Li Shousheng, President of the Petrochemical Federation: Ten major events that should be remembered for the development of our industry in 2021

Although the stormy year of 2021 has passed, the arduous process of seizing opportunities and working hard will linger in our memories. In the face of business performance in 2021, the entire industry should remember ten unforgettable events.

I. Compiled and issued the "Guidelines for the Development of China's Petroleum and Chemical Industry in the 14th Five-Year Plan".

In order to compile the industry's "14th Five-Year Plan" development guidelines, we will gather the strength of the whole petrochemical federation, and will lead the team to conduct field research in enterprises, research institutes and chemical parks, which lasted 8 months and was officially released in January 2021 after repeated revisions. At the same time, the industry development guidelines also released special development plans for science and technology, parks, and greens, which provided directions, priorities and goals for the high-quality development of the "14th Five-Year Plan" of the whole industry, and had a significant impact on the whole industry.

Second, under extremely difficult conditions, it has made outstanding contributions to ensuring the safe supply of crude oil and natural gas energy.

In 2021, China's crude oil output is 199 million tons, natural gas production is 206 billion square meters, an increase of more than 10 billion square meters for five consecutive years, and the oil and gas production equivalent is expected to reach 213 million tons (of which the oil and gas equivalent of Changqing Oilfield is 62 million tons, ranking first among the major oilfields in the country, and the annual output of crude oil in Bohai Oilfield is more than 30 million tons, becoming the largest crude oil base in the mainland). The annual crude oil output capacity is 10 million tons, and the daily transmission capacity of natural gas pipelines is 40 million tons, which has made outstanding contributions to ensuring the energy security supply of macroeconomic and people's livelihood needs.

Third, we have made remarkable achievements in ensuring the supply of chemical fertilizers and pesticides for the bumper agricultural harvest on the mainland, especially in stabilizing prices and ensuring supply.

In 2021, the total grain output of the mainland was 682.85 million tons (1365.7 billion tons), an increase of 2% over 2020, and a new annual grain output, remaining above 650 million tons for seven consecutive years. The bumper harvest in agriculture is directly related to the supply of fertilizers and pesticides in our industry. In 2021, the mainland urea production has maintained the level of 55 million tons (physical quantity) in the case of tight raw material supply and soaring raw material prices, and in terms of stabilizing urea prices, the nitrogen fertilizer and phosphate fertilizer association has played an important role. Sinochem acquired Syngenta of Switzerland and Adama of Israel, becoming the world's largest pesticide producer. At present, the development of seed engineering and the development of biopesticides are brewing major breakthroughs. The mainland's fertilizer and pesticide industries will continue to make greater contributions to the mainland's agricultural harvest.

Fourth, the scientific and technological innovation capabilities of our industry are being greatly improved, and a number of major achievements with international leading levels have emerged.

In 2021, the Petrochemical Federation Science and Technology Awards judged 241 annual science and technology awards, including 30 technological invention awards and 211 scientific and technological progress awards. The award-winning projects represent the latest scientific and technological level of the current industry, especially the projects that have won the Technological Invention Award and the Special Prize and the First Prize of Scientific and Technological Progress have ranked among the world's advanced similar technologies, and some technologies are at the world's leading level. For example, "Key Technologies and Industrial Applications of High Temperature and High Pressure Drilling and Completion in the South China Sea" has built the first offshore high temperature and high pressure gas fields in the mainland, Dongfang 13-1 and Dongfang 13-2. In particular, the completion of the deep-sea No. 1 well marks that the crude oil and natural gas exploration technology of the mainland ultra-deep sea has stepped onto the world's leading level. Under the guidance of the technology of "Exploration Theory Technology and Major Discovery of Large-scale Condensate Gas Field in the Deep Bohai Bay Basin", bohai 19-6 of the 100 billion square gas field bohai was successfully discovered in the bohai bay of the mainland. Under the guidance of the "large-area, high-abundance shale gas enrichment theory", trillion square fields have been formed in southern Sichuan. In the past five years, more than 600 shale gas wells have been built on the mainland, and shale gas production will reach 20.04 billion cubic meters in 2020, an increase of 30% year-on-year. The U.S. Energy Agency predicts that China's shale gas production will reach 40% of China's natural gas production by 2040, making it the world's second largest shale gas producer after the United States. In the field of research and development of new chemical materials, adiponitrile technology has made a major breakthrough, breaking the global monopoly of the United States, France and Japan. MDI, polyimide, nylon 10T, polyphenylene sulfide (PPS) and other technologies have made new breakthroughs and progress. In the field of modern coal chemical industry, the coal-to-oil technology with an annual output of 4 million tons won the first prize of the National Science and Technology Progress Award, and the new coal gasification technology, the third generation MTO technology and the synthesis gas one-step production of olefins and aromatic short process technology have made new breakthroughs. In the field of fine chemicals, silver light dye technology and electronic grade wet chemical technology have also made major breakthroughs in Zhejiang Juhua and Hubei Xingfa.

Fifth, the basic work of the "double carbon" goal, our industry is taking the lead in solid progress.

The "double carbon" goal is a challenging new job, and our industry has always put the basic work first and solidly promoted it. At the beginning of the year, the organization of PetroChina, Sinopec, CNOOC, Wanhua Chemical and Shanghai Chemical Industry Park jointly issued the "Declaration on Carbon Neutrality of China's Petroleum and Chemical Industry"; under the guidance of the National Development and Reform Commission and other five ministries and commissions, participated in the drafting of the "Action Plan for Promoting Energy Conservation and Carbon Reduction in Key Petrochemical Industries (2021-2025)"; entrusted by the National Bureau of Statistics, carried out a study on the calculation methods of carbon emission factors and other indicators in the petrochemical industry; led the machinery and textile federations to jointly apply, and the Ministry of Human Resources and Social Security officially approved the establishment" Carbon emission manager "new occupation" and established a "double carbon" standardization working group, which proposed a "double carbon" standard system framework and a "double carbon" target roadmap. The basic work of "double carbon" in our industry is taking the lead in solid progress in terms of policies, statistics, standards, training and overall design.

Sixth, the industry-wide mass quality management group activities ushered in the 40th anniversary of the review.

On August 31, 2021, the 40th Anniversary Of the National Petroleum and Chemical Industry Quality Management Group Activity And the 40th National Petroleum and Chemical Industry Quality Management Group Congress were held online. The meeting selected the outstanding enterprises in the activities of the national quality group, the 40th anniversary QC benchmarking group and the advanced in the activity organization of the national quality management group. In the past 40 years, the industry has commended 11823 outstanding QC teams, 1168 quality trustworthy teams, and 1018 advanced individuals, which fully demonstrates the strong vitality and influence of this activity.

Seventh, conscientiously implement the Yangtze River protection strategy, chemical enterprises took the lead in handing over the green answer sheet of ecological priority.

In order to conscientiously implement the instructions of General Secretary Xi Jinping on "jointly grasping great protection and not engaging in large-scale development", chemical enterprises have taken the lead in completing the rectification task of 8,000 chemical enterprises with the overall concept of "green development and defending the mother river", a large number of high-pollution and high-energy-consuming enterprises have been shut down and banned, a large number of major projects have been relocated to the park, 2411 illegal projects included in the national rectification list have been rectified and 2417 have been completed, and the pollution of the Yangtze River has been effectively controlled. A green ecological corridor on both sides of the Yangtze River is taking shape.

Viii. The history of China's industry, "Petroleum Industry Volume", "Chemical Industry Volume" and "History of the Development of China's Chemical Industry in the Past Hundred Years", after about five years, have been compiled and officially published.

The history of the development of this huge-scale industry is closely coordinated with the centennial party history education activities of the whole party, providing a vivid history textbook for the whole industry to carry out traditional education in depth.

In an extremely complex and difficult macro environment, in 2021, the industry's profits will exceed the mark of 1 trillion yuan, the total profit will reach the highest level in the history of the industry, and the profit margin of sales revenue will hit a new high in nearly a decade. It shows the essential changes in the high-quality development of the whole industry.

10. In the fourth "National Advanced Social Organization" selection and commendation activity launched by the Ministry of Civil Affairs in September 2021, after the procedures of recommendation review, solicitation of opinions, and public announcement, the Ministry of Civil Affairs decided to award the title of "National Advanced Social Organization" to the China Petroleum and Chemical Industry Federation.