China Chengda Signs EPC Deal for China's Largest Single-Train 500,000-tpa Green Methanol Project

China National Chemical Engineering Chengda Co., Ltd. (China Chengda) has signed an EPC agreement for the Zhangye Dawei Green Methanol Demonstration Project, marking the official launch of China's largest single-train green methanol project integrating metallurgical off-gas with green hydrogen. The signing ceremony and project kick-off meeting were held on July 20 at the company's headquarters.

Located in the Circular Economy Demonstration Park of the Zhangye Economic and Technological Development Zone in Gansu Province, the project is one of the province's key new energy initiatives. It will employ China Chengda's proprietary low-pressure methanol synthesis technology and construct large-scale water electrolysis facilities to produce green hydrogen using locally available wind and solar power. The hydrogen will then be combined with purified metallurgical off-gas to produce green methanol. Once completed, the facility will have an annual production capacity of 500,000 tonnes of green methanol.

The project is designed to enable the high-value utilization of industrial off-gas while significantly reducing carbon emissions through the integration of renewable energy and chemical production. It also reflects China Chengda's continued expansion in low-carbon chemical technologies and renewable energy applications.

Speaking at the ceremony, Xu Gang said China Chengda has built strong technological capabilities and extensive project execution experience in green chemicals and renewable energy. He added that the company will leverage its integrated engineering, procurement and construction (EPC) capabilities to ensure high-quality project delivery and develop the project into a flagship example of advanced, low-carbon methanol production.

Yi Jiangping highlighted China Chengda's expertise in methanol synthesis technology and engineering implementation, expressing confidence that the cooperation would accelerate the integration of renewable energy and chemical technologies while supporting the development of regional green industries.

Following the signing ceremony, project teams from both parties held a kick-off meeting to discuss system integration between renewable energy, metallurgy and chemical production, as well as process design, engineering milestones and construction execution plans. The meeting established the next-phase objectives and coordination mechanisms to support efficient project implementation.