**The Energy Zhundong 2 billion cubic meters per year coal-to-natural gas project has been officially approved

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On March 17, the **Energy Group’s Zhundong coal-to-natural gas project with an annual capacity of 2 billion cubic meters was officially approved by the National Development and Reform Commission**. As the first large-scale coal-to-gas demonstration project approved in the Jungdong Development Zone, this project places great emphasis on demonstrating green practices; it plans to build 1000MW of wind power facilities and 1GW of photovoltaic power generation facilities, and by utilizing carbon capture and storage (CCUS) technology, it aims to reduce coal consumption and lower carbon dioxide emissions. The approval and construction of the project is of great significance for ensuring **energy security, promoting the clean and efficient utilization of coal in the development zone, enhancing the self-reliance level of key technologies and equipment for coal deep processing, advancing green and low-carbon development, and fostering the agglomeration of supporting industries. The total investment in Guoneng Xinjiang Coal-to-Gas Co., Ltd.’s 2 billion cubic meters per year coal-to-natural gas project in Zhundong is approximately 16.79 billion yuan, with the construction site located in Xiheshan Community of the Zhundong Development Zone. The project employs a combined process of pressurized coal gasification and pressurized pulverized coal gasification; upon completion, it will produce 2.005 billion cubic meters of synthetic natural gas (SNG) per year, of which 119,000 tons (167 million cubic meters) will be liquefied natural gas. By-product materials such as crude phenol, coal tar, middle oil, ammonium sulfate, and naphtha will also be generated, and the project will be able to convert 16.12 million tons of raw coal into useful products each year. Sinopec Ningbo Engineering is responsible for the overall design of this project. The main construction components include an air separation unit, a gasification unit, a purification unit, a methanation unit, a sulfur recovery unit, power generation and new energy systems, as well as boilers, utility systems, and auxiliary production facilities required to support the process units. The total investment in the project is approximately 16.79 billion yuan. Upon completion of the project, it will produce 1.833 billion Nm3 of natural gas per year, 167 million Nm3 of liquefied natural gas (LNG), 23,300 tons of naphtha, 61,300 tons of middle oil, 43,300 tons of tar, 19,000 tons of crude phenol, 24,800 tons of liquid ammonia, 18,000 tons of sulfur, 6,200 tons of ammonium sulfate, and 500,000 tons of liquid CO2.