On July 30th, Zhenyang Development (603213) recently announced that Zhejiang Zhenyang Development Co., Ltd. (hereinafter referred to as "the company") was recently notified by its controlling shareholder Zhejiang Transportation Investment Group Co., Ltd. (hereinafter referred to as "Provincial Exchange Group"). According to the research and decision of the Provincial Exchange Group, the company plans to invest in the construction of 100000 tons of recycled salt caustic soda project (hereinafter referred to as "this project"). This project needs to be examined and approved by the company's board of directors and shareholders' general meeting before it can be implemented.

The basic situation of      's investment: in order to further implement the recycling and green industrial development strategy, actively respond to the "waste-free city" construction advocated by the government, implement the high-value utilization of industrial solid waste, and enhance the resource utilization capacity of solid waste in Ningbo and its surrounding areas, the company plans to invest in the annual treatment of 100000 tons of recycled salt caustic soda project. The total investment of the project is RMB 938.91 million.

The basic information of the investment target:

Investment project name: annual treatment of 100000 tons of recycled salt caustic soda project.

Main investor: Zhejiang Zhenyang Development Co., Ltd.

Project address: the project is built within the company's existing site without the need for new land.

Main construction scale and content: on the basis of the annual production capacity of 350000 tons of the existing chlor-alkali plant, using the relevant facilities and public works of the built chlor-alkali plant, the construction of recycled salt refining, primary / secondary brine refining, electrolysis unit, hydrogen / chlorine treatment and other processes can achieve an annual capacity of 100000 tons of recycled salt to produce 200000 tons of caustic soda. The construction period of the project is 15 months.

Project necessity: this project is in line with the circular and green industrial development strategy advocated by the government. The project uses recycled salt as one of the main raw materials, and most of the caustic soda, chlorine and hydrogen products produced can be absorbed by the company itself, petrochemical park and surrounding enterprises. after the implementation of the project, the scale of chlor-alkali production can be further enhanced, the manufacturing cost per unit of chlor-alkali products can be reduced and the marginal benefit of products can be improved.

     investment estimation and benefit analysis: the total investment of the project is 938.91 million yuan. The after-tax financial internal rate of return on project capital is 21.79%. The investment estimate is only for the feasibility analysis and estimation of the project within the company and does not constitute a performance commitment to investors.

Sources of funds: the sources of funds for the project include self-owned funds and self-raised funds, accounting for about 45% of the total funds, and the rest are solved through bank loans.

Examination and approval of     project: the project is still in the preliminary preparatory stage, and the follow-up will be submitted to the board of directors and shareholders' meeting for consideration and decision in strict accordance with the regulations.

    plans to invest in the annual treatment of 100000 tons of recycled salt caustic soda project in line with the national green development, agglomeration development policy and the company's development strategy, and in line with Ningbo's "building a trillion-level green petrochemical industrial cluster" and "waste-free city" construction, is an important measure for the company to build a strong "chlor-alkali + petrochemical" industry chain. The project does not need new construction land, mature and reliable technology and a wide range of raw material sources, which can effectively promote regional circulation and green development, further improve the marginal benefit of the company's caustic soda products, and further enhance the company's comprehensive influence and competitiveness. at the same time, it has good social and economic benefits, which will play a positive role in strengthening, optimizing and expanding the chlor-alkali industry.

     Zhenyang Development's main business is the research and development, production and sales of chlor-alkali related products. Source: digging shellfish net