August 15, 2007 -- Hofung Technology has announced the signing of a contract with Shenhua Ningxia Coal Group and Hualu Engineering and Technology to supply them with a Euroclaus sulfur recovery unit. The company has also signed a contract with Shandong Tengzhou Phoenix Fertilizer Company to supply SuperClaus sulfur recovery technology as well as critical equipment and catalysts.

"As a result of these two events, Hofung Technology is establishing an ever stronger position in China's chemical industry," Zhong Ling, account manager for the sulfur recovery technology projects at Hofung Technology, told Emerging China.

The sulfur recovery technology is supplied by Jacobs Engineering Group. They claim that the EuroClaus process, their own patented technology, can reach a sulfur recovery rate of 99.2 percent.

Shenhua Ninxia has ordered a sulfur recovery unit, which can process 40 tons per day, for its coal dimethyl-ether facility in Lingwu, Ningxia; and Shandong Tengzhou Fertilizer Company will use its sulfur recovery unit in its Shandong-based coal-to-synthetic-ammonia plant.

"The two projects are similar, but the SuperClaus sulfur recovery technology we offered to Shandong Tengzhou Phoenix Fertilizer Company is more efficient. The capacity of the sulfur recovery unit is up to 67 tons per day," said Zhong.

"We have had an established partnership with Jacobs Engineering Group for many years," Zhong said. "The Ningxia Sulfur Recovery project is the first application of the EuroClaus process in Chinese coal chemical industry."

"We are pleased to continue our long-standing relationship with Hofung Technology and to provide its clients with state-of-the-art clean fuel technology. These projects expand the contributions that our two firms make to China's dynamic hydrocarbon industry," said Andy Kremer, Jacobs Group vice president, in a statement.

"In recent years, the coal chemical industry has been developed rapidly thanks to the policies of China's government. We expect to play a role in environmental protection which is a hot question in China" Zhong said.

Even if the sulfur recovery technology will help to protect the environment, Greenpeace China still thinks it is not enough.

"It is better than nothing: 70 percent of primary energy comes from coal in China. The environmental problem is becoming more and more important," Shuang Liu, of Greenpeace China's clean energy department, told Emerging China. "We should not only purchase the advanced technology to reduce the pollution, but also keep an eye on making sure the operation of the new technology efficient and constant." Liu also points out that it is important that sulfur recovery is properly monitored and supervised.