China’s Puyang Shengyuan Petrochemical Group is proposing a roughly $9 billion investment in a large-scale natural gas processing project in Turkmenistan, aimed at expanding the industrial use of the country’s gas reserves.
Company President Wang Xicheng presented the initiative at a Turkmen-Chinese business forum in Ashgabat, according to News Central Asia.
The project is designed as an integrated gas processing complex built around three production chains: petrochemicals, agriculture and energy. The plan seeks to increase value-added output from natural gas while creating jobs and supporting growth in related sectors such as logistics, services and engineering.
A central component of the proposal is a methanol production facility with an annual capacity of 1.8 million tons, with downstream products including high-density polyethylene and polypropylene. Engineering costs for this segment are estimated at $6.3 billion.
A second production chain would focus on agricultural inputs, including up to 1 million tons of synthetic ammonia and 1.8 million tons of urea per year. Engineering costs for this segment are estimated at $600 million.
The third component includes the production of higher-value petroleum products. Planned annual output includes about 320,000 tons of naphtha, 620,000 tons of diesel fuel and 60,000 tons of liquefied gas, along with hydrogen and dry gas for internal use. Engineering costs are estimated at $1.1 billion.
Wang said the project would help Turkmenistan convert its large natural gas reserves into sustained economic growth and industrial development.