Pingmei Shenma Group develops circular coal chemical industry
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Chen Jiansheng, chairman of China Pingmei Shennma Group, was once a national representative in the coal industry; now he has shifted his focus to the chemical sector and is participating in this year’s event with both a background in coal and one in chemicals. A topic he has always been concerned about is the circular economy, with a particular focus on how to develop coal chemical industry in a scientific manner. Chen Jiansheng said that the outbreak of the international financial crisis last year made one thing clearer: the coal chemical industry is an important part of the development of a circular economy. Those who prioritize the development of a circular economy will enjoy the dual advantages of being technologically advanced and having the lowest costs in the coal chemical sector. If our country is to develop its coal chemical industry successfully, it must clearly promote the concept of \"science and technology-driven coal chemistry\" and firmly pursue a path of science and technology in the context of a circular economy. Chen Jiansheng analyzed that in recent years, the development of the coal chemical industry has encountered some concerning issues; in certain regions, projects have been planned on a large scale without regard for environmental and resource constraints, with reckless initiation of projects that are energy-intensive, cause severe pollution, and involve redundant construction. Problems such as low industrial concentration, scattered resource allocation, and an unreasonable industrial structure, which do not meet the requirements of scientific development, are becoming increasingly prominent. They severely hinder the scale expansion and upgrading of industries, result in serious waste of funds, and have serious consequences. Chen Jiansheng said, “**On the eve of that, the State Council reviewed and approved in principle the plan for the adjustment and revitalization of the petrochemical industry, which emphasizes the need to phase out outdated production capacity and firmly curb the uncontrolled expansion of the coal-based chemical industry. I think this is very in line with the current development status of coal chemical industry in our country. ”Chen Jiansheng believes that **while restricting outdated production capacity, it is necessary to strongly promote the healthy development of the technology-based coal chemical industry within a circular economy framework. Drawing on the practices of China Pingmei Shennma Group in the area of circular development in the \"resources–products–waste–renewable resources\" framework over the past few years, Chen Jiansheng suggests increasing policy support for enterprises engaged in circular economy activities, simplifying the approval procedures for projects related to the deep processing and comprehensive utilization of resources, and providing greater financial assistance for companies to upgrade their energy-saving technologies. The overall assessment indicators for energy conservation and emission reduction should be determined in a scientific and reasonable manner, based on the advanced levels of energy efficiency standards and emission standards in the main industry in which the enterprise operates ； Based on the requirements regarding coal resources, water resources, electricity capacity, and environmental capacity in various provinces and cities, the development of the coal chemical industry is coordinated, with a plan to build a number of large-scale, modern energy and chemical industrial bases at the ** level, in order to avoid redundant construction and disorderly competition. At the same time, active research is carried out on the technical development plans for the coal chemical industry as well as on the building of innovation capabilities. In short, it is necessary to integrate vertical and horizontal elements as well as connect individual points with the overall picture, thereby establishing a circular economic development model across different industries, ensuring that the \"energy network is seamless and leak-free\" ； Product links are interconnected. Chen Jiansheng told reporters that perhaps in the future, the development and competition in China’s coal chemical industry will revolve around a competition among various coal companies in terms of technology and circular economy practices. If scientific development and a circular economy are not pursued, the consequences will be unimaginable, and the damage to state-owned assets will be incalculable. He gave the example that if a company’s industrial chain is not well-developed, it will result in excessive consumption, low digestion efficiency, and significant waste. Over time, no matter how substantial a company’s resources are, they will eventually be exhausted. Moreover, this is undoubtedly fatal for coal chemical enterprises that thrive on resources, depend on them for survival, and rely on them for development. Therefore, **introducing policies to encourage the development of a circular economy, so that one resource can serve multiple purposes, holds great practical and strategic significance for a large developing country like ours.
Yulin Tianhua Achieves a Major Breakthrough in 1.4 Million Tonnes of Methanol Production 2009-3-13 The 1.4 million tonnes per year coal-based methanol production project carried out by Yulin Tianhua is the largest local coal chemical project in Yulin City. It is a project that receives significant attention from the authorities in Shaanxi Province, and it also plays a key role in helping Yulin Tianhua achieve industrial upgrading and structural adjustments in its industry. The first phase of the project has a capacity of 600,000 tons and is located in Plot C18 of the Yuheng Industrial Park, covering a total area of 67.5306 hectares. The total investment for the project is 4.048 billion yuan, with the target date for being ready for trial operation being August 1, 2011. Upon completion of the project, it is expected to generate annual sales revenue of 1.859 billion yuan, profits of 704 million yuan, and taxes of 420 million yuan. Since the commencement of this project was announced on April 28, 2008, all related tasks have progressed simultaneously, yielding significant results that have laid an important foundation for achieving a decisive victory in its construction. Six major breakthroughs have been achieved: — All the necessary procedures for the construction of the coal chemical project have been completed, removing obstacles to the smooth progress of the project. Launching large-scale coal chemical projects involves not only numerous procedures but also complex approval processes that are extremely difficult to navigate. Through extensive coordination and relentless efforts, Yutianhua Company has successfully completed all the necessary procedures related to the project, including environmental impact assessments, safety evaluations, soil and water conservation plans, water resource assessment reports, geological and seismic evaluations, as well as assessments of minerals that may be affected by the project. Additionally, regarding the land required for the project, all relevant procedures such as preliminary reviews, land acquisition, and the conversion of forest land have been carried out, and approval from the provincial authorities for the use of this land has been obtained. ——The accompanying coal resources have been secured, and the project has entered the substantive development phase, thereby completely resolving the critical resource issue for the coal chemical project. On September 19, 2008, Yutianhua signed an agreement with Shaanxi Nonferrous Metals Group to jointly develop the Hanglaiwan coal field. On December 18, 2008, the two parties established Shaanxi Nonferrous Yulin Coal Industry Co., Ltd., formed a board of directors, appointed management staff, defined responsibilities, and entered the phase of actual implementation. The planned construction period is 27 months, with an annual output of 8 million tons of high-quality coal. The survey of the mining area has been completed, and site selection is currently in progress. Construction is scheduled to begin in April, with an investment of 600 million yuan to be made within the course of the year. ——The five key production technologies have been finalized, enabling the design work to proceed on a full scale and providing strong technical support for the project construction. On September 2, 2008, Yutianhua formally signed a project design contract with Hualu Engineering Technology Company (Chemical Industry Sixth Research Institute). After extensive investigations and in-depth technical discussions, five key production technologies—gasification, low-temperature methanol washing, air separation, sulfur recovery, and synthesis—were ultimately identified, with the preliminary design scheduled to be completed by the end of May. Five key production technologies: two are at the advanced domestic level, and three are at the advanced international level. Among them, the multi-component slurry pressurized gasification technology was developed by the Northwest Institute of Chemical Engineering ； The low-temperature methanol washing technology was developed by Dalian University of Technology ； The air separation and internal compression oxygen production process adopts a third-party gas supply model, having entered into a technical agreement with Air Liquide, a Fortune 500 company based in France ； The sulfur recovery technology utilizes the Ultra-Claus sulfur recovery technology developed by Shell Netherlands ； The synthesis technology employs the internationally advanced David methanol synthesis method. ——Significant progress has been made in placing orders for key equipment and those with long production cycles. In accordance with the project completion schedule, ordering for key equipment and those with long production cycles should be initiated in advance. At present, the three main components for gasification – the gasification furnace, the lockhopper, and the scrubber tower – as well as the boiler – have had their procurement processes completed through bidding, and production has now begun ； Complete the technical specifications for the turbine and generator, issue tender documents; planning to complete the bidding process by the end of March and proceed with manufacturing ； Preparations for issuing tenders for long-cycle equipment such as synthesis towers, syngas compressors, ice makers, and high-pressure coal slurry pumps are underway, with the intention to complete the tendering and ordering process by April ； For other long-cycle equipment, bidding and ordering processes are carried out on a monthly basis. At the same time, professional technical personnel were dispatched to the equipment manufacturers for supervision and to urge delivery. ——Breakthrough progress has been made in financing, eliminating concerns regarding the project construction. Given the company’s strong performance and reputation, a loan of 800 million yuan from Bank of China has been secured. Loans amounting to 2.1 billion yuan from Agricultural Bank of China, 1.8 billion yuan from China Construction Bank, and 800 million yuan from Huaxia Bank have been submitted by the provincial branches to the head office for approval; it is expected that these loans will be finalized by the end of March. ——The countdown to full commencement has begun, with on-site civil work set to enter a intensive phase. Based on the overall progress of the project construction, it is planned to complete the underground pipeline network work by the end of April, to finish the bidding process for the installation contractors and supervisors by the end of May, and to complete the civil works for the boiler power plant by the end of August. The civil works for the coal preparation system, gasification, shift reaction, purification, compression, synthesis, sulfur recovery, and distillation will be completed within the same year. Equipment installation will begin in September, with the delivered equipment and the distillation steel structure to be installed by the end of the year. Key focus for the next phase: ensuring proper design progress and quality control ； Ensure proper supervision of equipment manufacturing and prompt delivery requests ； Coordinate the construction work to catch up on the schedule ； Make thorough production preparations, get involved early, provide comprehensive training, and focus on making key breakthroughs ； Step up efforts to prepare for transportation ； Further improve project financing efforts ； Stay ahead of developments and ensure proper on-site coordination ； Ensure that the supporting coal mines and coal chemical projects are carried out simultaneously. In light of the significant progress made in coal chemical projects, Han Delin, Secretary of the Party Committee and Chairman of Yutianhua, as well as the chief commander of the 1.4 million-ton coal-to-methanol project, said that since the establishment of the factory, Yutianhua has taken it upon itself to contribute to the development of the Yulin Energy and Chemical Industry Base, with the goal of creating a local energy and chemical group in Yulin.