4 domestic green methanol projects have obtained ISCC certification

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Four domestic green methanol projects have obtained ISCC certification. On December 6, CGN’s e-commerce platform issued a tender notice for the consultation services related to the international sustainable and carbon certification (ISCC) for CGN New Energy’s green methanol integrated project in Puyang, Henan; the purchaser is CGN New Energy Henan Co., Ltd. The announcement states that the company plans to invest in the construction of a new energy hydrogen-to-methanol production project in Puyang. In accordance with requirements set out in the EU’s Renewable Energy Directive and other relevant regulations, in order to ensure that the methanol produced by this project obtains ISCC certification, the company has commissioned a third-party firm to carry out ISCC certification-related consulting services for this integrated green methanol project utilizing new energy hydrogen production and biomass-based methanol synthesis technologies. The supplier has a thorough understanding of the regulations related to renewable energy policies in the EU, holds ISCC certification, and is familiar with the ISCC certification criteria. It provides ISCC certification consulting services for the tenderer’s methanol project, in accordance with the EU’s renewable energy regulations and the ISCC standard system. Since 2023, as international shipping giants such as Maersk have invested in green methanol, the domestic market for this substance has seen rapid growth. According to statistics, as of June 2024, the number of green methanol projects planned in China has reached 109, with a total planned production capacity of over 50.374 million tons. However, as an important export market for green methanol at present, the EU has extremely strict requirements for the green certification of methanol. Only methanol that meets the standards of the EU’s Renewable Energy Directive and has been certified by relevant certification systems and bodies can be accepted in the EU market. Against this backdrop, the “green identity” of the methanol project is particularly important. As a globally recognized sustainability certification system, ISCC is one of the certification standards for green methanol that enjoys high acceptance in the international market. The ISCC EU certification, part of this system, is a mandatory requirement for green products to enter the energy markets of the European Union. To enter international markets, domestic projects are increasingly giving attention to ISCC certification. To date, at least 4 green methanol projects and 1 port in China have successfully obtained ISCC certification. Longi Green Energy Xuchang Bio-Methanol Project: In September 2023, the Longi Green Energy Xuchang Bio-Methanol Project was launched. This project obtained China’s first certification for international sustainable carbon at the raw material stage of green methanol, sourced from farms/plantations. After various complications, in April 2024, ISCC officially suspended Longi Green Energy’s certification status. By July 2024, following an appeal, LONGi Green Energy may have regained its ISCC certification. This project utilizes biomass gasification technology to produce methanol, using straw and pruned branches from fruit trees as raw materials, with an expected annual output of 120,000 tons of green methanol. With a total investment of 2 billion yuan, the project commenced construction in April 2024, and a long-term procurement agreement was reached with Maersk in October; the first batch of green methanol is expected to be delivered in 2026. On September 20, 2024, the Handan green methanol project of Yunda Co., Ltd. received China’s first ISCC certificate – an international sustainability and carbon certification for green methanol raw materials originating from farms/plantations. In November 2024, the project received a life-cycle carbon reduction certification based on the ISCC system. This project employs the technology of producing methanol via biomass gasification and green hydrogen, combined with biomass for methanol production. One of the phases of this project utilizes biomass straw gasification technology to produce methanol, with an annual production capacity of 200,000 tons and a total investment of 8 billion yuan ； Phase 2 involves using wind power to electrolyze water for hydrogen production and catalytic synthesis of methanol, with a total investment of 3.5 billion yuan. The project is currently in the planning stage, with construction set to begin in January 2024. On October 15, 2024, the biomass natural gas-to-green methanol project of Daqing Refining & Chemical Company successfully passed the International Sustainable Development and Carbon Certification (ISCC), obtaining China’s first ISCC certificate for fermentation processes. Using natural gas produced from organic waste such as crop straws as raw material, this project combines ecological environment protection, the development of circular agriculture, and the supply of clean energy by leveraging Daqing Refining & Chemical’s existing natural gas-to-methanol production facilities sowie its mature safety production technologies and operational management systems, in order to produce green methanol. China Gas’ 100,000-tonne green methanol project: China Gas is currently the only company on the Chinese mainland to produce green methanol that has obtained the EU ISCC certification; its products meet Europe’s requirements for sustainable biofuels and chemical products. The company’s methanol production facility is located in Ordos City, Inner Mongolia, where biomass and urban waste are converted into green methanol using patented/unique technologies. Currently, 100,000 tons of green methanol are produced each year, which can be supplied for use in the shipping industry and industrial production. On December 5, 2024, the international certification body ISCC issued an ISCC EU certification for green methanol storage to Yingkou Port. It is reported that Yingkou Port currently has storage tanks with a capacity of up to 225,000 cubic meters available for the storage of green methanol. These tanks range in size from 2,500 cubic meters to 10,000 cubic meters, and they can provide port storage services for green methanol to dozens of manufacturers or distributors, thereby meeting the various needs of clients of different scales.