Foreign Media: China has increased the economic value of coal by 700% through coal-to-oil technology.
The world's largest coal-to-oil plant, constructed by China National Energy Group Ningxia Coal Industry Co., Ltd., was fully operational last month in the Ningxia Hui Autonomous Region. In 2025, it has processed 24 million tons of coal, accounting for one-quarter of the region’s annual total output.
This technology employs an indirect liquefaction process, converting coal into syngas, which is then used to produce high-value oil products such as rocket fuel and mechanical lubricants.
After the Strait of Hormuz in the Middle East was blocked due to U.S.-Israel military actions against Iran this year, international oil prices briefly surged past $100 per barrel. As a result, coal-to-oil has emerged as a highly economically viable alternative, significantly reducing China’s reliance on oil imports and reshaping the country’s energy structure characterized by "abundant coal, scarce oil, and limited gas."
Original article: toutiao.com/article/1874417445339148/
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