Xinjiang Guotai Xinhua Chemical was founded in December 2013 in Changji, Xinjiang autonomous region. Both Xinjiang Guotai and Sanwei are ultimately controlled by the State-owned Assets Supervision and Administration Commission of Shanxi province.
XE currency conversion: 24 March
