China: Decarbonization BASF to Develop Innovative Catalyst Solutions for Promoting Utilization of Marine Gas Resources

Source: Press release

BASF has entered into an agreement with China BlueChemical and Wuhuan Engineering to develop and supply innovative catalysts, special reactor design and related process technology that enable CO2 direct utilization via reforming and synthesis gas to chemicals. The deal focuses on the utilization of marine gas with a high CO2 content and will help to reduce carbon footprint via improved process efficiency and carbon efficiency.

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Signing ceremony of the joint development agreement by BASF, China BlueChemical and Wuhuan Engineering.
Signing ceremony of the joint development agreement by BASF, China BlueChemical and Wuhuan Engineering.
(Source: BASF)

Ludwigshafen, Germany – BASF has signed a joint development agreement with China BlueChemical and Wuhuan Engineering to promote low-carbon development and utilization of marine gas resources. In the Dongfang Industrial Park of Hainan Province, China BlueChemical extracts large quantities of such offshore natural gas (marine gas) from gas fields in the South China Sea.

Marine gas, unlike the commercial natural gas, contains high concentrations of CO2. The gas needs CO2 removal to be usable for downstream large-scale applications. The process of separating CO2 from natural gas not only increases energy consumption, but also contributes to yield loss and direct carbon emissions. These issues limit the systematic development and utilization of natural gas with high CO2 content.

BASF will leverage its extensive expertise in catalyst development and will collaborate with the two companies to solve these challenges. Through technical innovation in reforming catalysts, special reactor design and related process technology development, BASF’s solution will improve process energy efficiency and carbon efficiency beyond existing commercial catalyst and process technology. The partnerships will promote lower-carbon development and utilization of marine gas resources, and ultimately achieve an economically competitive and environmentally friendly commercial process.

“Combining the advantages of our oil and gas development capacity in the South China Sea and BASF’s expertise in catalyst technology, we hope to seize the opportunity to establish a good strategic partnership for cooperative development of green and low-carbon footprint using marine gas,” said Wang Weimin, Chairman of China BlueChemical.

“With our superior process research and development as well as engineering practice capabilities, Wuhuan will complete the design and research tasks with guaranteed quality. Through our joint efforts, we can effectively resolve the challenges of CO2 rich oil and gas exploitation and large-scale resources utilization of CO2,” said Cheng Lachun, Chairman of China Wuhuan Engineering.

“With our product development, scale up and production capabilities, BASF’s catalysts can significantly contribute to the improvement of the process energy efficiency and carbon efficiency for marine natural gas utilization. Through our joint efforts, we aim to develop a commercially viable process for utilizing marine gas with a substantially reduced CO2 footprint. We consider it an important step towards realizing our mutual target of carbon neutrality at economically competitive conditions,” said Dr. Detlef Ruff, Senior Vice President Process Catalysts at BASF.

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