Air Liquide licenses methanol-to-propylene technology to Chinese coal group

The engineering and construction division of Air Liquide has signed a contract with Shenhua Ningxia Coal Industry Group to build a methanol-to-propylene plant in Ningdong, Ningxia province, China.

The unit will have capacity to produce around 500,000t/year of propylene from coal.

The contract includes the basic engineering, licence and supply of proprietary equipment, and procurement and technical advisory services at the site.

Shenhua and Air Liquide signed a cooperation agreement that includes the continuous improvement and further development of the Lurgi MTP technology.

Shenhua also agreed to support the marketing of MTP technology in China, and to support Air Liquide's engineering and construction division with its start-up and operational expertise.

The engineering phase for the contract is expected to be completed within eight months.