Huaxing’s 4 billion cubic meters of coal-to-natural gas project has passed the preliminary review for water resource assessment

Thread Content

The preliminary review of the water resources assessment report for Huaxing’s 4 billion cubic meter coal-to-natural gas project has been approved. Author/Source: Date: 12-07-2015; Clicks: 5. Recently, a preliminary technical review meeting for the \"Water Resources Assessment Report for Huaxing New Energy Co., Ltd.’s 4 billion cubic meter coal-to-natural gas project\" was held in Hohhot, organized by the Water Resources Department of Inner Mongolia Autonomous Region. After listening to the presentation by the design team, the experts provided their specific feedback, and the meeting agreed that the report had passed the preliminary review. The approval of this project report by the Water Resources Department marks another significant advancement in the procedures for obtaining water extraction permits for this project. Once the report is revised and improved, the Water Resources Department of the autonomous region will submit it to the Yellow River Conservancy Commission for further review. It is reported that the 4 billion cubic meter coal-to-natural gas project of Inner Mongolia Huaxing New Energy Co., Ltd. is a key industrial project introduced to the Shanghaimiao Energy and Chemical Industry Base in Ejin Horoq Front Banner. The water allocation quota for this project has been adjusted by the people’s government of Ordos City, using quotas allocated from Phase I and Phase II water rights transfers in Ordos City as well as from the first-phase inter-regional water rights transfers; the Yellow River Water Resources Commission has preliminarily approved this adjustment plan, and the water-using enterprise is actively completing the necessary procedures for this adjustment. In January 2014, the coal-to-natural gas project of Inner Mongolia Huaxing Energy Co., Ltd. received approval from the National Development and Reform Commission to proceed with preliminary work (Document No. FGWB-NY [2014] 188). The project is located in the Shanghai Miao Energy and Chemical Industry Base in Inner Mongolia, with a total investment of around 25.1 billion yuan. It has an annual production capacity of 4 billion cubic meters of natural gas, and as by-products, it generates 450,000 tons of tar, 100,000 tons of naphtha, 120,000 tons of sulfur, 60,000 tons of crude phenol, and 50,000 tons of liquid ammonia. The project is constructed in two phases, with each phase having a capacity of 2 billion cubic meters per year. This project is supplied with water from the Shanghai Miao Yellow River Diversion Project, while the Nalin River mining area in Wushen Banner provides the raw coal needed for the project. The natural gas produced is transported via long-distance gas pipelines, passing through Shanxi and Hebei before reaching the Binhai New Area in Tianjin. According to the agreement, the coal resource reserves in this area are estimated at around 3 billion tons, with 2.1 billion tons being available for extraction. The planned production capacity of the associated coal mines is 20 million tons per year, and the project will be developed in two phases. The coal within the mining areas of the planning zone is non-stick coal and long-flame coal with low to low-moderate ash content, moderate-high to high volatile matter, low to moderate sulfur content, extremely low to low phosphorus content, and high to extremely high calorific value; it is coal of excellent quality suitable for use as fuel and in the chemical industry.