Hulunbeier plans coal-to-gas project in Inner Mongolia: contractor

23 October 2013 19:07  [Source: ICIS news]

HOUSTON (ICIS)--China’s natural gas firm Hulunbeier Tianfu Energy plans to build a 1bn cubic metre/year coal-based city gas project at Hulunbeier in the country’s Inner Mongolia region, US technology firm Synthesis Energy Systems (SES) said on Wednesday.

SES, which signed a memorandum of understanding to provide its gasification technology to the yuan (CNY) 3.45bn ($566m, €413m) project, said that the Hulunbeier facility would be built in phases. A first 330m cubic metre/year phase could be completed within 18 months after construction starts.

Under the memorandum, SES and Hulunbeier Tianfu plan to work over the coming 12 months on completing the project’s technology licensing, equipment supply and technical service agreements.

SES added that Hulunbeier Tianfu already completed a feasibility study and an environmental impact assessment based on using SES' gasification technology and that it received project approvals from Chinese authorities.

“The project will promote the development and clean utilisation of lignite, resolve the tight natural gas supply in Hulunbeier, and extend the industrial chain and added value from lignite, while also maximising the benefit and the value from the lignite resources of Hulunbeier," said Xu Zhenzhong, Hulunbeier Tianfu’s project leader.

Houston-based SES provides technology, equipment, engineering and technical services for the conversion of coal and biomass feedstocks into energy and chemical products. Last week, SES agreed a deal to supply its technology to a planned 600,000 tonne/year coal-based glycol facility in Inner Mongolia.

($1 = €0.73, $1 = CNY6.1)

By: Stefan Baumgarten
+1 713 525 2653

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