The Ningxia Coal Industry’s coal indirect liquefaction demonstration project processes 24 million tons of coal per year

Through independent innovation and technological improvements, after 5 years of effort, the \"Shenning Furnace\" was successfully developed. Entering the gasification workshop of Ningmei Coal-to-Oil Branch, a gasification furnace over 20 meters tall stands tall in the plant filled with numerous pipes and machinery. “This device weighs 290 tons; there are 28 of them in total across the plant, and each one can convert over 2,000 tons of coal per day. ”Looking at the large furnace, Li Hu, the chief engineer of the branch company, explained, “This is the ‘Shenning Furnace’ that we have developed independently.” ” At the end of the 1990s, coal enterprises in Ningxia began to explore the feasibility of coal-to-oil projects. In 2004, the **Development and Reform Commission selected Ningxia Coal to undertake the coal indirect liquefaction demonstration project through a bidding process. Starting in 2005, Ningxia Coal began negotiations with relevant foreign companies in an effort to introduce production lines, but failed to reach an agreement on the specific terms. Since the technology cannot be purchased, we must develop it on our own. In simple terms, coal-to-oil production involves two steps: first, coal is gasified using a gasifier, and then the resulting gas is synthesized into petroleum products through a Fischer-Tropsch synthesis unit. Therefore, the development of gasifiers is the first hurdle in the innovative development of coal-to-oil technology. However, the path of independently developing a gasifier from scratch is not easy. The gasification furnace process involves over 400 key steps, making the research and development task quite challenging. To accelerate the completion of the project, over 300 experts formed more than 10 \"innovation studios\" and \"task force teams\", staying on-site for meals and accommodation while continuously working on technical improvements. “To test a technology, sometimes people have to stare at data for dozens of hours in a row. ”Li Hu said that after 5 years of intensive research and development, the \"Shenning Furnace\" was finally created in 2012. It features improved technology and greater adaptability to different types of coal, as well as a larger scale and higher gasification efficiency. In 2017, the related patents won the **Patent Gold Award. “When the \"Shenning Furnace\" process was declared a success, the Fischer-Tropsch synthesis unit process independently developed by Ningxia Coal also became increasingly mature. The successive success of these two key devices laid the foundation for the successful completion of the coal-to-oil project.

Through joint efforts and collaborative development, the degree of localization of process equipment has reached 99%. To boost this level of localization, from the outset of the project, the team set out 37 tasks aimed at achieving self-developed domestic production, thereby advancing the capabilities in industrial equipment manufacturing. Ningxia Coal took the initiative to contact 29 large domestic equipment manufacturing companies, and began to work through one by one all the challenges related to local production of these components. The power unit for this project – air separation equipment of 100,000-class capacity – was developed by Hangyang Group; once completed, it gained recognition in the domestic market, and now such equipment is also exported overseas ； The special steel required for the oil liquefaction process derived from coal – ultra-thick hydrogen-resistant steel plates – was developed by Wugang Company, and has since been used in coal chemical projects in Shanxi, Inner Mongolia and other regions ； The large-scale lifting machinery required during equipment installation has been developed by companies such as XCMG Group – after initiating independent research and development, these companies created 4,000-ton lifting equipment, which significantly improved the technical standards and efficiency of large-scale road and bridge construction in China. A large number of domestic equipment manufacturing companies, through research and development efforts in the context of the Ningxia Coal-to-Oil project, managed to rise to the ranks of the world’s top enterprises, thereby quickly gaining access to both domestic and international markets. Shenyang Blower Group is responsible for developing special compressor units; although the contract value is only 80 million yuan, the group has allocated 100 million yuan in research funds for these development efforts. Thanks to the lower cost of its independently developed compressors, SHENGU Group has received a large number of orders from both domestic and international clients. To date, all 37 tasks related to domestic production have been completed, with the proportion of domestically produced process equipment reaching 99%... Wen Bao, a responsible official from Ningxia Coal Oil Production Branch, said, “Thanks to the courage to face difficulties head-on, the construction of the Ningxia Coal Oil Production project, which was scheduled to take 5 years, was completed in just over 3 years.” ”On December 21, 2016, the project completed its initial trial run successfully and began operations officially. Since then, our country has become one of the few in the world to possess the full production chain technology for coal-to-oil conversion.

By optimizing the production processes, stable and full-capacity production has been achieved; for three consecutive years, the designed production capacity has been met and even exceeded. In the control room of Ningxia Coal-to-Oil Branch, a main control screen covers an entire wall, displaying data such as material input into the workshops and the operating status of various units in clear detail. Yang Zhanqi, the general manager of the company’s chemical department, had furrowed brows, his gaze fixed on the constantly changing data. “In good condition; the production plan for this month can be completed ahead of schedule again. ”After completing the comparison of all the data, he said to the reporters. After the project was officially put into operation at the end of 2016, and following four years of optimization, technical upgrades, and hazard inspections, by 2020 the Ningxia Coal-to-Oil project finally entered a stable operating phase characterized by consistent and full production. Starting in 2021, it managed to reach and even exceed its designed production capacity of 4 million tons per year for three consecutive years. From official commissioning to achieving stable and full production, several years have passed, filled with both hardships and joys. “Countless new devices and materials are integrated and used here for the first time. ”Yang Zhanqi explained that in the entire factory complex, the length of pipes alone exceeds 3,700 kilometers, while the cables for electrical systems and instruments total 18,000 kilometers. The complex production processes, large number of devices, advanced technologies, and high integration challenges pose many difficulties in production. “When it first started operating, everyone was full of determination, eager to work and live at the production site itself, so that the domestic coal-to-oil facility could operate quickly and stably as soon as possible. ”Technician Wei Honghong recalled that initially, there were as many as a thousand operating steps related to the carbon wax filtration unit; such a large number of steps not only affected the stability of the device’s operation but also led to high energy consumption. To streamline the operational procedures and improve efficiency, the technical team in the synthetic oil workshop where Wei Honghong works went to the site repeatedly and conducted experiments, eventually developing a new process that reduced the number of operational steps to over 100. The startup speed of air separation compressors has been significantly increased; three patents were obtained for the related production technologies, and the two operation manuals developed as a result have been adopted by various chemical engineering colleges ； The Fertox synthesis plant has developed a new type of catalyst whose performance exceeds that of imported catalysts… Teams of technicians have continued to explore and improve their skills through practical production activities, carrying out more than 600 important technical projects that have significantly enhanced the technology level of coal-to-oil production in China. At the beginning of 2020, in order to carry out a comprehensive overhaul of the production facilities and ensure stable and optimal production, the Coal-to-Oil Branch organized technicians who, over a period of more than 40 days, completed tens of thousands of maintenance tasks. As a result, the production facilities were able to operate at full capacity for the first time, with daily and monthly production volumes reaching new highs. The unit cost decreased significantly, and all key operational indicators were at international leading levels. In 2021, the project was awarded the **First Prize for Scientific and Technological Progress.

Uncovering value through green transformation: the reuse rate of wastewater and the sulfur recovery rate from process exhaust gases are both close to 99%. \"Extreme-cold diesel\" that can function properly at temperatures below minus 20 degrees Celsius, as well as spandex materials that offer comfortable wear… A range of innovative products that reflect the progress made by Ningxia Coal Oil Processing Branch. “At the time of its launch, it only produced three basic petroleum products: liquefied petroleum gas, naphtha, and regular diesel; today, it offers 21 different products across five categories, covering areas such as aerospace fuels and household chemicals. ”Chen Pengcheng, the workshop director of Ningxia Coal-to-Oil Branch, said that for the coal-to-oil project to achieve high-quality development, it must pursue a high-end approach. To this end, the branch company proposed to \"uncover the value of products at the carbon molecule level,\" and developed a range of high-value-added new products such as high-melting-point waxes and lightweight white oils. Starting in 2022, the company’s profits increased by nearly 500 million yuan each year, and it has obtained 367 patents to date. Walking around the production facility of Ningxia Coal Oil Processing Branch, intelligent workshops use pipelines to transfer materials; outside the enclosed production areas, not even a trace of the smell of coal or oil can be detected. Here, both the wastewater reuse rate and the sulfur recovery rate from process exhaust gases are close to 99%. Under Chen Pengcheng’s guidance, the reporter visited various recycling facilities within the factory: the desulfurization smart warehousing system enables the entire process of handling ammonium sulfate, a by-product, from storage to dispatch to be carried out without human intervention, making it safer and more reliable ； The expanded and renovated ash storage facility can reduce dust levels ； The desulfurization exhaust gas scrubber can be washed remotely… At present, the energy consumption and coal consumption for the Ningxia Coal-to-Oil project are 10.7% and 7% lower than the designed values respectively; in particular, the water consumption per ton of petroleum products produced is 5.31 tons, which is 24% lower than the **advanced standard value. At present, the Ningxia Coal-to-Oil project continues to improve energy-saving and environmental protection technologies, thereby achieving simultaneous improvements in economic and ecological benefits. Taking the used production waste wax as an example, after being recycled into refined wax, it not only reduces the costs associated with handling solid waste but also allows for an increase in wax production of 60,000 tons per year. At a price of 7,000 yuan per ton, this results in an additional revenue of 420 million yuan from refined wax. “At that time, we proposed to modify the wax filtration process; in order to carry out the technical upgrades while production continued, the workshop organized round-the-clock work. Meanwhile, in order to address the risks associated with these upgrades, from a single screw to the entire system, preventive plans were developed to deal with any potential emergencies. ”Chen Pengcheng explained that dozens of technicians worked round the clock on site; after modifying each piece of equipment, they immediately moved on to the next one. It took a full month to achieve the technological innovation in slag and wax recovery. Regarding this spirit of determination, Chen Pengcheng had many thoughts: \"From following others to taking the lead, coal-to-oil technology is a vivid reflection of the improvement in our capacity for independent innovation.\" In the future, we will continue to work hard to contribute to ensuring **energy security. ”