Hebi Coal Mine Methane Power Generation Project Hebi Coal Industry Company Hebi Coal Mining Area, Henan, China OVERVIEW OF PROJECT OPPORTUNITY: Located in Hebi Coal Mining Area, in China’s central Henan Province, the project will reduce emissions by using gas, originally vented to the atmosphere, to generate electricity. The project is expected to reduce emissions by up to 300,000 tonnes CO2e each year. This project offers an excellent opportunity for investors. Hebi Coal Mining Area’s seams have a high gas content. The absolute gas emissions are 310.36 m3/minute and the relative gas emissions average 26.51 m3/tonne. The gas content of the coal averages 15.2 m3/t and the coefficient of permeability in seams is 1.2–1.8 m2/Mpa2·d. Gas is extracted from the coal seams that are mined in Hebi with difficulty. Currently, Hebi Coal Mining Area has installed underground and surface gas extraction stations in eight pairs of high- gas mines; the volume of gas extracted was 47.657 Mm3 in 2006. Some of the extracted gas has been used as fuel for power generation and residential consumption; however, gas emitted during mining operations is vented directly from the mine shaft to the atmosphere. The production capacity of Hebi Coal Mining Area will expand in the future. Hebi will make further efforts to extract gas, increasing the efficiency and capacity of the available extraction systems. These actions will improve worker safety and reduce greenhouse gas emissions. To fully utilize the gas extracted and achieve energy conservation and emission reduction, Hebi Coal Mining Area is planning to establish more gas power generation projects. It is planned that 22 gensets of 500 kW will be installed in Hebi Coal Mining Area in the next two years, with total installed capacity reaching 11 MW through an anticipated investment of $7,330,000 USD. MINE INFORMATION • Status / Type of mine: Active / Underground • Number of coal seams mined: Double seams • Mining Method: Longwall • Gas Content: High SITE DETAILS • Condition of roads in area: Paved • Distance to nearest airport: ~200 kilometers to Zhengzhou airport • Additional project needs: funding for power generation equipment and other needs PROJECT DETAILS • Potential type of project: Gas abatement and power generation • Power generation: total capacity 11 MW using 22 Internal combustion engines 500-kilowatts each • Industrial use: power generation for local consumption MINE CHARACTERISTICS Annual Coal Production and Methane Liberated COAL PRODUCTION 600 at Coal Mines in Hebi 20 Hebi Mine 18 Date mine started First started mining in 2000 500 16 Annual Coal Production working Annual Volume of Methane Liberated 14 Million tonnes coal 400 Million m CH4 12 Actual coal production 6,330,000 tonnes 3 in 2006 300 10 8 Proposed plans for In 2007 longwall coal extraction 200 6 Expansions will increase by 1.67 million 4 tonnes and an additional 4 100 million tonnes in 2008 2 0 ‐ 2002 2003 2004 2005 2006 2007 2008 2009 2010 YEAR METHANE EMISSIONS ESTIMATED EMISSIONS REDUCTIONS • Total volume of ventilation air released from mine: 310.36 m3/min The following estimated emissions will recovered and • Volume of pure methane in ventilation air: 310.36m3/min used by the proposed project over the life of the • Average methane concentration in ventilation air: 0.36% project: • Fluctuation of methane concentration: 0.35% - 0.41% • Total volume of gas drained: 47.657Mm3 in 2006 28 - 52 M m3 methane per year / 166.5 M m3 methane • Coal permeability: 1.2-1.8m2/Mpa2·d cumulative 3 - 6 MTCO2e per year (2007) / 18 MTCO2e cumulative • Coal in situ gas content: 15.2m3/ton Methane Emissions Expressed as CO2e Methane Available for Use at 7.0 Coal Mines in Hebi Methane Available for Use at 6.0 Coal Mines in Hebi 450 450 400 5.0 400 Total Tons of CO2e Emitted (Drained & Vented) Million Tonnes CO e 2 Unused Methane Drained & Emitted as CO2e 350 Vented Methane ‐ Unused 350 CMM Project Emissions Avoided as CO2e 300 4.0 Million m3 CH 4 Drained Methane ‐ Unused Vented Methane ‐ Unused 250 300 Million m3 CH 4 Drained Methane ‐ Unused 200 3.0 250 150 100 200 2.0 50 ‐ 150 1.0 2002 2003 2004 2005 2006 2007 2008 2009 2010 YEAR 100 0.0 50 2002 2003 2004 2005 2006 2007 2008 2009 2010 YEAR ‐ 2002 2003 2004 2005 2006 2007 2008 2009 2010 YEAR PROJECT FINANCE NEEDS • Funding • Equipment costs: 22 500-kW reciprocating engines and support infrastructure • Estimated total capital investment costs: $7.3 million USD SOCIO-ECONOMIC IMPACTS OF THE PROJECT • The project will provide social benefits by significantly improving the health and safety for workers and residences and by providing a new source of clean electricity, displacing coal-fired power. • The Henan region will benefit with an improved air quality by addressing greenhouse gas emission and reducing exhaust from mining activity, which is currently vented to the atmosphere. The project will not lead to the consumption of significant natural resources or to any increase in energy consumption because the pumping station has already been installed and drainage activities are part of the baseline. FOR MORE INFORMATION CONTACT: Liu Wenge China Coal Information Institute 35 Shoayaoju, Chaoyang District Beijing 100029, ACT Tel: 86-10-84657818 Fax: 86-10-846578 E-mail: firstname.lastname@example.org DISCLAIMER: The information and predictions contained within this poster are based on the data provided by the site owners and operators. The Methane to Markets Partnership cannot take responsibility for the accuracy of this data.
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