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Three major coal chemical projects are being accelerated, with a total investment of over 100 billion. Author/Source: Ordos Coal Network Date: 2017-03-14 Clicks: 57 To promote the clean conversion of coal and the transformation of the coal industry, progress on the latest batch of key coal chemical projects is accelerating. According to the Ordos Coal Network, three projects located in coal-producing provinces such as Shanxi, Guizhou, and Inner Mongolia, with a total investment of over 100 billion yuan, are being accelerated. The Tongmei-CNOOC coal-to-natural gas project in Shanxi Province, with a total investment of 25.853 billion yuan and a capacity of 4 billion cubic meters per year, has been included in the \"13th Five-Year Plan for the Development of Advanced Coal Processing Industries.\" The project received approval from the National Development and Reform Commission as early as February 2013, and in March 2016 it got the environmental impact assessment approval from the Ministry of Environmental Protection. All necessary supporting documents have now been obtained, and construction is scheduled to begin in 2017, with completion and operation set for 2020. The project is located in the Zuo Yun Coal Chemical Industry Base in Datong City. Utilizing local coal resources and employing coal gasification under pressure as well as pulverized coal gasification technologies, it produces 4 billion standard cubic meters of coal-to-natural gas per year. The by-products include 16,600 tons per year of crude phenol, 115,800 tons per year of sulfur, 45,600 tons per year of liquid argon, 40,700 tons per year of liquid ammonia, 81,500 tons per year of naphtha, and 77,500 tons per year of diesel blending components. The coal indirect liquefaction oil production project in Bijie, Guizhou is an even more massive project. Located in Nayong County, it has an annual production capacity of 6 million tons of oil products and related chemical products, with a total investment of 100 billion yuan; it is currently the largest coal-to-oil project planned to date. The project is constructed in two phases; the first phase, a coal-to-oil plant with an annual capacity of 2 million tons, is planned to require an investment of 34 billion yuan. The planning for this project received approval as early as April 2014, in the form of a **reply from the General Office of the National Development and Reform Commission approving the initiation of preliminary work on the project. On March 10, a special meeting was held to advance the 2 million tons per year coal-based clean fuel project in Bijie, Guizhou, with an emphasis on ensuring that the first phase of the project would begin construction in 2017, once the environmental impact assessment and approvals were obtained. The first phase of this project involves the production of 2 million tons per year of clean fuels derived from coal. The main products include 1.3416 million tons per year of gasoline, 700,200 tons per year of diesel, 111,600 tons per year of LPG, and 116,200 tons per year of LNG. The by-products include solid sulfur, sulfuric acid, light alcohols, and heavy alcohols. In addition, facilities for storage and transportation, utility systems, auxiliary systems, and environmental protection measures are also to be constructed as part of this project. In addition, the site selection for Inner Mongolia’s 1.4 million tons of coal-to-olefins project has also been preliminarily determined. The project is being developed by Jutai Group’s Inner Mongolia branch, which plans to invest 40 billion yuan in the Tuoketuo Industrial Park to build a facility capable of producing 4 million tons of coal-based methanol and 1.4 million tons of olefins per year. Once completed, the annual output value is expected to reach 18 billion yuan. As a series of coal chemical technologies become more mature, **the approval process for coal chemical projects is also being gradually relaxed. **Nur Bekri, head of the Energy Bureau, emphasized that coal is a fuel, but its role as a raw material must also be recognized; technological innovation should be used to unlock more potential in coal. Given that our country has abundant coal but limited oil and gas resources, efforts in this area need to be intensified, especially as technology advances and reduces the water consumption associated with coal-based chemical products.
Employment is a useful tool for stabilizing the economy; yet in essence it’s just a tactic. When there are pressures on the employment-related economy, measures are taken to create sectors that can absorb large amounts of capital, such as real estate, infrastructure, coal chemistry, and petrochemicals. Once these sectors become overdeveloped, supply-side reforms and policies such as purchase restrictions are introduced to regulate the situation. . . . . . It’s then impossible to develop a strategic, long-term policy. . . . . .