$1.06 Billion Low-Carbon Integrated Project Breaks Ground in Xinjiang, with Phase 1 Due for Completion in November 2026

Construction has begun on the Xinjiang Haoyuan Chemical photovoltaic hydrogen production and clean resource utilization project, a low-carbon integrated development in Beitai Circular Economy Industrial Park, Jimsar County, Changji Hui Autonomous Prefecture, Xinjiang, according to an October 27 announcement by the China Association of Chemical Engineering Construction (CACEC).

The project is being undertaken by the Third Construction and Installation Engineering Company of China National Chemical Engineering Third Construction Co., Ltd.

With a total investment of approximately $1.06 billion, the project will leverage local coal and solar resources to produce green hydrogen, methanol, synthetic ammonia and high-nitrogen water-soluble compound fertilizers, among other products.

The project will be developed in three phases. Phase 1 includes a synthetic ammonia production unit with an annual capacity of 400,000 tonnes, a high-nitrogen water-soluble compound fertilizer plant with an annual capacity of 500,000 tonnes, and a water electrolysis hydrogen production unit with an annual capacity of 20,000 tonnes. Phase 1 is scheduled for completion in November 2026.

Other products associated with the project include liquid ammonia, food-grade carbon dioxide, melamine and diesel exhaust fluid.

Coal-Based Chemical Production Coupled with Green Hydrogen

The project’s production process uses coal as the primary feedstock. Coal gasification produces crude gas, which is then purified to obtain refined gas. This gas is combined with green hydrogen and nitrogen to produce synthesis gas for the ammonia synthesis unit, which manufactures liquid ammonia.

The liquid ammonia is then combined with carbon dioxide recovered during the purification process to produce a urea solution. The solution is further processed to manufacture high-nitrogen water-soluble compound fertilizers, diesel exhaust fluid and melamine.

Separately, green hydrogen reacts with carbon dioxide to produce green methanol.

The Third Construction and Installation Engineering Company of China National Chemical Engineering Third Construction Co., Ltd. is responsible for the civil engineering works for the coal gasification unit.