Sichuan Meifeng: "Two Roads" Transformation

Traditional fertilizer industry, how to transform? Sichuan Meifeng made a demonstration for the market, attacking the environmental protection and energy fields and walking on two legs. Environmental protection refers to vehicle urea, and energy refers to natural gas.

The transformation is not the sudden whim of Sichuan Meifeng, but the thoughtful consideration after a long period of brewing. In 2010, Sichuan Meifengjia Blue Environmental Protection Technology Co., Ltd. (hereinafter referred to as Meifeng Jialan) was established and began to study the tail gas treatment fluid-vehicle urea. At present, Meifengjia Blue Diesel Tail Gas Treatment Fluid Production Plant has obtained 2 national invention patents. In May 2013, it successfully passed the AdBlue (Diesel Tail Gas Treatment Fluid) Certification of the German Automobile Industry Association (VDA). It is the first in China. The company that passed the certification.

Ume Plus Blue Car with Urea
Ume Plus Blue Car with Urea

Vehicle urea is not a low threshold product. The company stated that urea for vehicles is a urea solution with a concentration of 32.5% made of high-purity urea and high-purity water, which has high requirements for the production process. This eliminated most of the potential competitors and avoided the low-price competition for vehicle urea.

Sichuan Meifeng is full of confidence for the prospect of car urea. Chairman of the company Zhao Xiaobin pointed out: “China's automotive urea market sales volume in 2011 was about 11,000 tons, about 15,000 tons in 2012, and about 20,000 to 3 million tons in 2013. With the full implementation of the national IV emission standard, 2015 will With explosive growth, the demand for domestic vehicle urea is expected to reach 5 to 7 million tons in the future, and now it is in a period of market growth, and we are doubling each month's sales, so we judge that after 2015, the AdBlue market will Mass release."

Recently, Sichuan Meifeng said on the investor interaction platform: “The company plans to achieve a domestic market share of nitrogen oxide reductant products of more than 20% in 2014. As of now, the sales of nitrogen oxide reducing agent products of the company are in good condition.”

Not only car urea , the company's development in the LNG field is also steadily moving forward. On March 21, 2013, Sichuan Meifeng issued an announcement stating that it plans to jointly invest with the actual controller Sichuan Natural Gas Co., Ltd., a subsidiary of Sinopec, to establish Shuangrui Energy, a subsidiary company, to get involved in the production and sales of natural gas and other clean energy. After Shuangrui Energy was established, it soon came to fruition.

On September 10, 2013, Shuangrui Energy, Sichuan Natural Gas Investment Co., Ltd., and Langzhong Gucheng Cultural Tourism Development Co., Ltd. jointly invested in Sichuan Natural Gas Chudong Energy Co., Ltd., and established a joint venture with Chuandong Energy to establish Suizhong Shuangrui Energy Co., Ltd. The establishment of the company and the two companies has greatly promoted the construction of LNG projects in Bazhong and Langzhong by Meifeng. The preliminary capacity planning target for the LNG project in Jizhong is 200,000 tons/year, which means 600,000 cubic meters per day. According to calculations, after the project is completed, profits and taxes can reach 100 million yuan annually.

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