China’s Ili Xintian to start up coal-to-gas project in H1 2014

18 April 2013 04:51  [Source: ICIS news]

SINGAPORE (ICIS)--China’s Ili Xintian Coal Chemical plans to start up a 2 billion cubic metre (bcm)/year coal-to-gas project at Ili in Xinjiang Uygur autonomous region in the first half of 2014, a company source said on Thursday.

The company has been working on the project since 2009 and has recently obtained approval from the National Development and Reform Commission (NDRC), China’s energy watchdog, the source said.

The project will mainly process feedstock coal supplied from the company’s coal mines in Ili Valley in Xinjiang, and water will be delivered from the Yimin River, the source said.

“We also plan to build a second-phase project with a production capacity of 8bcm/year at the same site, but the timeline is not finalised,” the source said.

Natural gas produced by the project will all be sold to PetroChina, which will then distribute the outputs to cities along its West-East gas pipelines, added the source.

PetroChina is China’s top gas producer and pipeline operator.

Ili Xintian Coal Chemical, a subsidiary of Shandong Energy Xinwen Mining Group, focuses on coal-to-gas projects.

By: Jane Han

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