(Yicai Global) June 7 -- Hunan Kaimeite Gases will invest in a food-grade high-purity carbon dioxide project in southeast China to meet the demand for high-purity gases in various industries.
The Yueyang-based company's board of directors yesterday approved the CNY98 million (USD15 million) investment plan for the project, located in Quanzhou, southeast China's Fujian province, with an annual capacity of 100,000 tons, the firm said in a statement.
The project, which uses the carbon dioxide tail gas produced by related production units of Fujian Refining & Petrochemical as raw materials and turns it into usable finished products, is part of the efforts for comprehensive utilization of low-carbon and energy-saving resources, the statement said. It is estimated to generate an annual net profit of nearly CNY180,000 during the initial stage.
The project applies adsorption separation technology to purify carbon dioxide, and the company's patent technology will enable it to produce ultra-high purity carbon dioxide products with a purity of 99.9 percent. With high quality, stable process, a finished product rate of up to 99 percent, and a product cost lower than the industry average, the company will have a strong competitive advantage in the market, it added.
In addition to carbonated beverages and other food-related industries, ultra-high-purity carbon dioxide can also be used in laser sources, electronics, medical care, standard gas, and laboratories. The company expects profitable returns when an industrial scale and the first-mover advantage in the domestic market are achieved, the statement added.
Editor: Mevlut Katik