Synthesis Energy obtains approvals for expansion
of Hai Hua gasification project
Synthesis Energy Systems, Inc. (SES) announced that
its 95 percent-owned joint venture project with
Shandong Hai Hua Coal & Chemical Company Ltd.
(SHHCCC) obtained key government approvals for the
expansion (Phase II) of its existing Hai Hua project
in Zaozhuang City, Shandong Province, China.
The Phase II expansion will result in additional
production capacity of approximately 17,000 standard
cubic meters per hour (scm/hr) (a 15 MW equivalent)
of high-grade syngas at this site. After completion
of the expansion, the plant will have a design capacity
of approximately 45,000 scm/hr (a 40 MW equivalent).
The project approvals were issued by divisions of
the State Environmental Protection Administration
and the National Development and Reform Commission.
With a workforce of over 150 employees, the Hai
Hua Plant is utilizing SES’ global, exclusively
licensed U-GAS technology to convert local low-rank
coal, with approximately 40 percent ash content,
into high-grade syngas.
The additional capacity from the Phase II expansion
is expected to support approximately 100,000 tons/year
of methanol production as well as other gas demands
in the Xuecheng Industrial Park. SES is currently
negotiating agreements, including ownership in the
methanol facility, with SHHCCC as well as other
customers for the additional syngas capacity. SES
expects to finalize project terms and begin work
on the Phase II expansion later this year.