In view of the long- term shortage of basic petrochemical materials in Taiwan that dampened development of the midstream and downstream petrochemical industries, Formosa Plastics Group proposed The Six th Naphtha Cracker Project for alleviating the problem and acquired government approval in 1986. The first selection for the project site was a 280-hectare property in Lizi, Yi-Lan. Due to subsequent irrational objections of local opposition, the project was moved to Guanyin, Taoyuan in 1988,and then aborted for similar reasons.
In 1991, with blessings of both the local government and the residents, the project chose to settle down in the off-shore industrial zones in Yunlin County of Mailiao and Haifong, by way of reclamation, for building up an oil refinery plant with annual capacity of 25 million tons of crude oil, naphtha cracker plants for producing 2.94 million tons ethylene per annum, and other petrochemical plants, heavy machinery plants, a co-generation plant, and the Mailiao Industrial Harbor. In addition, in view of the serious power shortage in Taiwan, which impacts greatly on people’s lives as well as on businesses, a thermal power plant with a capacity of 3 million kilowatts was therefore planned; all of the generated power will be incorporated into the TPC power supply system, for assisting on the relief of the domestic power shortage. Total investment of 53 plants in the four phases of The Sixth Naphtha Cracker Project, including the industrial harbor and the power plant, was US$27.39 billion, and the project was completed and has already began production.
• Land reclamation : 109.15 million cubic meters of sand were poured to create land, sufficient in volume to construct a three story tall, eight-lane wide building along the 373 km-long stretch of freeway from Keelung to Kaohsiung. The total area of reclaimed land is 2,255 hectares, about 8% the size of Taipei City (27,180 hectares) or equal to 0.062% of Taiwan’s land area.
• Engineering foundation : The total length of piles driven amounted to 4.7 million meters and the total amount of concrete used reached 9.04 million cubic meters (approximately 1.97 million tons cement).
• Plant construction : 53 plants were built within a single complex, including oil refineries, naphtha cracker plants, co-generation plants, power plants, heavy machinery plants, boiler plants, wafer fabrication plants and petrochemical-related plants. Piping inside the plant area alone extends for 3,000 km.
• Complex area : The area of the entire complex totals 2,603 hectares, more than four times the total of the Linyuan (403 ha),Dashe (109 ha), and Toufen (95 ha) petrochemical industrial zones.
Mailiao Harbor occupies an area of 476 hectares. With a water depth of 24 meters during midtide, the harbor can accommodate 300,000 ton vessels. It is also the first industrial harbor that is privately invested, developed and constructed.
Moreover, Mailiao Harbor is the first industrial port in Asia to win EcoPorts certification. It is the second-largest harbor in Taiwan with a cargo throughput up to 70 million tons per year, trailing only behind that of Kaohsiung Harbor. Although Mailiao Harbor was constructed for industrial purposes, its operations in Yunlin County incorporates the vast adjacent hinterland area into the port zone. Consequently, the access to convenient marine transportation promotes development of local industry.
The Project includes a large thermal power plant equipped with three power generation units that each generates 600,000 kW of electricity, for a total generating capacity of 1.8 million kW. All electricity generated has been sold to the Taiwan Power Company and incorporated into the national power grid. This contribution has helped ease Taiwan’s power shortage.
Upon the completion of the Phase IV expansion, refining 540 thousand barrels of crude per day, the equivalent of 25 million tons of petroleum annually. The naphtha capacity increased to 3.75 million tons/year, which is sufficient to supply for the entire Mailiao Complex. Other petroleum products, including gasoline, diesel and kerosene are exported to overseas markets.
There are three naphtha cracking plants (NCP,) producing ethylene, propylene, and butadiene .Ethylene capacity 2.935 million tons annually, the biggest capacity in Taiwan and the largest single-plant area capacity in Asia, supplying people’s livelihood, special chemicals, information, high-tech and other industries. The plants are industrial infrastructure of national importance.
The plant is designated to generate electricity, steam, and water for industrial use, as well as produce hyperpure water, nitrogen, oxygen, and compressed air for use by plants within the complex. The largest co-generation plant in Taiwan, it has 16 generation sets with a total capacity of 2.75 million kW. After supplying onsite manufacturing needs, excess electricity is sold to Taiwan Power Company to ease Taiwan’s power shortage.
The machinery shop mainly engages in the design, manufacture, installation, and construction of oil refining and petrochemical process equipment such as reactors, towers, pressure vessels, heat exchanger, etc. We have obtained ASME S, U, U2 & R certificates. The overall manufacturing capacity is 12MØx120MLx2000MT, it means the actual capability of producing a single equipment is up to 12 meters in diameter, 120 meters in length and 2,000 tons in weight. The Cogeneration Department and the boiler shop thereof engage in planning, design, manufacturing, installation, and construction of 50-150MW cogeneration plants and the power plants with capacity up to 600MW for Independent Power Producers (IPP).
This wafer plant is a joint venture owned by Formosa Plastics, Asia-Pacific Investment and Japan’s SUMCO TECHXIV CORPORATION for the production of silicon wafers used in semiconductor, with an annual capacity of 3.84 million pieces for 200mm and 3.36 million pieces for 300mm. Silicon wafers are the most important substrate materials for integrated circuit of semiconductors and are also supplied for use as solar battery substrate material.09
Formosa Asahi Spandex Co. Ltd., with an annual capacity of 5,000 MT for spandex and 21,000 MT for polytetramethylene ether glycol (PTMG), is a joint venture between Formosa Plastics and Asahi Kasei of Japan. Spandex is widely used in functional clothes and medical products and has become an indispensable added fiber in manmade fibers.
The Mailiao and Haifong Zones that accommodate The Sixth Naphtha Cracker Project are situated at the estuary of Chuoshui Creek at the northern end of Yunlin County. Approximately 8 km long from south to north, the area extends more than 4 km along the coastline out toward the sea. A great portion of the land lies below sea level most of the time and one can observe some sandy land at low tide which is totally submerged during high tide. The Cracker Project required massive land reclamation efforts to create 2,255 hectares of new land. Since the two sections have a waterway segregating them from the fish farms along the coast, geological improvement to shore up the foundation was required before the plants could be built.
Land reclamation was carried out by first constructing dike of stone in the sea and enclosed the area expected to be the base of plant, then sand was extracted from government-sanctioned waters to level up the area inside the embankment.
Mailiao is located in a region that is commonly dubbed “head of the windstorm and end of the waterflow,” with the northeast monsoon blowing half of the year. Inconvenient transportation and poor weather made the reclamation work doubly formidable. It is truly a giant undertaking to turn sea into mulberry fields.
In order to reinforce our environmental protection, FPG established Safety Health & Environment Center to monitor and control the air, wastewater, waste articles, noise and ecological environment conditions. We adopted most advanced Best Available Control Technology (BACT) to reduce the negative impacts on the environment. The invested budget for pollution control and prevention is about US$3.99 billion. The outcome is very significant. It not only surpasses our national official standards but also meet the standards of the most developed countries.
Take the air pollution as an example, in the thermal power plant, we adopt sealed systems for coal transportation and storage in order to prevent the coal dust or ashes blown out of the system to cause pollution. All of the emitted gas has to pass various treatments, such as ventilated denitrification and desulfuration, static electricity dust collection to make sure the pollutants were eliminated before the gas emitted. As to water pollution control, we set up 8 comprehensive wastewater processing pools. Before flowing out, all of the wastewater will be well treated by chemical and biological process treatments. It’s proven the flown out wastewater is clean for keeping the carps. Meanwhile, Mailiao Industrial Complex is the only complex which process waste within the complex area in Taiwan. We have 2 incin erators which can process 150 tons of waste daily, a immobilization factory, a landfill site and an ash pond.
Total investment in one to four phases of The Sixth Naphtha Cracker Project is US$27.39 billion, of which environment protection budget is US$3.99 billion. The contributions of The Sixth Naphtha Cracker Project to Taiwan are multiple.
It boosts the confidence of the private sector, stabilizes development of the petrochemical industry, promotes upgrade of the petrochemical industry and balanced regional development, and shortens the gap between city and countryside. Other materialized benefits of the project include:
• The self-sufficiency rate of ethylene increased from 38% in 1994 to over 100% in 2018.
• Annual production value in 2018 has reached US$45.02 billion.
• Increasing government tax revenue by an average of at least US$586 million annually over the past 5 year.
• It leads the middle and downstream industries development and improves industrial output and working opportunities.
• Mailiao Harbor offers more accessible gateway to local commerce, and improves the economic growth for the region.
• The excess electricity of the power plant will solve the problem of power shortage in Taiwan.
• We created land area of 2,255 hectares forTaiwan.
Capacity ( 10,000 MT / Year )
600MW x 3
500T/H X 4ST