Overview of Localization Breakthroughs in PetroChina Dushanzi Petrochemical’s Tarim 1.2-Million-Ton/Year Ethylene Project
2026-09-02
Vastness and desolation once defined the character of this boundless desert. Yet, rising from the once-barren land at the edge of the Taklamakan Desert is now a magnificent cluster of modern petrochemical facilities. On May 21, 2026, PetroChina Dushanzi Petrochemical’s Tarim 1.2-million-ton/year ethylene Phase II project—along with its supporting green, low-carbon demonstration facilities—successfully reached mechanical completion after an effective construction period of just 22 months. Even more inspiring than this world-class pace is the project’s distinctly Chinese character: the overall localization rate stands at 99%; nine of the eleven major production units utilize PetroChina’s proprietary technologies; five technologies achieved industrial-scale application for the first time; and three large-scale extrusion-granulation units marked a breakthrough in domestic manufacturing. Furthermore, the project features the world’s second—and my country’s first—ethylene unit powered by an all-electric "three-machine" drive system based on proprietary technology. This signifies that the facility is powered by a fully indigenous "Chinese heart."The core equipment of large-scale ethylene plants is regarded as the "heart" of the petrochemical industry. Why is there such a firm determination to forge this "Chinese heart" for the ethylene industry? To understand this persistence, one must look at the ethylene industry itself, the broader context of energy strategy, and the development of the national economy. —The significance of ethylene: vital to the national economy and people's livelihoods. Hailed as the "mother of the petrochemical industry," ethylene serves as a key benchmark for a nation's petrochemical capabilities. By the end of 2025, my country's ethylene production capacity had surpassed 60 million tons, maintaining its position as the world's largest ethylene producer. However, leading in scale does not equate to leading in technology. Challenges such as technological bottlenecks and high costs once constrained the development of my country's ethylene and polyolefin industries. Take, for instance, the technology and equipment for large-scale polyolefin extrusion and granulation: the lack of indigenous, high-capacity technology meant that critical equipment had to be imported, leaving the production of high-end products dependent on foreign sources. This recent technological breakthrough has shattered foreign monopolies in sectors like large-scale polyolefin production. It has reversed a disadvantageous situation characterized by high costs, low controllability, and weak innovation, thereby providing a replicable pathway for domestic large-scale refining and chemical projects to achieve indigenous innovation and localization. ——A strategic breakthrough targeting high-ground advantages. We must keep control of our own energy supply. In terms of ensuring industrial security, the project will establish the only 3-million-ton-class ethylene industry in my country’s central and western regions upon completion, comprehensively enhancing the resilience and security of the energy-chemical industry and supply chains. Once operational, it will fill gaps in the high-end polyolefin and synthetic rubber sectors in southern Xinjiang, driving a transformation of local industry from traditional oil and gas extraction toward high-end chemicals, new materials, and green, low-carbon sectors. Simultaneously, it will effectively rectify the imbalance where domestic ethylene production capacity is heavily concentrated in the east while the west lacks raw material supplies; it will powerfully spur the clustered development of downstream supporting industries—such as rubber and plastics, fine chemicals, and new materials—thereby optimizing the chemical industry structure across the eastern and western regions. ——Boosting industry and enriching the people, benefiting the vast region across the Tianshan Mountains. We remain committed to developing industries with distinctive advantages and cultivating competitive industrial clusters. We will strengthen the deep integration of technological and industrial innovation, developing "new quality productive forces" tailored to local conditions. In terms of economic impact, the project leverages the abundant oil, gas, and new energy resources of PetroChina’s Tarim Oilfield, alongside two supporting projects—deep processing of natural gas and deep stabilization of crude oil at Lunnan. It aims to build a synergistic, full-chain development system on the Gobi Desert encompassing oil and gas, chemicals, new energy, new materials, and agriculture. Ethylene is a fundamental chemical product with a downstream economic multiplier effect of 1:7. Projections indicate that once operational, the project will drive the formation of a 100-billion-yuan-level industrial cluster anchored by ethylene production. It will significantly boost local fiscal revenue and tax income, drive a 15% GDP growth for the Bayingolin Mongol Autonomous Prefecture, and serve as a core engine for regional economic expansion. Furthermore, the indirect jobs created will account for more than half of Korla City’s target for new urban employment in 2026, effectively using industrial development to boost employment, increase incomes, and improve people's livelihoods.As a testament to "Created in China" delivered by PetroChina in the Gobi Desert, the project's most significant breakthrough lies in the exceptionally high rate of domestic localization for its equipment and technologies. — my country’s first ethylene plant featuring fully electric-driven "three-machine sets" based on proprietary technology—powered by a "Chinese heart." "This is the flagship unit of our project—the first ethylene plant to implement a fully electric-drive solution for the three core compressor sets using domestic technology," said Wang Fei with pride. He is the Ethylene Unit Manager for the Tarim Phase II Ethylene Project at the Beijing Branch of China Huanqiu Contracting & Engineering Corporation. In the past, the three core compressor sets of a million-ton-scale ethylene plant (cracked gas compressor, ethylene refrigeration compressor, and propylene refrigeration compressor) relied on steam turbines driven by steam generated through fuel combustion. This long chain of energy conversion resulted in significant efficiency losses, high carbon emissions, and slow control responses. By achieving a "fully electric-driven ethylene three-machine set" configuration for the first time, the project has made a fundamental leap from "thermal drive" to "direct electric drive." With electric motors directly driving the compressors, the underlying logic of power supply has been completely restructured. This has led to vastly improved energy efficiency, significantly lower carbon emissions, and a qualitative leap in control precision and response speed. The plant's electrification rate—a core indicator of energy transition, industrial low-carbon performance, and modernization—is nearly double that of traditional ethylene plants. Combined with the use of green electricity, this transformation enables an annual carbon reduction of over 212,000 tons. On a global scale, there are currently over 300 ethylene plants in operation. Only one fully electric-driven unit—operated by BASF—came online earlier this year; the vast majority of other plants still rely on traditional drive methods. It is fair to say that prior to this, the global adoption of fully electric-drive technology in the ethylene industry was virtually non-existent, with absolutely no precedent in China. As the first successful domestic application of its kind, this project overcame technical challenges in developing electric drive systems for large-scale ethylene compressor trains. It achieved the domestic production of core equipment—such as high-power compressors and high-voltage variable frequency drives—thereby breaking the long-standing monopoly held by foreign brands in the field of large-scale electric drive equipment for the chemical industry. ——The comprehensive application of high-end proprietary technologies shapes a "Chinese soul" for chemical industry innovation. In addition to the all-electric drive system for the three major ethylene compressors, the project incorporates numerous domestically developed technologies, equipment, and materials. Proprietary technologies embody "Chinese ingenuity"—Building upon PetroChina’s existing foundations and strengths, the project accelerates breakthroughs in key core technologies such as high-performance polyolefins. The 1.2-million-ton/year ethylene unit utilizes a proprietary "front-end depropanizer/front-end hydrogenation" process; the 450,000-ton/year polyethylene and polypropylene units mark the first industrial application of complete technology packages independently developed by PetroChina; and the 450,000-ton/year ammonia synthesis unit represents the first industrial application of a process package designed for ammonia synthesis using hydrogen-rich ethylene tail gas as feedstock. Domestic equipment manufacturing forges a "Chinese backbone"—The project achieves an exceptionally high rate of domestic equipment sourcing. The ethylene unit is essentially domestically produced, while units and processes such as pyrolysis gasoline hydrogenation, butadiene extraction, MTBE/butene-1 production, cis-polybutadiene rubber production, and aromatics extraction have achieved 100% localization. Regarding core equipment, the project developed and deployed the first domestically produced large-scale extrusion-granulation units (450,000-ton/year capacity) for polyethylene and polypropylene, ensuring independent control over key polyolefin equipment. Self-developed new materials solidify the "Chinese foundation"—PetroChina collaborated with China Baowu Steel Group to develop domestically produced 13CrMo4-5 steel piping for use in cracked-gas quench heat exchangers, thereby breaking a foreign monopoly. Simultaneously, the project team developed new corrosion-resistant materials for tube bundles and tackled anti-corrosion process challenges for quench oil/water heat exchangers, aiming to double the service life of the tube bundles compared to those made from 10# carbon steel.A series of "firsts" marks new heights in the independent innovation of China's ethylene industry, confirming a simple yet firm conviction: core technologies cannot be bought or traded for—they must be achieved through one's own efforts. — Braving obstacles and tackling the toughest engineering challenges through hard, pragmatic work. Forging ahead through thorns and thistles—When tackling the challenge of an all-electric drive system for the three main compressors, domestic experience was limited to pilot projects for single-unit electric drives. Foreign companies strictly blockaded the technology, forbidding even visits to the substation and variable-frequency drive areas. Li Yuxin, design manager for the Tarim Phase II Ethylene Project at China Huanqiu Contracting & Engineering Corporation (Beijing Branch), and his team were determined: "We must rely on ourselves to turn a 'choke-point' technology into a Chinese innovation." Lacking a suitable high-power compressor, they split one unit into two, recalculating pressure ratios and balancing power; lacking reference models, they reconstructed the process from the source, simulating and resolving every foreseeable risk one by one. After more than 200 days and nights of intense research and dozens of design iterations, they successfully overcame the challenge of the ultra-high-power electric drive system. Unwavering resolve until victory—To secure the process package for full-density polyethylene, a seven-member expert team from Dushanzi Petrochemical mobilized on Chinese New Year's Eve. They worked tirelessly for 15 consecutive days, reviewing 83 flow charts and proposing 488 optimization suggestions. The flow charts were scrapped and rebuilt three times, yet the team held fast to a single thought: they had to crack this "hard nut." Relentless pursuit of solutions—The development of the carbon capture process package involved a tight schedule and a heavy workload, compounded by a severe lack of core fundamental data. The Dushanzi Petrochemical team raced against time at the pilot plant to extract data and precisely match operating conditions. Under the scorching sun, they climbed platforms over 30 meters high to conduct measurements. Facing operating conditions that were extremely difficult to control precisely, team members rushed to repair valves and calibrate instruments, pushing forward with tests and collecting critical data to fill gaps in the process package and calibrate the models. ——Guided by the "Six-ization" strategy, management innovation drove the project's "critical battle" to success. Behind the achievement of a 22-month effective construction period lay a management transformation led by the "Six-ization" approach: standardized design, centralized procurement, factory prefabrication, modular construction, intelligent management, and digital delivery. Innovative research into a complete set of mechanical connection technologies for prefabricated square piles—eliminating the need for pile-head breaking—resulted in a standardized design that reduced costs by 43 million yuan and cut the schedule by two months across the site's 74,000 piles. Design-led EPC integration facilitated the integral hoisting of oversized tower equipment; leveraging on-site manufacturing advantages for large towers set industry records of five lifts in 13 days and nine lifts in 37 days. A "comprehensive soil-free management" model was pioneered, achieving full soil-free status to high standards within the first 14 months and creating a green construction site. Large-scale module construction utilized a "work package" management model—involving off-site manufacturing, complete assembly, extreme-condition transport, and precision installation of furnace-front pipe rack modules—while enabling simultaneous construction on the north and south sides of the cracking furnaces, a first for ethylene project construction in the industry. ——Adopting a holistic approach and systems thinking to set "dual benchmarks" for quality and safety. The project innovated large-scale petrochemical construction methods, creating a model project characterized by enhanced quality, increased efficiency, and controllable safety. The ethylene unit's construction proceeded steadily and rapidly; all six major control indicators were excellent, and quality was fully controlled. The project achieved zero injuries, zero accidents, and zero pollution, with cumulative safe working hours exceeding 15 million. Located on the edge of the Taklamakan Desert, the project faced challenges such as poor transportation infrastructure, a lack of local support resources, and difficulties in transporting oversized, overweight equipment. To address this, six mobile factories for oversized equipment were built near the site, efficiently manufacturing 167 units—totaling 38,500 tons—of such equipment on-site. A 4D welding management system enabled full-process digital traceability, achieving a 99.1% first-pass yield for automatic welding and ensuring lifelong traceability of weld quality. The smart construction site integrates systems such as personnel positioning, panoramic surveillance, AI-based unsafe behavior recognition, automated drone patrols, and environmental monitoring, aggregating data into the smart construction site dashboard and the EPCC centralized control platform. Let us turn back the clock to the moment the ethylene unit—comprising three major machinery trains—successfully started up. As the signal confirming the successful startup lit up and operating parameters smoothly surpassed critical thresholds, the control room did not erupt in cheers; instead, it was filled with a profound, surging emotion. Some clenched their fists tightly, while others welled up with tears. This moment marked not only the successful launch of the equipment but also the breaking of a long-standing technological monopoly held by foreign entities in the field of all-electric drive systems. Twenty-two months—nearly 700 days and nights. What rose from the vast desert was not merely a million-ton-class ethylene plant, but a landmark symbol of my country’s petroleum and petrochemical industry transitioning from "Made in China" to "Created in China." This epic saga of striving to build a major piece of national industrial infrastructure in the desert has forged a new starting point for PetroChina as it scales new heights of technological self-reliance and strength.
