Fujian Meide Petrochemical Co. Ltd. will use UOP's C3 Oleflex process technology to convert propane to propylene, a key ingredient in the production of materials such as films and packaging.
It is the 12th Oleflex project UOP has announced since the beginning of 2011, and the company's second project with Fujian Meide.
Pete Piotrowski, senior vice president and general manager of Honeywell's UOP Process Technology and Equipment business unit, noted that UOP's combined Oleflex projects to date will boost global propylene production by more than 5 million metric tons over the next three years.
China's propylene consumption accounts for more than 15% of worldwide demand, and it is growing at about 5% to 6% per year, according to market projections.
In 2011, UOP licensed its C3 Oleflex process technology to Fujian Meide to produce 660,000 metric tons per year of propylene. The new unit, which is expected to start up in 2015, will produce the same quantity.
In addition to technology licensing, Honeywell's UOP will provide engineering design, catalysts, adsorbents, equipment, staff training and technical service for the project at Fujian Meide's facility in Fuzhou City, Fujian Province, China.
Since 2011, UOP has announced 11 new Oleflex units across China, Abu Dhabi and North America, including China's first combined C3/C4 Oleflex unit and the first two C4 Oleflex units.