Approval on the Environmental Impact Assessment Report for the Demonstration Project on the Clean Utilization of Low-Grade Bituminous Coal in Datong, Shanxi, by China National Offshore Oil Corporation
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China National Offshore Oil Corporation: We have received your company’s application titled \"Request for Submission of the Environmental Impact Assessment Report for the Demonstration Project on the Clean Utilization of Low-Grade Bituminous Coal in Datong, Shanxi\" (Haiyou Tongqi [2015] No. 40), as well as the request titled \"Request to Extend the Time Allotated for the Review and Evaluation of the Environmental Impact Assessment Report for the Demonstration Project on the Clean Utilization of Low-Grade Bituminous Coal in Datong, Shanxi\" (QHSE-2015-0210). After examination, the approval is as follows: 1. The construction site for this project is located in the Zuo Yun Coal Chemical Industry Base in Datong City, Shanxi Province. The project utilizes local coal resources and employs coal gasification under pressure as well as pulverized coal gasification technologies to produce 4 billion standard cubic meters of coal-to-natural gas per year. The main projects primarily include a coal gasification unit, purification unit, methanation unit, sulfur recovery unit, air separation unit, tar hydrogenation unit, etc. The storage and transportation works mainly include a circular coal silo, limestone bins, slag bins, a sulfur warehouse, storage tanks, temporary storage tanks for crystalline salt, a truck loading station, etc. Public utilities mainly include the circulating water system, desalination plant, etc. Environmental protection projects mainly include flares, oil and gas recovery units, sewage treatment plants, membrane concentration devices, high-concentration brine evaporation and crystallization systems, and temporary storage sites for hazardous waste. Off-site supporting facilities include a water treatment plant, a coal transfer quay, an ash storage area, and ash transport roads. The main product of this project is synthetic natural gas, at a volume of 4 billion standard cubic meters per year. The by-products include 16,600 tons per year of crude phenol, 115,800 tons per year of sulfur, 45,600 tons per year of liquid argon, 40,700 tons per year of liquid ammonia, 81,500 tons per year of naphtha, and 77,500 tons per year of diesel blending components. The construction of this project complies with relevant plans such as the \"Overall Development Plan for the Zuo Yun Coal Chemical Industry Base in Datong City\" as well as the requirements of environmental impact assessments for planning, and it also meets the requirements set out in the \"Environmental Access Conditions for Modern Coal Chemical Industry Projects (Trial)\". After implementing the regional reduction measures and the various environmental protection measures outlined in the environmental impact report, the emissions of various pollutants can meet the specified standards, and the emissions of key pollutants comply with the total emission control requirements. In principle, we agree with the nature, scale, technology, location of the construction project, as well as the environmental protection measures outlined in your company’s environmental impact assessment report. II. Key tasks to be accomplished in the design, construction, and operation management of projects(1) Depending on the characteristics of various types of industrial waste gases, appropriate treatment methods such as scrubbing, incineration, filtration, and recycling should be employed. The capacity and efficiency of the treatment facilities must meet the requirements; moreover, the height of exhaust stacks must comply with relevant regulations to ensure that emissions of all atmospheric pollutants conform to national and local standards. Dusty waste gases from systems for material preparation and coal transfer trestles are treated using bag filters, with a dust removal efficiency of not less than 99%, ensuring that the emissions meet the secondary standards specified in the \"Integrated Emission Standards for Air Pollutants\" (GB16297-1996) before being released. The waste gas from the ash and slag system of the pulverized coal gasifier is discharged at high altitude after meeting the “Emission Standards for Odorous Pollutants” (GB14554-93). The heating furnace employs low-nitrogen combustion technology, and the exhaust gases are discharged after meeting the requirements of the \"Emission Standards for Pollutants in the Petroleum Refining Industry\" (GB31570-2015). The exhaust gas from the coal bin and coal lock of the pulverized coal gasifier, after being treated by a bag filter, along with the exhaust gas from the low-temperature methanol washing process and the exhaust gas from the slag discharge system of the pulverized coal gasifier, is sent to a regenerative thermal oxidizer. The removal efficiency of organic substances should reach 99.9%, in order to meet the secondary standards specified in the \"Integrated Emission Standards for Air Pollutants\" (GB16297-1996), the \"Emission Standards for Pollutants in the Petrochemical Industry\" (GB31571-2015), and the \"Emission Standards for Odorous Pollutants\" (GB14554-93), before the gas is released. The sulfur recovery unit employs the “oxygen-enriched two-stage Claus + LOCAT” tail gas treatment technology. The designed overall sulfur recovery rate should reach 99.99%. The waste gas is discharged only after meeting the requirements of the “Emission Standards for Odorous Pollutants” (GB14554-93) and the “Emission Standards for Pollutants from Petroleum Refining Industry” (GB31570-2015). Strengthen the prevention and control of pollution caused by unorganized volatile organic pollutants and malodorous waste gases. This project employs equipment leakage detection and repair technologies. Methanol, tar, middle distillates, and naphtha are stored in internal floating roof tanks, while diesel, crude phenol, hydrogenation tail oil, and diesel insolubles are stored in nitrogen-sealed vaulted tanks. The diesel tanks, naphtha tanks, and crude phenol tanks are equipped with oil and vapor recovery systems with a recovery rate of 96%; the phenol recovery rate reaches 98%, meeting the requirements of the \"Emission Standards for Pollutants in the Petrochemical Industry\" (GB31571-2015). Material transfer in the tank farm utilizes closed pipelines; loading and unloading of liquid materials is carried out using sealed loading arms, with oil vapor recovery measures also implemented. The enclosed exhaust gases generated in facilities such as the oil separation tank, air flotation tank, regulation tank, biological treatment tank, buffer tank, and sludge dewatering and drying rooms at the wastewater treatment plant are treated using biological deodorization. The removal rates for volatile organic compounds, hydrogen sulfide, ammonia, and odorous substances are 96%, 90%, 50%, and 50% respectively; the exhaust gases are released only after meeting the requirements set out in the \"Emission Standards for Odorous Pollutants\" (GB14554-93) and the \"Emission Standards for Pollutants in the Petrochemical Industry\" (GB31571-2015). Both solid storage and transportation coal unloading chutes and circular coal silos use dry fog to suppress dust, as well as water mist for dust removal. Ash and slag are piled in designated areas with regular watering to suppress dust; humidification and sealing measures are taken during transportation. (II) The water supply and drainage systems shall be designed and constructed in accordance with the principles of separating rainwater from wastewater, separating clean water from polluted water, treating water according to its quality, and making multiple uses of water. The schemes for wastewater treatment and reuse shall be further optimized to ensure that all wastewater generated by the project is reused rather than discharged outside. Your company is required to undertake the environmental protection demonstration task of purifying high-concentration brine and miscellaneous salts as well as separating crystalline salts, in accordance with the requirements of the \"Environmental Access Requirements for Modern Coal Chemical Industry Projects (Trial)\". After gasification wastewater from coal gasification is separated from the gas and water, and phenol and ammonia are recovered from it, this wastewater is sent to the wastewater treatment plant together with pretreated black water from pulverized coal gasification, wastewater from tar hydrogenation, wastewater from purification units, wastewater from ammonia washing towers, wastewater from facility cleaning, and domestic sewage. It is treated using a process of \"modified A/O + advanced treatment + ultrafiltration and reverse osmosis\" to meet the requirements of the \"Quality Standards for Recycled Water Used in Circulating Cooling Systems\" (HG/T3923-2007), and then used as makeup water for circulating water. Saline wastewater from cooling towers, demineralization stations, and boilers in the plant area is sent back to the water treatment system for processing. After being treated through the \"clarification and filtration + ultrafiltration + reverse osmosis\" process, the purified water is used as make-up water for the circulating water system, while the concentrate from reverse osmosis is sent to a membrane concentration unit. The membrane concentration unit employs a process of \"clarification filtration + ultrafiltration + two-stage reverse osmosis\"; the purified water is reused in the circulating water system, while the concentrated brine is sent to the evaporation and crystallization system. The evaporation crystallization system employs a \"purification + four-effect evaporation\" process to gradually crystallize sodium sulfate and sodium chloride, which are then sent to specialized units for further utilization. During the design and operation of this project, the wastewater collection, treatment, and reuse systems should be further optimized and improved to prevent wastewater from being discharged into the external environment under various operating conditions. (III) In accordance with the principles of “resource utilization, reduction, and harmlessness”, solid waste shall be collected and disposed of in a categorized manner to ensure that no secondary environmental problems arise. The ash and slag from pulverized coal gasification are comprehensively utilized to the greatest extent possible, with the remaining portion sent to an ash and slag landfill for disposal. General industrial solid wastes such as coal gasification ash and slag, chemical sludge from wastewater treatment plants, and dry sludge from water purification plants are sent to ash dumps for landfilling. The spent desulfurization agent is recovered by the manufacturer, while the raffinate oil and chemical sludge from the wastewater treatment plant are sent to a gasification furnace for incineration. Hazardous wastes such as sludge at the bottom of tanks, soluble crystalline salts, spent catalysts, and various types of \"sludge\" are sent to the hazardous waste treatment center at the base. Crystalline salts are temporarily managed as hazardous waste; once the project is put into operation, appropriate disposal or recycling measures will be taken based on the results of their property assessment. Temporary storage sites for hazardous waste shall comply with the \"Pollution Control Standards for the Storage of Hazardous Waste\" (GB18597-2001). Your company should accelerate the construction of the hazardous waste treatment center at the Zuo Yun Coal Chemical Industry Base to ensure it is implemented simultaneously with that project. (IV) Effective environmental protection measures should be taken for abnormal operating conditions to prevent serious impacts on air quality. During abnormal operating conditions such as starting, stopping, and maintenance, the exhaust gases are sent to the flare system for treatment. In the subsequent design and operation phase, your company must optimize the flare tip design to ensure a burnout rate of no less than 98%. Optimize the process route and design scheme, and take necessary coal blending measures to improve the stability of the raw coal quality. Online monitoring records the operating status of ignition facilities and flares, and facilitates early warning management. Improve the quality of maintenance and repair, and reduce the frequency of startups and shutdowns. Strengthen the operational management of sulfur recovery units to prevent large amounts of acidic waste gas from entering the flare for combustion in case of unit malfunctions. Under abnormal operating conditions, wastewater is temporarily stored in the production wastewater buffer tank and the concentrated brine buffer tank. When the water storage volume approaches the tank capacity, all gasifiers in the plant are shut down. The temporarily stored wastewater is sent to a wastewater treatment plant for treatment; after meeting the requirements of the \"Quality Standards for Recycled Water Used in Circulating Cooling Water\" (HG/T3923-2007), it is utilized in various ways. The gasification furnace can be restarted only after half of the capacity of the production wastewater buffer tank is freed up. (5) Effectively implement measures to prevent and control groundwater pollution. In strict accordance with the requirements of the \"Technical Code for Seepage Control in Petrochemical Engineering\" (GB/T50934-2013), seepage control measures are implemented in a zoned manner for the key pollution control areas and general pollution control areas within the plant site. The ash dump is constructed and lined in strict accordance with the requirements of the \"Pollution Control Standards for Landfills of General Industrial Solid Wastes\" (GB18599-2001). Set up groundwater monitoring wells, establish a comprehensive groundwater monitoring system, strengthen the monitoring of groundwater quality in the factory area and around the ash dump sites, and take strict measures to prevent groundwater pollution. (VI) Implement various environmental risk prevention measures to effectively prevent environmental risks. Strengthen the management of the storage, transportation, and use of chemical raw materials and hazardous substances; install automatic monitoring, alarm, emergency shutoff, and emergency shutdown systems in accordance with standards, as well as systems for dealing with accidents such as fires, explosions, and poisonings. A three-level prevention and control system is established, centered on cofferdams and fire dikes in the equipment area, rainwater monitoring and collection tanks, as well as emergency accident ponds, to ensure that waste water from accidents does not escape the facility. Wastewater temporary storage facilities and accident prevention and control facilities at the third level should be designed and constructed separately, with care taken to ensure that they are not used together in normal conditions. Optimize the collection and transportation routes for accident-related wastewater, strictly manage the construction of rainwater and sewage pipelines, and prevent accident-related wastewater from entering the rainwater collection system. Formulate emergency response plans for environmental risks and coordinate with chemical industrial parks and local authorities for emergency response; specify details regarding emergency evacuation procedures and regularly conduct drills for handling environmental risks associated with accidents. (7) Strengthen the prevention and control of noise pollution. Priority should be given to using low-noise equipment, and noise reduction measures such as sound insulation and vibration damping should be employed to ensure that the noise level at the factory boundary meets the Class 3 standards specified in the \"Emission Standards for Environmental Noise at the Boundaries of Industrial Enterprises\" (GB12348-2008). (8) Strengthen environmental protection management during the project construction period, and make reasonable arrangements for the construction schedule and timing. Proper treatment and disposal of wastewater and solid waste during the construction period are necessary to prevent these substances from having an adverse impact on the surrounding environment. To prevent construction noise from disturbing residents, the requirements of the \"Standards for Environmental Noise Emissions at Construction Sites\" (GB12523-2011) must be strictly followed. (IX) Strictly control the emission of pollutants specific to this project, and establish an environmental monitoring system that covers both such specific pollutants and conventional pollutants. Set up standardized pollutant discharge outlets and solid waste disposal sites in accordance with ** and relevant local regulations, and install signboards. Install an online monitoring system for rainwater and exhaust gas pollutants at the plant site, and connect it to the environmental protection authorities. Permanents monitoring ports shall be provided on exhaust stacks in accordance with regulatory requirements. (10) During the construction and operation of the project, environmental information should be released regularly, a smooth platform for public participation should be established, communication with the local community should be strengthened, social oversight should be actively accepted, and environmental issues that cause concern among the public should be resolved promptly to meet their legitimate environmental demands. III. Your company should assist the people’s governments at all local levels and relevant departments in carrying out their tasks. (1) The Zouyun County government, through documents No. 30, 40, and 48 issued in 2015, pledged to shut down 12 enterprises before the project began operation, and Document No. 31 issued in 2015 outlined a plan to ensure access to drinking water for residents living in the area surrounding the project site. Your company should cooperate with local authorities to carry out the relevant work. (II) Datong City ** and Zuoyun County ** respectively outlined the relocation plan for the residents of the Zuoyun Coal Chemical Industry Base in documents Tong Zheng Han [2015] No. 14 and Zuo Zheng Han [2015] No. 22. Your company should cooperate with the local authorities to carry out the relocation of residents in the base. The project shall not be put into operation until the relocation of residents within the health protection distance is completed. (III) Cooperate with local ** and environmental protection authorities to establish a comprehensive environmental monitoring and surveillance system for the industrial zone. Pay attention to the long-term cumulative impact on the environment of toxic and harmful pollutants, persistent organic pollutants, etc., as well as the trends in regional environmental quality, and assist local authorities and environmental protection departments in carrying out monitoring and surveillance of key pollution factors. IV. Project construction must strictly implement the environmental protection \"three simultaneities\" policy, which requires that environmental protection facilities be designed, constructed, and put into use simultaneously with the main project, so as to ensure that all relevant environmental protection measures are carried out. Carry out environmental supervision during the construction period, and submit environmental supervision reports to the local environmental protection authorities on a regular basis. After the project is put into operation, a post-evaluation of its environmental impact shall be conducted within 3 to 5 years in accordance with the \"Administrative Measures for Post-Evaluation of Environmental Impact of Construction Projects (Trial)\”. V. Once the environmental impact assessment report is approved, if there are significant changes in the nature, scale, location of the project, or in the measures taken to prevent pollution and ecological damage, the environmental impact assessment report must be submitted for approval again. Starting from the date of approval of the environmental impact assessment document, if it takes more than 5 years before construction begins, the environmental impact assessment report must be submitted to our department for re-examination. VI. Our department has entrusted the North China Environmental Protection Inspection Center and the Shanxi Provincial Department of Environmental Protection to carry out the supervision and inspection related to the \"three simultaneities\" requirement for this project, as well as its overall supervision and management. VII. Within 20 working days after receiving this approval, your company shall send copies of the approved Environmental Impact Report to the North China Environmental Protection Supervision Center of our Ministry, the Shanxi Provincial Department of Ecology and Environment, the Datong Municipal Bureau of Ecology and Environment, and the Zuoyun County Bureau of Ecology and Environment. Additionally, it must comply with the regulations regarding routine supervision and inspections by environmental protection authorities at all levels. Ministry of Environmental Protection March 4, 2016 CC: **Commission for Development and Reform, Shanxi Provincial Department of Environmental Protection, People’s Government of Datong City**, Datong City Environmental Protection Bureau, People’s Government of Zuo Yun County, Zuo Yun County Environmental Protection Bureau, CNOOC Environmental Services (Tianjin) Co., Ltd., North China Environmental Inspection Center of the Ministry of Environmental Protection, and Environmental Engineering Assessment Center. Issued by the General Office of the Ministry of Environmental Protection on March 7, 2016