PKU Pioneer Launches VPSA Oxygen Plant, Cuts Steel Costs by $4.5M

Beijing Peking University Pioneer Technology Co., Ltd. has successfully launched its second-phase pressure swing adsorption (VPSA) oxygen generation facility for Chifeng Yuanlian Iron and Steel Co., Ltd. This new plant, which can produce 14,000 Nm3/h of oxygen, is expected to reduce the steel mill’s annual costs by approximately RMB 32 million, equivalent to $4.5 million. The commissioning took place on November 14, 2025, marking a significant milestone in the facility’s operations.

With the addition of this new unit, Chifeng Yuanlian’s total VPSA oxygen generation capacity now stands at 28,000 Nm3/h. This increase in capacity is set to enhance the efficiency of the blast furnace oxygen enrichment process, ultimately leading to substantial economic and environmental benefits. The project aligns with national initiatives aimed at promoting energy conservation and reducing carbon emissions in the iron and steel industry.

Details of the New Facility

The new VPSA oxygen generation unit mirrors the specifications of the first-phase project completed in 2024. It maintains an oxygen purity of 80% and is specifically designed to meet the oxygen requirements of Chifeng Yuanlian’s two blast furnaces. A project leader from Chifeng Yuanlian noted that the decision to proceed with the second-phase project followed the successful implementation of the first-phase unit, which had already optimized oxygen costs and reduced energy consumption.

The innovative VPSA technology is recognized for its rapid construction timelines and lower investment costs, providing a quick return on investment. The successful operation of the first-phase project bolstered confidence in continuing this technological collaboration.

To ensure the equipment’s operational stability, PKU Pioneer invested in advanced design features, enhancing the control system’s redundancy and improving monitoring accuracy for operational parameters. This proactive approach laid a solid foundation for reliable long-term performance.

Significant Economic Impact

Chifeng Yuanlian has designated the VPSA project as a key initiative, completing essential civil engineering work ahead of schedule to minimize construction disruptions. The commitment of both PKU Pioneer and Chifeng Yuanlian’s technical teams, who worked collaboratively on-site, allowed for the project to be completed 20 days ahead of the planned timeline.

The impact of the new facility is already apparent. Previously, the plant’s cryogenic air separation system incurred a specific oxygen consumption cost of RMB 0.28 per Nm3. With the introduction of the VPSA technology, this cost has decreased by over 60%. This translates to daily savings of more than RMB 90,000, which supports Chifeng Yuanlian’s efforts to enhance its green manufacturing processes.

As a leading supplier in the gas separation sector, PKU Pioneer has equipped close to 100 iron and steel enterprises worldwide with large-scale VPSA oxygen generation systems. Looking ahead, the company aims to continue fostering technological innovation, aiding traditional manufacturing sectors in achieving their production, energy conservation, and carbon reduction goals.

The collaboration between PKU Pioneer and Chifeng Yuanlian represents a significant step towards the sustainable development of the iron and steel industry, contributing to a greener industrial ecosystem. The advancements achieved through this partnership set a benchmark for future initiatives in energy efficiency and environmental responsibility.