6 billion! China National Coal Group to launch another new project in Inner Mongolia!

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On March 16, 2022, China Coal Ordos Energy and Chemical Co., Ltd. was invited to attend the Ordos 2022 Spring Investment Promotion Project Signing Ceremony. At the meeting, Ordos Energy Chemical Company and the people of Wushen Banner, with the aim of consolidating and deepening their cooperative relations between the enterprise and the local community, and in line with China National Coal Group’s development philosophy of “improving efficiency of existing operations and facilitating transformation of new projects,” reached an agreement on establishing a long-term and close cooperative relationship. This partnership aims to support Ordos Energy Chemical Company in further extending its coal chemical industry chain, increasing the added value of its industrial products, reducing energy consumption in the industrial sector, and contributing to the high-quality and sustainable economic and social development of Wushen Banner. The two parties signed a framework agreement for investment cooperation worth approximately 6 billion yuan regarding Enehua’s projects: a 100,000-ton/year liquid solar energy project, a 60,000-ton/year melamine project, a 55,000-ton/year crude benzene hydrogenation and refining project, and a 12,000-ton/year crude phenol refining project. The people’s government of Wushen Banner will provide assistance and strong support to Enehua in terms of project approval, infrastructure development, and policy acquisition. China Coal Ordos Energy Chemical Co., Ltd. was established on June 8, 2011, and is a wholly-owned subsidiary of China Coal Group. The Tuke Fertilizer Project, constructed and operated by the company, is the first project to be put into operation under China National Coal Group’s efforts to develop an energy and chemical industry base in Inner Mongolia and Shaanxi, as well as to build a world-class coal chemical enterprise. The urea plant that has been built and put into operation is designed to produce 1 million tons of synthetic ammonia, 1.75 million tons of urea, and 100,000 tons of liquefied methane per year, in addition to by-products such as 100,000 tons of coal-based oils, crude phenol, and mixed ammonium sulfate. The project utilizes two 50/80 ammonia and urea production units, making it one of the three domestic manufacturers capable of producing one million tons of large-particle urea per year. The total investment in the project is 9.967 billion yuan, covering an area of 128 hectares. In addition, the company has invested a total of 2.2 billion yuan to build supporting facilities such as the Batu Bay water supply pipeline, projects for the reuse of mine water and zero wastewater discharge, and evaporation ponds at waste disposal sites. The urea project commenced construction in August 2011, and urea production started in February 2014; it has since operated in a safe, stable manner at full capacity for an extended period of time. Currently, the annual urea production is nearly 2 million tons. To improve the coal chemical industry chain in the Mongolian-Shaanxi region of China National Coal Group and achieve the transformation and upgrading of traditional industries, the company has completed the second-phase technical upgrade project for producing 1 million tons of methanol per year from syngas. The project is designed to produce 1 million tons per year of MTO-grade methanol, 136,700 tons per year of liquefied methane, as well as by-products such as 100,000 tons per year of coal-based oils, crude phenol, and mixed ammonium sulfide. The finished methanol is transported via a 52-kilometer pipeline to China National Coal Group Mengda New Energy Company in Wushenzhao. It serves as raw material for a project aimed at producing 500,000 tons of engineering plastics per year. The total investment in the project amounts to 5.013 billion yuan, and it covers an area of 39 hectares; the main production facilities are located on land reserved for Phase I development. The project commenced in October 2018, and the installation was completed in April 2021, after which trial operations began; it is now ready for production. Both the first and second phase projects have been put into operation; it is estimated that they will process 5.2 million tons of coal per year, generating an output value of 5.7 billion yuan and profits and taxes amounting to 1.3 billion yuan.