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China Energy starts production at 400,000 T coal-to-ethylene glycol project

China Energy Group, the country’s biggest coal miner, said it had started production at its 400,000-tonne coal-to-ethylene glycol project in Yulin city in northern province Shaanxi.

It is part of a 121.6 billion yuan ($19.03 billion) coal intensive processing pilot project in the region, involving a coal mine with 13 million tonnes per annum capacity, a 700 megawatts power plant and 23 chemical equipments, the company said in a statement issued late Tuesday.

China has been striving to modernise its dirty coal mining industry by encouraging firms to extend industrial chain to produce sophisticated chemical products.

Some of the feedstock of the coal-to-ethylene glycol project will come from an already launched 1.8 million tonne per annum coal-to-methanol in the pilot project, the firm said.

“Comparing to other coal-to-ethylene glycol project in same size, the Yulin project has 20% lower production cost,” China Energy Group said.
Source: Reuters (Reporting by Muyu Xu and Dominique Patton; Editing by Rashmi Aich)

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