According to a Bloomberg report on October 9, China's National Energy Investment Group (NEIG) announced that it will invest 170 billion yuan ($24 billion) to build a large-scale coal-to-liquid project in the Xinjiang region, with the aim of providing feedstock for petrochemical producers and helping to solve the problem of potential overcapacity in fossil fuels.

The project will reportedly utilize the world's rare oil-rich coal and abundant wind and solar energy resources in the Hami region, and will be constructed in accordance with the integrated model of “coal, oil, gas, chemical, heat, electricity and new energy”, with a view to building a national coal-to-liquids strategic base. The first phase of the project will focus on the clean and efficient utilization of coal and supporting new energy projects, and is expected to be completed and put into operation by the end of 2027.

Article Source：Bloomberg