Construction begins on the Guoneng Xinjiang Zhundong project for coal-to-gas production on a scale of 2 billion cubic meters, with an annual gas output of 7 million tons, as well as a coal transport corridor

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On April 14, the contract for the land auction regarding the construction project of the coal conveyor corridor from the Hongshaquan open-pit mine to Guoneng Coal-to-Gas Facility was signed. Administrative region: Changji Prefecture itself. Project name: Construction project of the coal conveyor corridor from Hongshaquan Open-pit Mine to Guoneng Coal-to-Gas Plant. Project location: Xiheshan Industrial Park. Supply area (hectares): 26.833700. Existing area (hectares): Land use category: V3-100102. Method of land allocation: Auction. Land use term: 50 years. Industry classification: Road transportation industry. Land grade: Level 15. Transaction price (10,000 yuan): 2307.698200. According to reports from March, the construction of the coal conveyor corridor from Hongshaquan Open-pit Mine to Guoneng Coal-to-Gas Plant in the Xinjiang Zhundong Economic and Technological Development Zone, which is being carried out by Xinjiang Xinzhun Logistics Co., Ltd., has officially begun. This project serves as an important energy corridor connecting the mining area with key chemical enterprises downstream, and it is of great significance for promoting the clean and efficient use of coal in the region as well as ensuring the supply of raw materials for key projects. The project spans 12.3 kilometers in length, with a total investment of 358 million yuan. It is designed to handle an annual coal transportation capacity of 7 million tons. The system utilizes a fully enclosed tubular belt conveyor structure; this “aerial corridor” replaces traditional road transport, thereby reducing dust, exhaust emissions, noise, and road wear and tear at the source, thus contributing to the development of a greener Zhundong region. This project primarily serves the **Energy Group’s coal-to-gas project in Xinjiang as well as Xinjiang Xinlianxin Chemical Industry Co., Ltd.; it can meet the annual coal demand of these two companies in a stable manner, enable the shared use of infrastructure, effectively reduce the logistics costs for these enterprises, and ensure a stable supply of raw materials. The project incorporates advanced technologies such as high-voltage permanent magnet direct drive to strive to create an intelligent, efficient, and green model project. The construction of this project is a key measure for the Junggar Basin Development Zone to implement the unified planning of the “eight vertical and eight horizontal” coal transportation corridors and improve its energy transportation system. It will further enhance the resilience of the industrial chain in the Xhei Shan Industrial Park, promote the local conversion and efficient utilization of coal resources, and inject new momentum into the high-quality development of the development zone. Currently, all preliminary procedures for the project have been completed, and all participating entities have assembled. Adhering to the principles of safety first and quality paramount, we will make every effort to advance the construction process. Upon completion and operation, the project will become a vital component of the clean coal transportation system in the Junggar Basin, providing strong support for the green transformation of the regional energy industry. Project Overview: Project Name: Guoneng Xinjiang Coal-to-Gas Co., Ltd. Zhundong 2 billion cubic meters/year Coal-to-Natural Gas Project. Location of construction: Zhundong Economic and Technological Development Zone, Xinjiang. Nature of construction: New construction. Scope and details of construction: The new coal-to-natural gas project with an annual production capacity of 2 billion cubic meters includes main production facilities such as gasification, shift reaction and heat recovery, purification, methanation, sulfur recovery, air separation, natural gas drying and compression at the initial station, hydrogen production via water electrolysis, as well as associated storage and transportation systems and auxiliary facilities. Project overview: Guoneng Xinjiang Coal-to-Gas Co., Ltd. plans to construct a coal-to-natural gas project in the Junggar Basin area. The total planned production capacity is 4 billion cubic meters per year; the first phase will have a capacity of 2 billion cubic meters per year, and the second phase another 2 billion cubic meters per year. The total investment is estimated at approximately 25.037 billion yuan. The project will cover an area of about 400 hectares, with an annual conversion capacity for raw coal amounting to 16.12 million tons. This project is a major project in the autonomous region, and it is also one of **Energy Group’s four major strategic projects for coal-to-oil and gas production. Upon completion, it will be able to process 5.56 million tons of coal per year, with annual sales revenue estimated at 4.4 billion yuan and tax revenues of 700 million yuan; it will also create more than 1,700 new jobs. It is planned that the entire facility will be fully constructed, commissioned, and put into operation in 2027. On March 22, 2025, the construction of the 2 billion cubic meters per year coal-to-natural gas project in Junggar Basin, undertaken by Guoneng Xinjiang Coal-to-Gas Co., Ltd., officially commenced. For the key sections of this project, domestic processes and equipment are utilized, resulting in a demonstration project for a complete set of domestically developed coal-to-natural gas technology and equipment. The gasification process employs a combined technology of pressurized pulverized coal gasification and pressurized crushed coal gasification. The air separation unit utilizes large-scale domestic air separation technologies and equipment. For gas shift conversion, a mature domestic medium-pressure sulfur-tolerant shift process is planned to be used; for desulfurization and decarburization, a well-established domestic low-temperature methanol washing technology is intended to be applied. The methanation process is planned to employ the methanation technology developed by the Dalian Institute of Chemical Physics in China. For flue gas desulfurization in this project, the high-temperature Claus reaction inside the furnace combined with the ECOSA@ process is planned to be used, while for nitrogen oxide control, clean fuel gas, ultra-low NOx burners, and flue gas recirculation technology will be employed to ensure compliant emissions. Under normal operating conditions, all treated industrial wastewater is reused according to its quality. The project also includes plans to build 1,000 MW of wind and solar power generation facilities, as well as 1 GW of photovoltaic power generation for hydrogen production, combined with carbon capture, utilization, and storage (CCUS) technology, in order to reduce coal consumption and lower carbon dioxide emissions.