Chinese company Shanxi International Energy Group is poised to revolutionize the aviation industry with its ambitious project to produce green aviation fuel from wind-powered hydrogen.
The project, located in Jarud Banner, Inner Mongolia, entails the production of 350,000 tonnes per year of green aviation fuel. Utilizing wind power on an off-grid basis, the project aims to produce green hydrogen, which will then be combined with captured CO2 to synthesize e-kerosene chemically identical to fossil-based jet fuel.
The project will be executed in two phases, with the first phase involving the installation of 300MW of wind power, producing 100,000 tonnes of green kerosene annually. The second phase will scale up to 700MW, targeting an annual output of 250,000 tonnes. Both phases will incorporate vanadium flow batteries to mitigate fluctuations in wind turbine output, ensuring stable energy production.
While a final investment decision is anticipated this year, the project’s success hinges on various factors, including regulatory approvals, technological readiness, and market demand for green aviation fuel. The local administration’s optimistic forecast of annual tax revenue and sales revenue underscores the economic potential of the project but warrants cautious evaluation.
