On August 4, 2024, Shanghai Chlor-Alkali Chemical Co., Ltd. (600618.SH) announced its plan to issue convertible bonds to raise up to RMB 4 billion to fund the hydrogen peroxide propylene oxide (HPPO) and polyether polyol integrated project.

The integrated project will be implemented by Guangxi Huayi Chlor-Alkali Chemical Co., Ltd., a wholly-owned subsidiary of Shanghai Chlor-Alkali Chemical Co., Ltd. Located in the Petrochemical Industrial Park of Qinzhou Port Economic and Technological Development Zone in Guangxi, the project will have a production capacity of 300,000 tons/year of hydrogen peroxide (on an equivalent basis), 300,000 tons/year of propylene oxide (HPPO), 200,000 tons/year of polyether polyol, and 50,000 tons/year of polymer polyol processing units.

As of now, the project is in the construction phase, with the main installations yet to commence. It is expected to complete construction in March 2026 and commence trial production in the second half of 2026.

Shanghai Chlor-Alkali Chemical Co., Ltd. (600618.SH) stated that this project investment will aid the company in establishing a comprehensive layout across the upstream and downstream of the polyether industry chain, further enriching its product portfolio with hydrogen peroxide, propylene oxide, and polyether polyol businesses, and accelerating the implementation of its future development plans.