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On March 1, the groundbreaking ceremony for **Energy Group Yulin Energy Chemical Co., Ltd.’s 50,000-ton/year polylactic acid demonstration project was held. The Inner Mongolia branch of China Chemical Engineering Third Construction Co., Ltd. was responsible for all the construction and installation work on this project, with a contract value of 295 million yuan and a contract duration of 12 months. **The 50,000 tons per year polylactic acid demonstration project of Yulin Energy Chemical Co., Ltd., part of the Energy Group, is the world’s first polylactic acid production facility. With a total investment of around 1 billion yuan and an area of 9.8 hectares, it serves as a **demonstration project**. This project is an extension of the coal-to-olefins industry chain. Its product, polyglycolic acid, possesses good biodegradability and biocompatibility, high mechanical strength, excellent formability, and superior gas barrier properties, making it suitable for use in packaging materials, surgical sutures, and other applications. Once the project is put into operation, it will mark China’s first breakthrough in the field of biodegradable plastics (PGA). Project Progress ●In March 2020, the approval process for **Shenhua Yulin Energy Chemical Co., Ltd.’s 50,000 tons per year polylactic acid demonstration project was completed. ●In September 2020, a second public announcement regarding the environmental impact assessment for the project was made, and on November 9, the project’s environmental impact assessment passed the technical review. ●In November 2020, the project held its first regular on-site meeting. ●From December 10 to 11, 2020, the kick-off meeting for the process package of **Energy Group Yulin Energy Chemical Company’s 50,000 tons per year polyglycolic acid (PGA) project was held at Inner Mongolia Pujing Polymer Materials Technology Co., Ltd.