Wedoany.com Report-Nov 6,  Sinopec Star Co., Ltd., a clean energy subsidiary of China Petroleum & Chemical Corporation (HKG: 0386, "Sinopec"), has received the grid access permit for its medium and deep geothermal power generation pilot project (the "Project") in Xianyang, Shaanxi Province, which is officially connected to the grid to produce power.

Sinopec’s First Geothermal Power Production Pilot Project Connects to Grid.The Project, which is now connected to the grid and generating power, marks Sinopec's first foray into geothermal electricity production and represents China's inaugural pilot of thermoelectric helium integration—a significant stride toward enhancing the utilization of geothermal resources and optimizing the nation's energy mix.

Located in Xianyang in the Guanzhong region, where there is a large medium-low temperature sedimentary basin-type geothermal field known for large scale, high temperature, and superior water quality, the project has selected a geothermal well in Baoshi Jiayuan community with a depth of 3,000 meters and wellhead water temperature of around 102 degrees Celsius.

During the heating season, the project extracts geothermal water for heating and simultaneous helium extraction for low-load power generation. In the non-heating season, it operates at full load for continuous power generation, also extracting helium. The facility heats an area of 120,000 square meters and generates 700,000 kWh annually.

Sinopec Star has tackled the core technologies to extract the "golden gas" – helium - in geothermal wells, which is of great strategic importance and widely applied in numerous fields, including aerospace, R&D, healthcare, and industrial productions. As a major manufacturing country, China has a high demand for helium, but has long relied heavily on imports. Helium is mainly extracted from natural gas, coal bed methane, and by-products of air separation units that contain helium.