China Begins Construction of 150MW Green Methanol Plant for Maritime Fuel Exports

Three Chinese state-owned entities have kicked off construction of the country’s first full-chain green methanol demonstration aimed at the shipping sector, with plans to export the fuel to international maritime markets.

Located in Lishu, Jilin Province, the project is jointly developed by Jilin Electric Power, Cosco Shipping, and Shanghai International Port Group, and is expected to produce 197,200 tonnes per year of green methanol by combining renewable hydrogen from 150MW of wind and solar-powered electrolysis with CO₂ sourced from biomass gasification.

“This [project] not only opens up the vast green energy market in maritime transportation for us, but also explores a new path of integrated development — one where renewable energy empowers traditional industries and agricultural resources contribute to the energy transition,” said Jilin Electric Power chairman Yang Yufeng.

The integrated facility will use waste straw to produce syngas and generate the CO₂ needed for methanol synthesis, while alkaline electrolysers will deliver green hydrogen in two phases—initially via 12x 1,000 Nm³ units and then with 16x 1,000 Nm³ units plus a single 2,000 Nm³ stack, totalling around 150MW.

Jilin Electric Power launched a tender for this equipment, with deliveries due before August 2026. The capital structure relies on 20% equity and 80% debt. The project has no publicly announced offtake agreements or CAPEX figures, but Cosco is expected to manage exports and/or serve as anchor customer. Despite Shanghai being 2,000km from Siping, its stated goal of dispensing 1 million tonnes per year of green marine fuels by 2030 could make it a key node in the supply chain.

The Lishu plant follows Jilin Electric Power’s recent certification under the EU’s Renewable Fuels of Non-Biological Origin (RFNBO) scheme for a separate green hydrogen-ammonia project in Da’an. According to the developer, the Lishu site will cut 300,000 tonnes of CO₂ annually and create over 500 local jobs, while providing “a replicable closed-loop solution” to decarbonise shipping. Project leaders emphasise that green methanol offers key advantages over ammonia or hydrogen gas due to its liquid form at ambient temperature and its compatibility with existing infrastructure.

“The core significance of the project is to open up the whole chain of ‘wind to alcohol’ and provide a replicable and replicable model for local strategies such as ‘green hydrogen +’,” a spokesperson said. Beyond its energy ambitions, the project is already drawing skilled chemical engineers back to Jilin from coastal provinces, reinforcing the northeast’s industrial revival strategy.

China Begins 150MW Green Methanol Plant for Maritime Fuel

China Begins 150MW Green Methanol Plant for Maritime Fuel - Fuelcellsworks