Synthesis Energy Systems Inc. (NASDAQ: SYMX) announced that methanol production has begun at the Yima Joint Venture plant.
As quoted in the press release:
Located in Henan Province, China, the state-of-the-art, $250 million coal-to-methanol facility uses SES’ patented and proprietary gasification technologies. It has been constructed through a 75/25 percent owned joint venture between Yima Coal Industry Group Co. Ltd., a large, integrated Chinese coal company, and SES, respectively. When it reaches full capacity later this year, the plant is expected to cleanly convert some 2,400 tonnes per day of high ash Yima coal into 300,000 tonnes per year of refined methanol. There is a large and growing market for refined methanol in China as the demand for non-traditional utilization of methanol for production of olefins and transportation fuels is rapidly increasing in the country.
SES’s President and CEO, Robert Rigdon, said:
This project represents a significant accomplishment for SES and is expected to generate meaningful cash flows for the Company. We expect the Yima Joint Venture to quickly ramp up methanol production rates and sales this year in order to achieve sustainable full capacity production levels.