The project in Ordos, Inner Mongolia, will include 450MW of wind power and 270MW of solar power generation for electrolysis, to produce 30,000 tonnes per year of green hydrogen. Plans also include a hydrogen storage capacity of 288,000m3.
It is the first green hydrogen demonstration project in Inner Mongolia for Sinopec Star’s parent company Sinopec.
Sinopec is investing CNY 5.7 billion ($848 million) in the project. The company outlined a roadmap to achieve “clean and low-carbon energy production” at scale earlier this year, in line with its aim to reduce its own carbon emissions from 2030.
The Ordos project, where work began on 16 February, would take advantage of the “rich solar and wind resources” in the region to “further expand the green-hydrogen-producing capacity of China”.
The project will require electricity transmission networks and hydrogen and oxygen pipelines to transport the hydrogen and oxygen produced to the Ordos coal deep processing demonstration project.
Operated by Zhongtian Hechuang Energy, the Ordos coal-to-olefins project is a national petroleum substitution strategy demonstration project to convert methanol to olefins. The hydrogen and oxygen from the new electrolysis plant will be used to replace part of the coal-to-hydrogen production.
Previously known as China Petrochemical Corp, Sinopec is the world's largest refiner by volume and China's biggest geothermal developer.
Click here to subscribe to the green hydrogen bulletin to receive fortnightly dedicated news, analysis and comment straight to your inbox.
To submit a news, comment, case study or analysis idea for the green hydrogen bulletin, contact the editorial team.