China launches most advanced direct liquefaction coal to fuel liquefaction project in Xinjiang

(ECNS) -- Application of China's independently developed second-generation direct liquefaction coal to liquid fuel (CTL) technology officially commenced on Tuesday in Hami, Xinjiang Uyghur Autonomous Region, according to the State Energy Group.

This is currently the most advanced and largest-scale coal direct liquefaction project in China. Once operational, it is expected to produce 4 million metric tons of liquefied coal products annually, including 3.2 million from direct coal liquefaction and 800,000 from indirect liquefaction.

Globally, there are two methods for coal liquefaction: direct and indirect. In 2008, the world’s first million-ton coal direct liquefaction commercial plant came online in Ordos, Inner Mongolia Autonomous Region, making China the only country to operate such a facility.

This key technology will now be applied to the 4-million-metric-ton annual coal liquefaction project under construction.

Zhou Xin, project site manager from Hami Energy and Chemical Company of the State Energy Group, mentioned that the first phase of the project is expected to be completed and operational by the end of 2027.

Once done, it will create 5,500 direct jobs, nearly 30,000 indirect jobs, and generate an annual industrial added value of 31.4 billion yuan(about $4.4 billion), significantly enhancing the region's industrial incubation capacity.