What are the Latest Updates of Three Key Needle Coke Plants coming up in China

The demand for needle coke which is a key raw material for Graphite electrodes (GE) has increased significantly in past one year amid the surge in GE requirement.

According to IC Carbon's data, China's needle coke capacity which was 540,000 tonnes in 2017 has remained the same in 2018 as no new capacities have been unleashed this year although many needle coke projects have been launched. However, in 2019 the country's needle coke capacity is expected to reach 830,000 tonnes and about 1.40 MnT by 2020. Below are the three key needle coke projects that are coming up in the country in 2019.

Maanshan Steel and Huachan Carbon's needle coke project

Together Maanshan Iron & Steel Co. Ltd. and Huachan Carbon Co. Ltd are setting up a needle coke and supporting tar processing project with a total investment of 2.12 billion yuan in Jiexiu city of Shanxi province. The capacity of the needle coke plant is about 120,000 tonnes.

The first phase of the project which is expected to start its production next year involves construction of 40,000 tonne of needle coke production unit, including 300,000-tonne tar processing unit and supporting public auxiliary equipment. The technical support of the project is coming from the Anshan Thermal Energy Institute of Sinosteel.

Henan Kaitan's 40,000 tonnes needle coke project

Another needle coke plant that is coming up is of Henan Kaitan New Materials Co., Ltd. The construction of 40,000 tonne of needle coke project was started at the end of May 2018, and is scheduled to be completed by the end of September 2019. As of now, the company's equipment ordering work has been completed and the civil construction of the unit has been completed by 40%. The remaining 60% of the construction work is expected to be completed before next winter season.

Jinzhou Chemical is expected to resume production next year

The latest update of Shanxi Jinzhou Chemical Ltd.'s needle coke project is that the plant is expected to reach its production stage next year. As per the market sources, China's Xuyang Group is looking out to take over Jinzhou Chemical and help it in the early start of its coking unit. If Xuyang Group successfully takes over Jinzhou Chemical, the Xuyang Group will have two needle coke bases, Xuyang Xingyu with 50,000 tonne capacity and Jinzhou Chemical with 50,000 tonne capacity. According to the current process, Xingyu is expected to start needle coke production in the second quarter of 2019 whereas Jinzhou Chemical is expected to start its production in March 2019.

Inputs from IC Carbon