CIMC Enrico and Ansteel Group collaborate to produce LNG and hydrogen from coke oven gas; operation is expected to begin in 2022

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CIMC Enrico partners with Ansteel to produce LNG and hydrogen from coke oven gas; operation is expected to begin in 2022. Author/Source: Gasification World. Date: May 28, 2021. Clicks: 18. On May 27, CIMC Enrico Investment Holding (Shenzhen) Co., Ltd. and Ansteel Energy Technology Co., Ltd., a subsidiary of Ansteel Co., Ltd., established a joint venture to launch a project for producing liquefied natural gas (LNG) and hydrogen from coke oven gas. This move aims to enter the upstream segment of the clean energy industry chain and create an end-to-end demonstration industrial ecosystem that integrates resource extraction, storage and transportation, as well as application. The registered capital of the joint venture is 200 million RMB, with each party contributing 100 million RMB, holding a 50% stake respectively. The project is located in Yingkou City, Liaoning Province; the first phase is expected to produce 125,000 tons of LNG and 24 million cubic meters of hydrogen per year, with commissioning anticipated as early as the third quarter of 2022. Hydrogen production from coke oven gas: The methane content in coke oven gas is about 24%, while the hydrogen content is as high as 60%. Both the production of LNG from coke oven gas and hydrogen purification (PSA) are mature technologies with many years of practical application in the industry. The hydrogen produced by the joint venture will have a purity of 99.99% to 99.9999%, with virtually no impurities in its composition, making it suitable as a fuel for hydrogen fuel cell vehicles. The ratio of LNG to hydrogen production can be adjusted flexibly within a certain range. The joint venture has a mechanism that links coke oven gas prices with LNG prices, enabling it to arrange production in line with market demands and trends, thus ensuring stable profitability even in a volatile market environment. As the entity responsible for advancing the development of the energy and gas industry within Ansteel Group, Ansteel Energy Technology benefits from abundant resources of coke oven gas. On the other hand, CIMC Enric is a leading provider of clean energy equipment, with extensive experience and outstanding technical capabilities in both the LNG and hydrogen industries; it can offer comprehensive solutions in areas such as equipment and engineering services, construction management, production operations, safety management, and market sales. Meanwhile, leveraging Ansteel’s strategic location in Liaoning, the joint venture will be better positioned to explore opportunities in the mid- and downstream sectors, such as refueling stations and application markets.