MHI, MC to Collaborate with Indonesia in Large-scale SNG Project Using Low Rank Coal

摘要

Mitsubishi Heavy Industries, Ltd. (MHI) and Mitsubishi Corporation (MC) have agreed with the Indonesian government to collaborate in a large-scale substitute natural gas (SNG) synthesis project utilizing Indonesia's abundant low rank coal (LRC) which is conducted by MHI/MC and Indonesian partners (government institution and private company), as a follow up of Indonesia-Japan Energy Round Table held in November 2010. A feasibility study has already gotten under way with support from the Indonesian and Japanese governments. MHI, MC and Indonesian partners plan to complete the feasibility study by March 2012, targeting inauguration of commercial operation at a new SNG synthesis plant in 2017.The project plans call for production of SNG at the new plant, to be built by MHI and Indonesian partners, through coal gasification using abundant LRC in Sumatra. Potential consumers of the gas are still being studied and will be determined after the feasibility study. The large amount of CO2 produced as a by-product of the plant's operation will be sequestered deep underground by a carbon capture and storage system. The project will also study partial use of the CO2 for enhanced oil recovery.