Hainan-based Henghe selects SES technology for its coal gasification project
Hainan Dongfang Henghe Energy Development Company Ltd, based in Hainan Province of China, has selected Synthesis Energy Systems Inc for a large scale, CNY 10 billion (USD 1.6 billion) coal waste to synthetic natural gas project in Jiangxi Province of China.
The Jiangxi Province project will be designed to convert coal mining wastes into 2 billion normal cubic meters of SNG per year and is expected to be built in multiple phases.
Both companies have agreed to work together exclusively for this project over the next 12 months to complete commercial agreements for licensing SES' technology as well as equipment supply and service agreements. During this period, Henghe will manage development of the project including obtaining necessary government approvals.
SES provides technology, equipment and engineering services for the conversion of low rank, low cost coal and biomass feed stocks into energy and chemical products. Its strategy is to create value through providing technology and equipment in regions where low rank coals and biomass feedstocks can be profitably converted into high value products through its proprietary U-GAS® fluidized bed gasification technology, which SES licenses from the Gas Technology Institute.
Henghe is a limited liability company established in Dongfang City, Hainan Province, China, with registered capital of CNY 200 million. It has crude oil depot operations and international intermediary trade as its main business. Henghe maintains a variety of resources, social relations, upstream and downstream.
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