Construction is now underway on a $584 million green hydrogen and methanol project in Shuangyashan, Heilongjiang Province. Designed to produce 119,000 tonnes of e-methanol annually, this initiative will combine wind-powered electrolysis with CO₂ sourced from biomass fermentation. This advanced integration of renewable technologies marks a major step toward China’s clean energy transformation and demonstrates its commitment to decarbonising both industry and transport sectors.
Strategic Collaboration Driving Progress
The project is the result of a strategic agreement formed in May 2024 between Jixian County, China State Shipbuilding Corporation (CSSC), CSSC Haizhuang Wind Power, and Sichuan Hongzhan Industrial Group. By harnessing wind power from CSSC’s renewable energy and shared storage assets, the facility will produce green hydrogen through electrolysis. This hydrogen will then be synthesized with carbon dioxide from Sichuan Hongzhan’s biomass fermentation operations, resulting in a sustainable source of e-methanol. Together, these partners aim to make green fuels more accessible while fostering local industrial revitalization.
Transforming Industry and Cutting Emissions
Key infrastructure components of the project include electrolysis hydrogen production units, methanol synthesis reactors, and distillation facilities, all co-located to form a streamlined green fuel production chain. Once operational, the plant is projected to reduce carbon emissions by 140,000 tonnes per year. In addition to its environmental impact, the project is expected to create jobs, enhance technical capabilities in the region, and contribute to economic growth. A provincial policy introduced in October 2024 will further support methanol vehicle adoption by offering up to $1.4 million in development incentives.
A Forgotten Coal Hub Turns Green
Interestingly, Shuangyashan was once known primarily for its coal mining legacy. For decades, the city played a central role in China’s fossil fuel economy. However, as demand for coal dwindled and the need for clean energy rose, local leaders saw an opportunity to repurpose the region’s industrial base. The same infrastructure that once powered coal now supports a green energy revolution. The groundbreaking green hydrogen-to-methanol project stands as a symbol of Shuangyashan’s rebirth, transitioning from carbon-heavy roots to a cleaner, more innovative future. It’s not just a construction milestone, but a turning point in China’s sustainable development story.
Also Read FEED Study for ScottishPower’s Whitelee Green Hydrogen Project in UK Complete
Project Overview
Project Name: Jixian Wind-Hydrogen-Storage-Alcohol Integrated Project
Location: Shuangyashan, Heilongjiang Province, China
Total Investment: ¥4.2 billion (approx. $584 million)
Expected Output: 119,000 tonnes of green methanol annually
Key Technology: Wind-powered electrolysis + biomass-derived CO₂ for methanol synthesis
Main Partners: CSSC, CSSC Haizhuang Wind Power, Sichuan Hongzhan Industrial Group
Infrastructure: Electrolysis units, synthesis reactors, distillation facilities
CO₂ Emissions Cut: Approx. 140,000 tonnes per year
Jobs & Local Impact: Promotes employment and industrial revitalization in former coal region
Strategic Goal: Support China’s dual-carbon goals and national hydrogen economy development
