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Tianji Group officially signed a contract with South Korean company EcoPro for the development of the CDM project related to the No. 4 nitric acid production facility. Author/Source: Shanxi Energy and Chemical Industry. Date: 2020-09-23. Clicks: 18. As Tianji Group pursues a path of transformation and development based on the \"four pillars of innovation,\" on September 14th, it officially signed this contract with EcoPro for the development of the CDM project associated with its No. 4 nitric acid production facility. According to the project implementation plan, the CDM project for Nitric Acid Plant No. 4 will begin renovation work in January 2021; equipment installation and trial operation will be completed in the first half of the year, while emission reduction monitoring and verification will take place in the second half of the year. Once the CDM project for Unit 4# nitric acid plant is put into operation, it will generate 200,000 tons of emission reductions each year. The process of collecting data on emission reduction equipment, having it verified and confirmed by an authorized third-party body designated by the United Nations, issuing the relevant certificates, and then transferring them to the South Korean carbon market for trading takes 2 years. It is expected to generate approximately 10 million yuan in annual revenue for Tianji Group starting from 2023, with a contract duration of 10 years. The so-called CDM refers to the Clean Development Mechanism, whose main purpose is for developed countries to carry out project-based cooperation with developing countries by providing funding and technology. The “verified emission reductions” achieved through the project are used by developed **contracting parties to fulfill their commitments to reduce emissions of greenhouse gases such as carbon dioxide, thereby serving as a compliance mechanism for meeting those emission reduction targets; it is a win-win scenario in which developing **countries also reap certain benefits. Tianji Group has a total of 4 nitric acid production units, and the CDM project has been successfully implemented in Units 1#, 2#, and 3# for nitric acid production, yielding good social and economic benefits. In recent years, given the persistently low carbon prices in the EU carbon market for the CDM projects related to Nitric Acid Units 1#, 2# and 3#, Tianji Group has regarded the implementation of the CDM project for Nitric Acid Unit 4# as an extremely important task to carry out. Learning that South Korea was purchasing new CDM emission reduction units from around the world for use in its carbon market, Tianji Group took the initiative to get in touch with South Korea’s EcoPro Company. In October 2019, the two parties attended a meeting on new CDM emission reduction projects in South Korea’s carbon market, and they reached a preliminary agreement to cooperate on developing a CDM project for the Nitric Acid Plant No. 4. In November 2019, Tianji Group signed a Memorandum of Understanding for a CDM project with the South Korean company EcoPro. Shortly thereafter, in January of this year, Tianji Group signed a CDM project agreement with the South Korean company EcoPro. Throughout this process, Tianji Group strengthened communication and made thorough preparations, successfully completing the feasibility study report, project registration, and environmental impact assessment approvals, which effectively ensured that the CDM project development contract for Nitric Acid Plant No. 4 was formally signed with the South Korean company EcoPro on September 14. It is reported that the CDM project for the Nitric Acid Plant No. 4 was fully funded by the South Korean company EcoPro. The implementation of this project involves introducing the nitrous oxide emission reduction technology from South Korea’s EcoPro Company in order to reduce greenhouse gas emissions. The amount of emissions reduced is then sold in South Korea, with the profits shared between the two cooperating parties, thereby achieving a mutually beneficial outcome.