Feasibility study for Inner Mongolia’s coal-to-natural gas project approved

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Feasibility study for coal-to-natural gas project approved. Publication date: 2010-11-25. Location: Inner Mongolia. Industry: Chemicals and pharmaceuticals. Progress stage: Application submitted. Summary: Project requirements: In recent years, the role of natural gas has grown increasingly important, with both production and consumption increasing rapidly. As a clean and environmentally friendly high-quality energy source, natural gas boasts advantages such as high conversion efficiency, low environmental impact, low investment requirements, and a short construction period. Given China’s resource profile of abundant coal, limited oil, and scarce gas, and in order to ensure the sustainable development of the national economy, Inner Mongolia Beikong Jingtai Energy Development Co., Ltd. plans to build a coal-to-natural gas project with an annual production capacity of 4 billion standard cubic meters in the Dalu Industrial Park, Zhungeer Banner, Ordos City. Inner Mongolia Beikong Jingtai Energy Development Co., Ltd. is a wholly-owned subsidiary of Beikong Group established in Ordos, responsible for the implementation of this project. Beikong Group is one of the largest state-owned enterprises in Beijing; it is the holding company of Beijing Gas Group and is primarily engaged in basic industries such as gas, beer, and water supply. By the end of 2009, the group’s total assets amounted to 63.934 billion yuan, and it ranked 244th on the list of China’s top 500 companies in that year. At present, the feasibility study report for this project has been completed. After consideration by our commission, it has been determined that this project is in line with industrial policies and regional plans. The details are as follows: 1. Project name: Inner Mongolia Beikong Jingtai Energy Development Co., Ltd.’s 4 billion standard cubic meters per year coal-to-natural gas project. II. Constructor: Inner Mongolia Beikong Jingtai Energy Development Co., Ltd. III. Construction location: Dalu Industrial Park. IV. Total Investment and Source of Funds: The total investment amounts to 23.16 billion yuan, funded by the enterprise itself. V. Economic benefit analysis: After the project goes into operation, it will generate annual operating revenue of 6.56 billion yuan, with an average annual profit of 1.5 billion yuan. VI. Construction period: 2011–2014.