Brief Profiles Of Investment Projects
For China's Agenda 21

 

Title Unleaded Antiknock Agent
Type New production
Description   
A plant will be constructed in Chengmai county, Hainan province to produce lead-free antiknock agent for fuels used in internal combustion engines, with a capacity of 1,000 tons per year. This antiknock agent is intended to replace the use of leaded antiknock additives that were in wide use in past years. Most of the developed countries have banned the use of lead in antiknock agents, which should soon be the case in China. The main raw materials are ethylene (CPH), sodium and manganese chloride and carbon monoxide.
Rationale   
Lead-free antiknock agent increases the value of gasoline fuels as the octane level is increased and the antiknock properties improved. In order to run smoothly gasoline used in internal combustion engines has a strict MTBE requirement, which is satisfied with this additive. The estimated domestic demand is about 7,500 tons. The estimated consumption of gasoline by the year 2000 is 34 million tons, which will require over 10,000 tons of agent. As compared with leaded agents, the cost of production is lower and efficiency higher. Because this is the preferred additive for producing antiknock properties, the market position is strong and should produce a high return on investment.
Products   
Unleaded antiknock agent: 1,000 tons per year
Location Chengmai county, Hainan province
Available Information Pre-feasibility Study, Project Description, Technical Study
Total Investment (US$)

14.5 million

Foreign Currency (US$)

  

Financing

Co-operation Sought

Total Equity (US$)   

Project Financing

Of which Equity Foreign Partner (US$)      
Loan (US$)

14.5 million

  
Others(specify) (US$)      
Indicators of Viability IRR: 38%

INFORMATION ON SPONSOR

Name Hainan Sunrising Dragon Growth Corp. Ltd. Tel +86-898-6765983
Address 2 Nanhang Road, Haikon city, Hainan province Fax +86-898-6708948
Annual Turnover (US$) 1993    1994    1995   
Year of Establishment 1994 No. of Employees 820 Ownership Private
Fixed Assets (US$) 36.1 million Registered Capital (US$) 32.5 million
Land (ha.)    Building (m*m)    Equipment (US$)   

 


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