XKPC Kicks off POM ProjectConstruction on the 40 000 t/a polyoxymethylene (POM) project was started in Kuche county, Xinjiang of northwestern China. The project with a total investment of RMB1.27 billion is made by Xinjiang Union Chemical Co., Ltd. of Xinjiang Koerle Pear Co., Ltd. (XKPC, SZ: 600506) There is also a capacity of 100 000 t/a methanol and 120 000 t/a formaldehyde matched with the POM project. After completion of the project, the sales revenue of the company is expected to be increased by more than RMB500 million.   It is released that the project makes use of the advanced technologies and facilities imported from aboard. Major raw material and fuel come from the abundant natural gas reserve in Tarim Basin. Methanol can be manufactured from natural gas to produce formaldehyde and further to POM. Around 200 million m3 of natural gas is consumed by the project. Covering 0.4 hectare, the first phase of the POM project is targeting to come on stream in October 2008.     POM is a thermoplastic resin with excellent comprehensive performance. In recent years, the demand for POM has grown vigorously in China. Nowadays, there is an annual deficit for 100 000 tons of POM in the Chinese market.    On April 18th, 2007 XKPC acquired Union Chemical Co., Ltd., for RMB71.92 million.