bonanza

Chapter 768
"It's true!" Yang Dongsheng said.

"How much can you supply in a year?" Li Rufeng asked again.

"About 100 million tons!" Yang Dongsheng gave the same figure.

On the other end of the phone, the hands-free seemed to be turned on, and another middle-aged man's voice said, "Yes, yes, 100 million tons is very good!"

Li Rufeng then said, "Do you have time now? Let's find a place to talk in detail, and I'll introduce you to a business!"

"If it's the ethane business..." Yang Dongsheng glanced at Mr. Li and classmate Chen, "I'm talking about this business with Mr. Li of the Petroleum Group, and the Petroleum Group has basically made a decision!"

Hearing what Yang Dongsheng said, Mr. Li immediately understood what was going on, and hurriedly said, "It's settled, it's settled!"

At this time, the middle-aged man on the opposite side simply snatched the phone, "Dongsheng, I'm Rufeng's little uncle. Last time when Rufeng's grandma celebrated her birthday, I happened to go abroad for inspection. We didn't see him, but I heard from his sister-in-law. Yes, Xiao Miao is a good boy!"

Li Rufeng's little uncle made a few homely remarks, and soon got to the point, "Old Li from the oil group came to him first, right? This guy has a sharp nose, have you signed the contract yet?"

"The contract has not been signed yet, and today is our first meeting!"

"That's good!" Li Rufeng's little uncle smiled heartily, "Wait a minute, I'll make a call, see you later!"

Soon, Mr. Li's cell phone rang on the opposite side. Mr. Li frowned slightly, but he still connected the phone, "Mr. Zhang is back from his inspection?"

Mr. Li said a few words of courtesy to the person on the phone, and quickly reported the number of the private room they were in.

About half an hour later, the waiter knocked on the door and came in.

After the door opened, the leader was a middle-aged man who looked to be in his early fifties, and Li Rufeng was behind.

The middle-aged man smiled at Yang Dongsheng, then looked at Mr. Li, "Old Li, long time no see!"

"Mr. Zhang is too busy, but I have been staying in China."

Only then did Yang Dongsheng know that Li Rufeng's uncle was the vice president of the Petrochemical Group in charge of refining and chemical industry.

Although both he and Mr. Li are in charge of oil refining and chemical industry, it can be seen from the name that the largest industry of Petrochemical Group is oil refining and chemical industry, and the largest industry of Petroleum Group is crude oil extraction.

In terms of status, Li Rufeng's little uncle is obviously higher than President Li.

And from the conversation between the two of them, it can be heard that Li Rufeng's little uncle seemed to have been President Li's superior.

Li Rufeng and classmate Chen are also old acquaintances.

Several people greeted each other and sat down again.

Li Rufeng said to his little uncle, "Dongsheng, I know that your company has also contracted some oil wells, and there is nothing else I can do to help. On the way here, I just heard that after the Chinese New Year in our petrochemical group, a batch of oil wells will be opened to the outside world." Contractor, I wonder if you are interested?"

When Yang Dongsheng heard this, he was overjoyed immediately, this is a windfall!

Before Yang Dongsheng could answer, Mr. Li immediately said, "Our oil group will also have a batch of oil wells to be contracted out after the year! Mr. Yang, please wait a moment!"

Mr. Li immediately took out his mobile phone and asked the leader for instructions.

Looking at the posture of these two people, Yang Dongsheng felt a little strange. Although there is currently a shortage of ethylene, it is not enough for the two to compete like this, right?
The level of these two is not low!

Seeing this, Li Rufeng quietly came over and explained to Yang Dongsheng.

In order to ensure economic stability, under the guidance of national policies, the domestic crude oil and refined oil prices have been in an upside-down state in recent years, and the refined oil business of the two companies has been losing money.

If it's just that, it's fine, after all, they are obeying the overall situation.

But in 2000, the oil group and the petrochemical group were both listed in the United States, and the current stock prices of the two companies are ugly.

In order to keep the stock price from being too ugly, the two companies can only hope to make up for it from other places.

In addition to refined oil, other petrochemical products of the two companies are actually profitable, and the largest part of them comes from ethylene.

Both companies want to increase ethylene production, but ethylene production cannot be increased.

Not to mention the investment from crude oil to naphtha, and then from naphtha to ethylene. It is not a matter of overnight to build it.

Moreover, there is a shortage of ethylene in the country, as well as a shortage of oil.

The structure of ethane is very similar to that of ethylene, except that there is an extra hydrogen atom at one end.

The production of ethylene by ethane cracking has few by-products, low investment, large output of a single cracking furnace, low material consumption, and the cost is only one-third of that of naphtha to produce ethylene.

Investing in one ethane-to-ethylene project is equivalent to multiple naphtha-to-ethylene projects.

But domestic ethane is more in short supply than oil.

Ethane is mainly derived from natural gas, of which domestic natural gas production is small.

In 2005, the national natural gas production was less than 400 billion cubic meters—about 100 billion cubic meters less than the same period in the original history.

The ethane content of the natural gas fields that have been developed in China is generally low, and it is not worth the loss to separate ethane from them.

The output of very few gas fields with high ethane content is too small to meet the needs of ethylene production.

They can’t buy it in the international market. The ethane in the natural gas in the Middle East is used by them to make ethylene. The ethane in Russia is sold to Western Europe along with the natural gas. The shale gas technology in the United States has not yet been successfully implemented.

Now that someone can provide a large amount of ethane, it's no wonder they don't rush!
"Why don't you invest in one yourself? Not long ago, I followed the leader to inspect two projects. Now that this thing is completed, it will be like a money printing machine. There is no need to worry about sales!" Li Rufeng said.

Yang Dongsheng shook his head, "I saw the same situation in the 90s, but now that industry is oversupplied!"

For a moment, Yang Dongsheng really considered entering the ethylene industry, but after a moment, Yang Dongsheng dismissed this idea.

Although the investment in ethylene production from ethane is not as large as that of naphtha to ethylene production, a million-ton ethylene project will cost tens of billions of RMB.

Although the mining industry is doing well now, there are more places to spend money.

The technical transformation of mines must continue, and the high-end replacement of semiconductors must be accelerated!

We also need to engage in real estate. Many lands have been in our hands for several years. If we don't speed up the construction, the land will be in a hurry.

No matter how high the profit of the ethylene industry is, will it be higher than that of real estate in the next ten years?

And as long as Yang Dongsheng can continuously provide ethane, the domestic ethylene production capacity will be as surplus as steel in a short time.

At this time, Mr. Li put down the phone and smiled confidently, "Mr. Yang is welcome to participate in the oil well contracting of our oil group in the next year! In terms of oil fields, our oil group is better than others. Mr. Yang has contracted our oil fields, and he must know this too!"

(End of this chapter)