**The energy group plans to build the second and third coal direct liquefaction production lines in the near future

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**The Energy Group will soon build its second and third coal direct liquefaction production lines. Author/Source: Yahuacoking Chemical Industry. Date: 2018-08-13. Clicks: 28. According to reports from August 12, Ling Wen, General Manager of the Energy Group, said at the Inner Mongolia International Energy Conference held there that the group will construct its second and third coal direct liquefaction production lines in order to increase the scale of clean and efficient utilization of coal. **The Ordos coal-to-oil subsidiary of the Energy Group is currently operating the world’s only industrial demonstration production line for direct coal liquefaction to produce oil. Construction of this production line began in 2004, and trial production was successful by the end of 2008; it is designed to produce 1.08 million tons per year of products such as diesel and naphtha. Hu Qingbin, the company’s deputy chief engineer, told reporters that the core technologies for direct coal liquefaction as well as the catalysts involved are of independent research and development. Since the successful trial production, the demonstration production line has gradually achieved long-term, full-capacity operation with high-quality products, as well as stable and safe performance; last year, a total of 860,000 tons of products were produced. The reporter learned that the designed duration for a single operating cycle of the initial demonstration production line was 310 days; the durations of the last two operating cycles were 420 days and 410 days respectively, indicating a significant improvement in the reliability of the equipment and its technical maturity. This production line is about 1.2 kilometers long. The coal produced by nearby coal mines is transported to the plant via conveyor belts, where it is first turned into powder before being fed into the production line for processes such as catalysis. After 24 hours, fuels such as diesel, as clean as mineral water, are produced at the other end of the production line. “Our product has a higher calorific value, lower freezing point, and lower specific gravity compared to ordinary diesel. ”Hu Qingbin gave an example, stating that the sulfur content in the coal-based diesel produced by this company is only **1/10 of the standard level, and it does not condense even at minus 60 degrees Celsius. Based on comprehensive calculations, the company currently consumes approximately 3.5 tons of coal per ton of oil produced; after deducting the fuel coal, 2 tons of raw coal are used per ton of product manufactured. When the international crude oil price is above $55 per barrel, the company does not incur losses; after the construction of the second and third production lines, the oil production rate is expected to increase by about 10%, and the break-even point based on the crude oil price will drop below $50 per barrel.