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The hydrogenation project for the full fraction of 500,000 tons of coal tar in Shaanxi is 70% complete; commissioning trials are expected to begin by the end of October. Author/Source: Coal Tar Deep Processing and Hydrogenation Technology Collaboration Group. Date: 2020-07-07. Clicks: 7. Located on the southeastern edge of the Mu Us Desert in the Shenmu High-Tech Industrial Development Zone, Shenmu Coal Chemical Rich Oil Company is accelerating the construction of its second-phase project – a facility for producing naphthenic oils through the hydrogenation of the full fraction of 500,000 tons of coal tar per year – as well as various production preparations. To date, 70% of the project’s construction work has been completed, and the overall layout of the factory complex is now clearly defined. Efforts are being made at full speed to install and test the equipment as well as to prepare for production, with the goal of starting trial operations by the end of October this year. Due to the COVID-19 pandemic, the resumption of work on the project was delayed by over a month during the Spring Festival. By implementing a series of acceleration measures such as labor competitions, increased resource allocation, and optimized construction organization, the company successfully achieved successful power connection for the 110kV main substation and the 35kV substations in the second quarter ； The construction of the public works project has entered the handover phase ； The plant area and tank farm have entered the peak period for pipeline construction, with 62.7% of the pipeline work completed. The heating furnace has completed the three inspections and four adjustments, and a hydrostatic test of the furnace tubes is currently in progress ； The converter is undergoing final engineering work. With the second half of 2020 already in progress, and given the tight schedule and heavy workload, the company launched a \"Third Quarter Labor Competition\" to further boost the spirit of hard work and rapid action, thereby sparking a new wave of activity in project development. At present, the overall design of the project has been largely completed, and the procurement process is almost finished. There are over 3,000 workers on site. In accordance with the construction plan, control mechanisms have been optimized, incentive measures strengthened, and additional equipment and tools have been deployed; workers are working overtime to ensure progress, resulting in a work environment that is organized and efficient with simultaneous progress in multiple areas. It is reported that 70% of the overall progress on the project has been completed; the circulating water system is currently undergoing cleaning and pre-coating ； The desalinated water plant has produced qualified desalinated water ； The boiler drying and boiling out in the power station have been completed ； Compression oil transportation for the hydrogen production unit completed ； The compressor of the coal tar full distillate hydrogenation unit is being lubricated. Blowing of the utility pipes in the panel corridor is expected to begin by mid-July ； Complete the handover of the power station by the end of July ； In mid-August, the hydrogen production plant and Unit 2 of the combined facility completed handover ； By the end of August, the full-range coal tar hydrogenation unit, the naphthenic oil separation unit, and the naphtha hydrogenation and separation unit will all be completed according to the schedule ； At the end of October, the naphthenic oil hydrogenation unit was completed. By then, individual unit tests will gradually give way to system-wide integrated tests, laying a solid foundation for the company to commence full-scale production. It is reported that the 500,000 tons per year project for the hydrogenation of the full fraction of coal tar to produce naphthenic oils is a major project funded and constructed by Fuyou Company. This project has been included in the **\"Innovation Action Plan for Energy Technology Revolution (2016-2030)\)” as an industrial demonstration project, as well as in the \"13th Five-Year Plan for Demonstration Projects in the Deep Processing of Coal Industry\" as a demonstration project. Using coal tar as raw material, and employing the technology for the hydrogenation of the entire coal tar fraction developed by Fuyou Company to produce naphthenic oils, a range of light white oils, and various naphthenic-based base oils, this process offers numerous advantages such as a wide variety of products, high degree of refinement, and high added value. It opens up a new pathway for producing high-value specialty oils and fine chemical products through the hydrogenation of the entire coal tar fraction. The project is located in the Jinjie Industrial Park in Shenmu, Shaanxi, with a total investment of 2.511 billion yuan. The main construction components include a coal tar full fraction hydrogenation unit with an annual capacity of 500,000 tons, one naphthenic oil hydrogenation unit with an annual capacity of 510,000 tons, one naphthenic oil separation unit with an annual capacity of 250,000 tons, one hydrogen production unit with a capacity of 75,000 cubic meters per hour, one acidic water stripping unit with a capacity of 40 tons per hour, one sulfur recovery unit with an annual capacity of 5,000 tons, one solvent regeneration unit with a capacity of 10 tons per hour, as well as various supporting utility systems. It is expected that once it is completed and put into operation in 2020, it will address the shortage of naphthenic crude oil resources in the country, open up a pathway for producing naphthenic oil from coal, and enable the hydrogenation of coal tar to produce fuel oils that can be used as specialty oils and fine chemical products. This will lead to more refined, high-value, and diversified products. It is also expected to create 450 new job opportunities, generate annual revenue of 3.094 billion yuan, and annual profits of 1.029 billion yuan, thereby facilitating the transformation and upgrading of the enterprise as well as its rapid development. The project uses coal tar as raw material and employs the technology for the hydrogenation of the entire coal tar fraction to produce naphthenic oils, developed by Shenmu Fuyou Energy Technology Co., Ltd., in order to manufacture chemicals such as aromatics, aviation kerosene, light white oils, and various naphthenic-based base oils. This approach opens up a new pathway for producing high-value specialty oils and fine chemical products through the hydrogenation of the entire coal tar fraction, thereby facilitating the transformation and upgrading of the industry.