Petroleum refining is well known. In recent years, the domestic consumption of refined oil has been rising, and the supply of domestic refined oil has been limited, resulting in rising oil prices.

Feng Xiaochen knew what the entrepreneurs thought, and he still heard Xue Ducang talk about it. Xue Ducang has served as the person in charge of the extreme manufacturing base since its establishment. Now because of his advanced age, he has taken a back seat, but he still often participates in the work of the base and has a close relationship with Ruan Phuc Gen and other private entrepreneurs.

In the past two years, large petrochemical enterprises such as Beihua Machinery and Xinyang No. 2 Chemical Machinery have been vigorously promoting large-scale oil refining units with an annual output of more than 10 million tons, and Feng Xiaochen has also communicated with the State Planning Commission and other departments for this purpose, hoping that the state can invest in the construction of large-scale oil refineries at this level and provide an opportunity for equipment manufacturing enterprises to verify their technical level. However, as Wang Zhenbin said earlier, the state cannot come up with so much money at one time, and can only be financed by local governments to build small oil refineries, and there is no place for large-scale equipment.

When Nguyen Phuc Gen and others learned about this, they proposed that private funds could be raised to build a large oil refinery. Their calculations are very shrewd, the production efficiency of large oil refineries is higher, the price of refined oil is competitive, and the domestic finished product market is in short supply, so building an oil refinery is definitely a profitable deal.

However, an oil refinery involves an investment of tens of billions of yuan, and it is not something that a private enterprise can build if it wants to, and an investment project of this level must be approved by the State Development Planning Commission before construction can begin. In addition, the refinery is different from the general light industry enterprises, the crude oil used in the refinery is a national strategic material, which needs to be coordinated and distributed by the state, and the refined oil produced to enter the national sales system also needs to be issued by the state "pass". The state's supervision in the oil refining market is very strict, and local governments in some provinces and cities have to go through cumbersome procedures to build oil refineries, and sometimes they may not be able to obtain approval from the Planning Commission. Nguyen Phuc Gen and his group of township entrepreneurs how could they get such a permit.

Feng Xiaochen heard about it, but he didn't get involved. His identity is also more sensitive now, and it is not appropriate to meddle in fields that have nothing to do with him. Ruan Fugen and the others were also on a whim, and when they saw that things were difficult to do, they just forgot about it, so in the end, there was no movement in this matter.

Just now, Wang Zhenbin was squeezed by Feng Xiaochen and had nothing to say, so he blurted out that Feng Xiaochen would raise funds to build an oil refinery with an annual output of 20 million tons, and Feng Xiaochen caught his words. Feng Xiaochen felt that perhaps now was the time to open up the petroleum refining market to private capital, because after all, WTO accession was imminent, and it was better to let private capital come in and stir up the situation than to give up this market to foreigners. Relying solely on state-owned enterprises to confront foreign competitors is inevitably a bit weak, and private capital is also China's capital, and in this kind of competition, it can be used as an ally of state-owned enterprises.

Wang Zhenbin has also been doing economic work for many years, and he can't think of anything Feng Xiaochen can think of. Hearing Feng Xiaochen say so seriously, he pondered for a while and said: "This is not a bad way, anyway, we also want to open the market, foreigners can come, why can't private capital come?"

"Exactly. Feng Xiaochen said, "According to the current momentum of economic development, in the next 20 years, China's demand for refined oil will definitely increase several times, by 2020, China's petroleum refining scale will be no less than 800 million tons, and our current production capacity is only a fraction." With so much new production capacity, it is far from enough to rely on state investment alone, and attracting private capital investment can make up for the shortcomings of insufficient state funds. ”

"But what does this have to do with you?" Wang Zhenbin asked.

Feng Xiaochen said: "Of course it has a relationship. The cost of building one set of equipment and building three sets of equipment is different. If the whole country can start construction of three sets of 20 million tons of equipment at the same time, I can reduce the cost of a single set by more than 10%, do you think it is meaningless?"

Feng Xiaochen's words are not false. Many of the cost of complete sets of equipment can be shared. For example, the design cost, there is not much difference between designing one set and designing three sets, at best, according to the differences in the oil products used in different refineries, slightly modify the process, and the main design can be universal. The design cost of complete sets of equipment should account for about 5% of the equipment quotation, and if three sets of equipment are designed at the same time, the cost can be divided equally by the three, and each company can save at least 3%, which is not a small amount. In addition, some process equipment is involved in equipment manufacturing and installation, and the apportionment of batch production and single production is also different.

Feng Xiaochen didn't need to explain the calculation to Wang Zhenbin, even if he did, the other party might not be able to understand it. For Wang Zhenbin, the number reported by Feng Xiaochen is enough, a set of equipment is more than 20 billion yuan, and a saving of 10% is more than 2 billion, isn't this enough?

"Regarding this matter, can your equipment company hand over a complete report so that I can report to the leader. Wang Zhenbin said.

"No problem at all!" Feng Xiaochen readily agreed. If this matter can be facilitated, and the three sets of equipment have a contract value of more than 70 billion yuan, the petrochemical enterprises such as Beihua Machinery and Xinyang No. 2 Chemical Machinery will not be able to go crazy? Not to mention asking them to submit a report, even if they are asked to send a truckload of reports, they will do so.

Xu Zhenbo saw that Feng Xiaochen and Wang Zhenbin had reached a consensus, so he asked: "So, do you all think that we have the ability to deal with foreign competition for refined oil? If this is the case, it would be great, we can agree to foreign conditions, and use them in exchange for many favorable conditions for us." ”

Wang Zhenbin pointed at Feng Xiaochen with a smile and said, "It's useless to ask me this question, it depends on Mr. Feng's ability on their side." ”

Feng Xiaochen responded with a smile: "I can pack the ticket, if Director Xu needs a military order, I can also ask the Petrochemical Design Institute and the Beihua Machine to issue it for you." We worked hard to introduce equipment manufacturing technology from abroad in order to cope with today's situation. Give us five years, we will definitely be able to defeat foreign refined oil, and then we are afraid that they will cry and shout and complain about our dumping. ”

"There really comes a day when I'll help you answer the lawsuit. Xu Zhenbo's emotions were also mobilized by Feng Xiaochen, and he volunteered.

The talks ended in a cordial and friendly atmosphere. Feng Xiaochen warmly invited Wang Zhenbin and Xu Zhenbo to the shabu shabu restaurant he said for dinner, but the two directors politely refused. Today, a lot of results have been discussed, and the two of them must hurry up to write reports and report to their respective leaders.

Feng Xiaochen returned to the equipment company and called everyone to talk about what he talked about with Wang Zhenbin, and everyone became excited. Leng Feiyun sighed and said: "The equipment alone is more than 70 billion, which is called a big industry, and we can be regarded as having come out." ”

Wang Genji pretended to be disdainful on the side, and said: "Old Leng, your eye sockets are too shallow, and you are happy to be like this for more than 70 billion." In the past few years, the steel and electric power sectors have been tens of billions of big projects at every turn, and I have been numb to listening. ”

Leng Feiyun retorted: "Lao Wang, didn't you see Xiaochen say, these three sets of big devices are just the beginning, and it is estimated that there will be more devices on the market in the next step, and it will not only be a matter of 70 billion, but also 700 billion." Think about it, what kind of impact such a big business will have on our system. I think when I first joined the Heavy Equipment Office, I couldn't believe that one day we would be able to organize such a large scale of production. ”

"Xiaochen has already said this, but you don't believe it. Wang Genji Niu commented dryly. In previous meetings, Feng Xiaochen did predict the prospects of the equipment manufacturing industry more than once, saying that the scale of hundreds of billions a year is not a problem at all. When he first said this, everyone thought he was a little open-minded, but in recent years, the scale of the country's infrastructure has become larger and larger, and large-scale projects have emerged one after another, and everyone has begun to believe this prediction.

Leng Feiyun's face flushed, and he argued, "When did I not believe what Xiaochen said? I just didn't expect things to come so quickly. In the past few years, it was quite difficult in our system, but in the past two years, somehow, the market has suddenly become active. ”

Wang Genji wanted to say something, but Wu Shican interrupted him and said, "I also feel what Xiao Leng said. In the past two years, there have been obvious signs of acceleration in national construction. The matter of 20 million tons of oil refining unit, we have been prepared in the past, so that various enterprises and design institutes have done pre-research, and now it is not difficult to officially start. What I think is that the other pre-research projects that Xiaochen said in the past, such as offshore wind power, offshore oil, high-speed railway, industrial robots, etc., we are afraid that we will speed up the progress. According to the current trend, I estimate that in less than 10 years, these projects will have to be put on the agenda, and if we can't come up with excellent technology, we will have to delay things. ”

"That's right, that's right, Lao Wu is so right. Wang Genji hurriedly agreed, "Since Xiaochen took office, he has been mentioning the matter of equipment pre-research, and I still have some inappropriate things. Now it seems that Xiaochen is indeed too predictable. Take this 20 million tons of oil refining unit as an example, when we asked Beihua Machinery to make technical reserves, the grandson also bargained. Now, if they can't come up with the technology, this project will not be their share, and they won't be able to cry and touch their graves. ”

"Now is not the time for them to cry, and if they do, they have to wait until the equipment is built. Feng Xiaochen continued Wang Genji's words and said, "There is still some discussion on the part of the Development and Planning Commission on this matter, but I think it is already ready to be issued." Lao Leng, you immediately contact several petrochemical equipment companies and ask them to send people to the capital to discuss the issue of cooperation in tackling key problems. Lao Wu, here for the Petrochemical Design Institute and the Chemical Design Institute, you are responsible for contacting. As for Lao Wang, you can help contact the representatives of several oil tyrants in the Middle East in the capital, and I will talk to them. ”