Why has the decades-old dream of coal-to-oil production been made possible by Zhongke Company?

Thread Content

This post was last edited by liaifeng on 2018-9-2 at 15:10. Why could the decades-long dream of producing oil from coal be realized by Zhike Company? Author/Source: Date: 2017-06-12 Clicks: 16 Through cooperation between Sinocat Synthetic Oil Technology Co., Ltd. and Shenhua Ningxia Coal, the world’s largest coal-to-oil production facility with an annual capacity of 4 million tons was successfully commissioned in the vast desert beneath the Helan Mountains, marking a new chapter in China’s coal-to-oil industry. China is a country rich in coal but short of oil; turning coal into oil has been the dream of several generations of Chinese people. It has been successful in the laboratory, and small-scale mass production has also been achieved. But industrial mass production has always been a dream of China’s scientific and technological community as well as its industrial sector. Recently, a reporter from Science and Technology Daily visited Huairou Science City, the national science and innovation hub in Beijing, and went to Zhongke Synthetic Oil Technology Co., Ltd. (hereinafter referred to as Zhongke Company) to find out more. Recently, this company partnered with Shenhua Ningmei to successfully carry out a one-time trial run of the world’s largest coal-to-oil facility, with an annual production capacity of 4 million tons, in the vast desert beneath the Helan Mountains; this achievement marked a new chapter in China’s coal-to-oil industry. Bai Chunli, president of the Chinese Academy of Sciences, said that after 10 years of effort and exploration, CAS Synthetic Oil Company has become a leader in providing comprehensive engineering solutions for coal indirect liquefaction. It serves as a successful example of applying theory to practice, driving innovation based on market demands, and fostering innovation through the integration of innovation chains, industry chains, and capital chains. This is of milestone significance for the development of modern coal chemical technology in our country as well as for the independent innovation and development of the large-scale chemical industry. Why has the decades-old dream of coal-to-oil production been made possible by Zhongke Company? ——A historic moment – the first time industrial-scale production was achieved. Let’s take a look at some figures: in 2016, China’s total oil consumption reached 556 million tons, of which 381 million tons were imported, resulting in an external dependence rate of 65%. In other words, nearly two-thirds of China’s oil needs are met through imports. The shortage of oil resources has always been a major issue hindering the economic and social development of our country. At 22:16 on December 5 last year, at Shenhua Ningmei, the reactor of the world’s largest single-unit coal-to-oil facility with an annual production capacity of 4 million tons, developed by Zhongke Company, began to receive feedstock ； At 20:30 on December 21, diesel production from Line 1, Line 2, and Line 1 (reduced capacity) began. At 23:50, all indicators showed satisfactory results, marking the completion of the entire coal-to-oil production process. Since then, large-scale mass production in the coal-to-oil industry developed by Chinese people was achieved for the first time. The completion and operation of this major project are of great significance for enhancing China’s capacity to ensure energy self-sufficiency and promoting the clean and efficient use of coal; it represents a valuable exploration of an energy development approach that is secure, efficient, clean, and low-carbon. This fully demonstrates that to transform the mode of economic development, adjust the economic structure, advance supply-side structural reforms, and build a modern industrial system, it is essential to vigorously promote scientific and technological innovation and accelerate the conversion of scientific and technological achievements into real productive forces. ——The journey of R&D – one needs to understand the concepts of technical economics. “It is no coincidence that Zhongke Company was able to achieve industrial-scale production of coal-to-oil.” ”That’s what Li Yongwang, the company’s general manager, said. In the coal-to-oil process, the key step is the reaction of carbon monoxide and hydrogen to produce hydrocarbons, also known as the Fischer-Tropsch synthesis reaction. We have studied coal-to-oil technology along this technical route. Since the founding of New China, our country has begun to explore. In February 1951, we produced the first barrel of kerosene in New China. However, with the discovery of the Daqing Oil Field in 1959, the coal-to-oil plants were shut down one after another, and technological development came to an end. After the reform and opening up, the Shanxi Institute of Coal Chemistry under the Chinese Academy of Sciences embarked on its second journey toward coal-to-oil conversion. At that time, the two-stage fixed-bed FTO synthesis process for gasoline production was primarily used; industrial trials with an annual output of 2,000 tons were carried out from 1993 to 1994, but large-scale production was not undertaken due to the technical limitations and economic constraints of that period. Internationally, although the Fischer-Tropsch synthesis process was initially developed using fixed-bed reactors, subsequent developments have led to the emergence of circulating fluidized bed synthesis technology, fixed fluidized bed synthesis technology, and slurry bed synthesis technology. In 1997, the development of coal-to-oil technology reached a bottleneck. At that time, Li Yongwang, who was still at the Shanxi Coal Chemical Research Institute, shifted the focus of technical research and development from fixed-bed FTO synthesis to the more advanced slurry-bed FTO synthesis, with the goal of developing our own coal-to-oil technology. He said, “We hope to build million-ton-scale coal-to-oil plants in China, making the technology economically viable, at least to a level comparable to that of conventional oil refining.” ” Technologies that are not cost-effective will not be well-received by the market. If the cost of coal-to-oil production is much higher than that of oil, the market will show no interest in this technology; at best, it would serve as a strategic technical reserve. ——Innovation that goes beyond – A strong research foundation drives today’s success. In 1997, Li Yongwang reorganized the R&D team; by 2004, the team had achieved thousands of hours of continuous and stable operation of a pilot-scale slurry-bed synthetic oil production unit capable of handling thousand-ton quantities of material. They overcame a series of technical challenges related to heat exchange in the synthesis reactors, as well as ensuring the stability of the quality of the Fischer-Tropsch crude oil and its processing, thereby producing high-quality synthetic diesel products. Li Yongwang found that in the slurry-bed FTO synthesis process, when the reaction takes place at 200°C–250°C, the heat generated cannot be utilized effectively, which has a significant impact on the energy efficiency of coal-to-oil systems. He boldly proposed raising the reaction temperature to 260°C–290°C, which would allow a portion of the high-quality steam to be utilized efficiently throughout the system, thereby increasing the energy efficiency of the entire system by 5–8 percentage points. This conceptual breakthrough is key to the improvement of slurry-bed Fischer-Tropsch synthesis technology. This technology was successfully applied in two coal-to-oil demonstration plants with an annual production capacity of 160,000 tons each, built by Yitai Group in Inner Mongolia and Lu’an Group in Shanxi. As a result, coal-to-oil plants with an annual production capacity of 4 million tons were constructed and brought online successfully, pushing China’s coal-to-oil technology to the international leading level and yielding results with independent Chinese intellectual property rights. Fang Yitian, deputy director of the Shanxi Institute of Coal Chemistry under the Chinese Academy of Sciences, said, “The 30 years of research experience of the Chinese Academy of Sciences, 20 years of innovation and advancement, and 10 years of efforts in industrial application have contributed to China’s current success in coal-to-oil technology.” ” ——Efficient coupling – successful translation of the institute’s research results. In the process of moving coal-to-oil technology from the laboratory stage to industrial application, there is a need not only for a strong team capable of conducting core technical research but also for a motivated and responsible team dedicated to the development of engineering solutions for coal-to-oil processes. In ordinary national research institutions, there are few or even no people dedicated to engineering research. In 2006, the Shanxi Institute of Coal Chemistry under the Chinese Academy of Sciences undertook bold reforms in its organizational structure and operational mechanisms. It joined forces with large coal enterprises such as Inner Mongolia Yitai Group, Shanxi Lu’an Group, China Shenhua Group, and Xuzhou Mining Group to establish a joint-stock high-tech company named Zhongke Synthetic Oil Technology Co., Ltd. This initiative created a seamless technical support system that integrated basic research, core technology development, engineering design, catalyst production, manufacturing of specialized equipment, and overall project management. Yang Yong, deputy general manager of Zhongke Company, told a reporter from Science and Technology Daily that the technological innovation driven by corporate operations, along with the industrialization support systems, have greatly accelerated the research and development as well as industrialization of coal-to-oil technology. Firstly, the company broke away from the traditional team-based approach used in research institutions, with all specialized departments being involved in the development work; however, the team-based approach would have posed many difficulties. Can the research team hire people arbitrarily? What is the capacity to recruit talents in the required various fields? Yang Yong admitted that at present, our R&D team has a complete range of professionals in all relevant fields; it’s likely that no other research institute has a team with such a comprehensive professional setup. Secondly, strengthen technology development in basic research. Unlike ordinary companies, Zhongke allocates significant resources to fundamental research alongside technological development, which is highly beneficial for the company’s understanding and breakthroughs in basic theories, facilitating the creation of original achievements. Once again, new technology development and engineering can be efficiently coupled. Typical design institutes are good at designing mature process routes, relying on experience ； Research in general research institutes is often conducted for the purpose of studying a certain indicator, with few engineering factors taken into account. The biggest advantage of Zhongke Company is its ability to efficiently integrate engineering and research and development. During the technology development process, engineering development was carried out simultaneously. Those who usually work in design just need to finish drawing the plans. But at Zhongke Synthetic Oil Company, it depends on whether the R&D personnel say it’s possible. If that doesn’t work, you’ll have to redesign it. For many organizations, asking designers to revise and redraw the drawings is a very troublesome task. Yang Yong said that since we work under one boss, such problems don’t arise. Wen Xiaodong, head of the Basic Research Department at the Sino-Science Synthetic Oil R&D Center, said that our strength lies in the fact that basic research and development go hand in hand, experimentation and theory are interconnected, and technology and engineering work together seamlessly. Many problems related to the transfer and commercialization of results that cannot be resolved in research institutes do not exist at Sinochem Synthetic Oil Company. Expert commentary: At the end of last year, the 4 million tons per year coal-to-oil plant operated by Shenhua Ningmei, with technical support from Zhongke Synthetic Oil Technology Co., Ltd., completed all its process steps, achieving a successful trial run with a single batch of feedstock. This is a major achievement in the field of coal-to-oil technology in our country. This facility is the largest of its kind in the world, and it represents the most advanced technology currently available for the indirect conversion of coal into oil. At present, the utilization of coal resources in our country is not very rational; it is mainly used as fuel in industries such as power generation, metallurgy, and building materials. This not only results in low energy efficiency but also causes environmental pollution. The coal-based indirect oil production technology developed by Zhongke Synthetic Oil Company uses coal as raw material and, through chemical processing, produces oils and chemicals. The oils produced are free of sulfur and aromatics, making them clean fuels ； The high-quality paraffins, lubricant base oils, olefins, etc., produced are chemicals with high added value. The technological innovations of Sinocem Synthetic Oil Company are of great significance for China’s efforts to achieve clean and efficient conversion of coal, promote the development of the deep processing industry for coal, and bring about an energy revolution.