Thread Content
2015 Annual Review and Outlook for Coal-Based Synthetic Natural Gas (SNG) in China Author/Source: Date: 2016-01-15 Clicks: 2 The development of the coal-based synthetic natural gas industry in China in 2015 did not proceed smoothly. Due to falling international oil prices and increasingly stringent environmental standards in China, coal-to-gas projects face dual challenges in terms of economic viability and environmental protection. Nevertheless, coal-to-gas remains strategically valuable in promoting the clean use of coal and ensuring **energy security**. In 2015, China’s coal-to-gas industry made significant progress in areas such as project development and product transportation. Yahuazheng Consulting will review these developments for readers in the following text, while also outlining the prospects for the growth of this industry during the 13th Five-Year Plan period. Operational performance of coal-to-gas projects in operation in 2015: According to Datang Power’s semi-annual report for 2015, the 4 billion cubic meters per year coal-to-gas project in Keqi completed the environmental improvement works necessary to increase its production capacity during the first half of 2015. Unit B operated at high capacity for extended periods of time, and by the end of June, a total of 321 million standard cubic meters of natural gas had been produced. The Fuxin coal-to-gas project with a capacity of 4 billion cubic meters per year carried out its infrastructure construction activities as planned in the first half of 2015. The entire SNG from Inner Mongolia HuiNeng’s 400 million cubic meters per year coal-to-gas project was liquefied into LNG, and the facility came online in November 2014. To develop downstream sales channels, HuiNeng Group began construction of an LNG storage facility and fueling station in Nangong City, Xingtai Province, in July 2015, as well as an LNG/L-CNG fueling station in Weixian County. Over the next three years, 50 more LNG/L-CNG fueling stations will be built across Xingtai City. The Qinghua coal-to-gas project is located in the Yidong Industrial Park in Yining County, Xinjiang. The first phase of this project involves the production of 1.375 billion cubic meters of gas per year from coal, and it began trial operation in December 2013. In January 2015, Xinjiang Qinghua’s 300,000 cubic meters per day SNG liquefaction project came online. This project is a downstream coal-to-gas project in Xinjiang Qinghua, with its products mainly sold in the Ili market. Progress in the preliminary work for coal-to-gas projects in 2015: In 2015, more than a dozen coal-to-gas projects were still in the stage of active preliminary work, and certain progress was made. The latest characteristics of China’s coal-to-gas industry are as follows. 1. The preliminary work for the project is carried out to high standards and in a standardized manner, effectively preventing construction before approval is obtained. 2. Great emphasis is placed on key approval-supporting documents such as environmental impact assessments, energy efficiency evaluations, and water resource certifications. 3. The preliminary work for some projects is already at a high level; only 1-2 additional supporting documents are needed for approval, including an environmental impact assessment. Nine of these projects have made significant progress in terms of obtaining water resources. http://www.nmtech.com.cn/*nwen_mhg_xx.asp?id=174883