The review meeting for the feasibility study report of Shenhua Ordos’ project to produce 2 billion cubic meters of coal-to-natural gas per year was held in Ordos

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From August 31 to September 1, 2009, the review meeting for the feasibility study report of Shenhua Ordos’ project to produce 2 billion cubic meters of coal-based natural gas per year was held at the Hengxin Hotel in the Kangbashi New Area of Ordos City. The meeting was chaired by Liang Shipu, General Manager of the Coal-to-Oil and Coal Chemicals Department of Shenhua Group. Zhang Yuzhuo, General Manager of Shenhua Group, and Yun Guangzhong, Mayor of Ordos City, also attended the meeting and delivered speeches. In his speech, General Manager Zhang Yuzhuo stated that Shenhua Group will focus on the research, development, and utilization of clean energy. Coal-to-natural gas production is in line with industrial policies; it represents a clean, low-carbon energy source as well as an environmental protection initiative. The associated technology is reliable, mature, and highly efficient. Its development serves as an excellent solution to alleviate the domestic shortage of natural gas. Shenhua Group will provide strong support for the construction and development of the Shenhua Ordos coal-to-natural gas project. General Manager Zhang Yuzhuo also emphasized that in tasks such as the review of feasibility studies, it is necessary to pay attention not only to the social benefits and viability of a project but also to its economic benefits, taking all factors into consideration in order to optimize and improve the design of the project as much as possible. In his speech, Mayor Yun Guangzhong urged the expert group and various relevant departments to conduct a thorough review of the feasibility study report for this project, to provide constructive suggestions, and to ensure that the project progresses efficiently, in a standardized manner, and smoothly. This will help to guarantee the technical reliability of the project, as well as its quality and safety, thereby enhancing the efficiency of the enterprise and helping it to accumulate wealth. At the same time, it will also contribute to the development of new methods for energy conversion in Ordos, thus supporting the economic and social progress of the region. The delegates attended a general presentation by Sinopec Ningbo Engineering Company on the project feasibility study report. After nearly two days of careful and thorough discussion and review, the experts put forward many constructive and valuable suggestions. General Manager Lu Zhengping delivered a concluding speech at the review meeting. It is required to focus on four key tasks in the next step: first, further implement the technical plans for coal supply and transportation ； Secondly, it is necessary to further strengthen ties with **departments at all levels, form specialized teams, and ensure that the requirements regarding land use, water use, electricity supply, and environmental protection for the project are met ； Third, carefully verify the estimation content and scope of each main item ； Fourth, it is required that relevant price parameters be used to accurately reflect market availability, and to genuinely and objectively demonstrate the economic viability of this project as well as its risks. There were 11 experts attending this review meeting. Leaders from Shenhua Group Co., Ltd., Shendong Coal Group Company, Shenhua Coal-to-Oil and Chemicals Co., Ltd., Sinopec Group Ningbo Engineering Co., Ltd., and Saiding Engineering Co., Ltd. were also present. In addition, over 80 officials from the Inner Mongolia Autonomous Region’s Development and Reform Commission, Environmental Protection Bureau, Water Resources Department, Inner Mongolia Electric Power Group Co., Ltd., as well as the People’s Government of Ordos City, Ordos City’s Development and Reform Commission, Environmental Protection Bureau, Planning Bureau, Water Affairs Bureau, Land and Resources Bureau, and Electricity Bureau, as well as those from Yijinholo Banner’s People’s Government, Economic and Commercial Bureau, Water Affairs Bureau, Land and Resources Bureau, Planning Bureau, and Power Supply Bureau, attended the meeting.