07.04.2013 • News

Sinopec to Build China's Biggest Coal-to-gas Project

China's state energy giant Sinopec Group envisages investing 70 billion yuan ($11.3 billion) to build the country's largest coal-to-gas project in 8-10 years to meet a rising demand for natural gas, a newspaper said on Sunday.

Coal-to-gas production facilities in Zhundong in China's northwestern region of Xinjiang will have annual production capacity of 8 billion cubic metres of gas (bcm), the Xinjiang Daily said, citing Sinopec Xinjiang Energy Chemical, a unit of Sinopec Group, China's second biggest energy company.

Coal extracted from two mines in Zhundong will be used to feed coal-to-gas production facilities nearby, the daily said. The coal mines have annual production capacity of 15 million tons each.

The natural gas produced will be transmitted through Sinopec Group's 30 bcm/year pipeline stretching from Xinjiang to Guangdong province in south China to Zhejiang province in east China.

The Xinjiang-Guangdong-Zhejiang pipeline measuring 7,927 km (4,925 miles) gives Sinopec Group a substantial foothold in China's gas distribution market.

 

Free Virtual Event

Batteries and Hydrogen: Competitors or Partners?
CHEManager Spotlight

Batteries and Hydrogen: Competitors or Partners?

17 September 2026 | Reserve your spot to learn where solid-state batteries and green hydrogen are headed—and how leading teams are turning them into scalable energy storage solutions.

Interview

The UK Chemical Supply Chain
Trade and Competitiveness

The UK Chemical Supply Chain

The CBA, led by CEO Tim Doggett, is steering the UK chemical supply chain through trade uncertainty, sustainability pressures and logistics challenges, as he explains in this interview with CHEManager.

most read

Photo

VCI Welcomes US-EU Customs Deal

The German Chemical Industry Association (VCI) welcomes the fact that Ursula von der Leyen, President of the European Commission, and US President Donald Trump have averted the danger of a trade war for the time being.