On July 10th, Baofeng Energy double-ring tube HDPE device metallocene polyethylene product trial production success, product quality index reached qualified product range, Became the first double-ring tube HDPE production of metallocene products enterprise in China.

Metallocene products are characterized by a narrow product molecular weight distribution, giving good mechanical properties. It has significant advantages in environmental stress cracking resistance, tensile, transparency, gloss, low temperature impact resistance and high temperature static pressure strength. The trial production products cover injection plastic M6040, PERT tube material M3506RTбы, film material M2310 three grades of products, between the grades to achieve continuous and stable production.

Metallocene products due to high production difficulty, unstable reaction conditions and other reasons, China are in the development stage, Baofeng Energy metallocene products breakthrough for China to achieve large-scale production of metallocene is of great significance, not only to create high-end characteristic products, but also to achieve quality and efficiency improvement, enhance the core competitiveness of the key breakthrough point.

Baofeng Energy achieved net profit of 2.1 billion yuan in the first half of the year, the circular economy industry chain was further improved

On the evening of August 10, Baofeng Energy released a semi-annual report in 2020, the company achieved operating income of 7.52 billion yuan in the first half of the year, an increase of 15.35%; The total profit of 2.354 billion yuan, an increase of 7.45%; Net profit attributable to shareholders of listed companies was 2.092 billion yuan, up 10.75 percent year-on-year; And earnings per share of 0.29 yuan, up 3.57 percent year on year.

From the semi-annual report, Baofeng Energy has focused on optimizing costs this year and constantly improving the circular economy industry chain. On the one hand, the raised funds and investment projects have been put into operation smoothly, forming new profit growth points. In June 2020, Baofeng Energy's investment projects raised funds were put into full operation, including the methanol production of 600,000 tons/year polyolefin project put into operation in October 2019 and the coke gasification to produce 2.2 million tons/year methanol project put into operation in June 2020.

Among them, the production of 2.2 million tons of methanol project also means the completion of the first and last stages of the project, marking that Baofeng Energy has the production capacity of 1.2 million tons/year of polyolefin, 4 million tons/year of methanol, and 780,000 tons/year of fine chemical products, and has become one of the largest coal-to-olefin production enterprises in China. The polyolefin production capacity of the company accounts for more than 10% of the country's total coal-to-olefin production capacity.

On the other hand, the company's ability to secure raw coal resources has been further strengthened. In July 2020, Baofeng Energy Hongsi Coal Mine obtained the "Mining License of the People's Republic of China", which covers an area of 22.3 square kilometers and is valid for 30 years. At present, Baofeng Energy has four coal mines, including Hongsi Coal Mine, with its own geological reserves of about 857 million tons, and the total annual coal production capacity will reach 8.1 million tons when all of them are put into operation. Among them, according to data, the coal reserves of Hongsi Coal Mine reach 278 million tons. After Hongsi Coal Mine can be put into trial production in the second half of the year, the coal production capacity of the company's own coal mine will increase from the current 5.1 million tons per year to 7.5 million tons, further reducing the cost of raw materials, and improving the continuity and stability of raw coal supply required for production.

Baofeng Energy said that the company has carried out one-time planning, centralized layout and phased implementation in the circular economy industry chain, forming a large monomer scale industrial cluster. The circular economy industry chain makes the company's upstream and downstream production units closely connected, and the products of the previous unit directly become the raw materials of the next unit. The above two projects will be "listed" as scheduled to achieve the comprehensive efficiency of expanding production capacity, stable supply and reducing costs, and further enhance the integration advantage.

It is worth mentioning that this year, Baofeng Energy will start 4 million tons/year coal to olefin project, which is the first time Baofeng energy to start the remote layout Baofeng Energy Inner Mongolia project has been approved by the Ordos City people's Government in June 2020, included in the Ordos City to build a modern coal chemical industry demonstration area Master plan. At the same time, the subsidiary has received the Wushen banner forward Inner Mongolia Autonomous Region Development and Reform Commission on Inner Mongolia Baofeng coal-based New Materials Co., LTD. 4*1 million tons/year coal to olefin demonstration project phase 1 2.6 million tons/ton project approval, Agreed to Inner Mongolia Baofeng Coal based New Materials Co., Ltd. in Ordos City Wuxin Banner Sulige Economic Development Zone to build a phase 2.6 million tons/year coal to olefin demonstration project. In the later stage, the company will speed up the work process to complete the approval procedures before commencement as soon as possible.