Project name

Caprolactam

Cooperation form

Solely foreign-owned

Project description

Production scheme
Construction plan
Market analysis
Operation scale
Sales forecast

   Project scale: annual output of 150,000 ton of caprolactam.
   Caprolactam is mainly used for production of polyamide 6, nylon 6 resin and so on. According to Customs statistics, 420,000 ton of caprolactam was imported between January and November 2004 alone. The domestic output of caprolactam is predicted to be 450,000 ton in 2005, of which some 350,000 ton will be supplied to market. In contrast, the domestic consumption of caprolactam will reach 700,000 ~ 750,000 ton a year, with demand from Ningbo alone coming to 110,000 ton, indicating the big gap between supply and demand.
   Annual sales income is forecasted at RMB3.06 billion and annual profit at RMB312 million.
   
   

Equipment import & material supply

   Key equipment to be imported; other supporting equipment and materials like phenol, hydrogen and catalyzer to be purchased at home.

Investment estimate & cost efficiency

Total investment

USD240 million

Registered capital

USD80 million

Annual sales

RMB3.06 billion

Anticipated means of investment from foreign partner

Annual profit

RMB312 million

Foreign exchange

Technology

Equipment

Brand name

Others

Internal return rate

16.69%

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Payback period

4.8 yrs

Basic facts of Chinese partner (ownership, total and fixed assets, current products and sales, current equipment and technology, support facility, etc.)

   The Investment and Cooperation Bureau of Ningbo Development Zone is a special government department responsible for investment promotion of the zone. It is also responsible for investment promotion for this project.

Project location & geographic advantage

   The project will be located within Ningbo Development Zone, where the advantages are obvious in terms of location, port facility, infrastructure, transportations and market environment.

Project status quo

   At marketing stage

Project data available

Investment promotion material

Organization to contact

Investment and Cooperation Bureau of Ningbo Development Zone

Person to contact

Chen Feng

Address

3/F, Chuangye Building, 477 Mingzhou West Road, Beilun, Ningbo

Postcode

315800

Telephone

0086-574-86783429

Fax

0086-574-86885325

E-mail

chenfeng@netd.com.cn  

Website

www.netd.com.cn