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Current status of the coal-based ethylene glycol project at Inner Mongolia Cornell Chemical Industry Co., Ltd

2021-11-25View Original

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Current Status of the Coal-to-Ethylene Glycol Project at Inner Mongolia Cornell Chemical Industry Co., Ltd. Author/Source: Huahua Network – Coal Chemicals. Date: November 25, 2021. Clicks: 13. On November 19, Zhalute Banner in Tongliao City, Inner Mongolia, held a meeting with China Hydrogen Energy Co., Ltd., Three Gorges Clean Energy Co., Ltd., and Cornell Group to discuss ways of advancing the construction of the Cornell project. Shao Yanjun, Secretary of the Zhalute Banner Party Committee; Bao Wenlan, Deputy Secretary of the Party Committee and acting Banner Chief; Batu, member of the Party Committee and Deputy Banner Chief; Deng Jianqing, Chairman of China Hydrogen Energy Co., Ltd.; Guo Yafang, Deputy General Manager of Three Gorges Clean Energy Co., Ltd.; and Song Zhiping, Chairman of Cornell Group, attended the meeting. The heads of the Flag Development and Reform Commission, the Regional Economic Cooperation Service Center, and the Coal Chemical Industry Park Service Center attended the meeting. Shao Yanjun said that China Hydrogen Energy Co., Ltd. holds unique advantages in the development of the hydrogen industry, while Zhalute Banner is also showing good development trends and broad prospects for fostering industries with competitive strengths such as modern green coal-based power and aluminum production, modern coal chemical engineering, and biomass chemical engineering. It is hoped that this meeting will serve as an opportunity to enhance communication between the two sides, clarify the directions for cooperation, and facilitate the early initiation, construction, completion, and realization of relevant project collaborations. The investment delegation will conduct in-depth studies of specific project cooperation plans in order to facilitate substantive progress in the bilateral cooperation as soon as possible. The coal-to-ethylene glycol project of Inner Mongolia Cornell Chemical Industry Co., Ltd. is located in the Zhalute High-Tech Coal Chemical Industry Park and was built by Inner Mongolia Cornell Chemical Industry Co., Ltd. The company was established through joint investment by Fude Life Insurance Co., Ltd. (holding 85% of the shares in the project), Shenzhen Qianhai Fude Infrastructure Investment Holding Co., Ltd., Cornell Chemical Industry Co., Ltd. (holding 10‰ of the shares in the project), and Jilin Province Coal Industry Group Co., Ltd. (holding 5% of the shares in the project), with a registered capital of 2 billion yuan. Phase 1 of the project has an annual production capacity of 300,000 tons of ethylene glycol, with an investment of over 6 billion yuan and covers an area of 1,400 mu. The project is overseen by Donghua Institute as the general contractor, utilizing Japanese Ube Industries’ technology as well as Collin CCG powder gasification technology. The project has obtained the necessary approval documents, including those for environmental impact assessment, safety evaluation, water resource assessment, soil and water conservation, occupational health considerations, energy efficiency evaluation, and planning permits; thus, the construction project complies with all relevant laws and regulations. Construction of this project began in July 2013; 4.6 billion yuan has been invested so far, and the overall progress on site is 76%. Phase II of this project involves a production capacity of 600,000 tons of ethylene glycol. Reportedly, due to factors such as a lack of funding caused by disagreements among the project owners and shareholders, Cornell’s 300,000-ton/year coal-to-ethylene glycol project has been operating at low capacity since mid-September 2014, until full suspension of operations on site in January 2015. Through subsequent efforts, and in line with the principles of facilitating project development and achieving mutual benefit, all parties considered the overall situation and sought common ground while respecting differences. On June 5, 2015, an additional agreement to the general contract was signed; on June 9, an additional agreement to the construction subcontract was signed. By June 24, the project had resumed full operations. Work stopped again due to funding issues, and it has not resumed since November 2016.

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