Coal
Production of chemicals

Chemicals have been produced from coal since the 1950s. Coal can be used as a feedstock in the production of a wide range of chemical fertilizers and other chemical products. The main route to these products was coal gasification to produce syngas. Primary chemicals that are produced directly from the syngas include methanol, hydrogen, and carbon monoxide, which are the chemical building blocks from which a whole spectrum of derivative chemicals are manufactured, including olefins, acetic acid, formaldehyde, ammonia, urea, and others. The versatility of syngas as a precursor to primary chemicals and high-value derivative products provides the option of using coal to produce a wide range of commodities. In the 21st century, however, the use of coal bed methane is becoming more important.

Because the slate of chemical products that can be made via coal gasification can in general also use feedstocks derived from natural gas and petroleum, the chemical industry tends to use whatever feedstocks are most cost-effective. Therefore, interest in using coal tended to increase for higher oil and natural gas prices and during periods of high global economic growth that might have strained oil and gas production.

Coal to chemical processes require substantial quantities of water. Much coal to chemical production is in China where coal dependent provinces such as Shanxi are struggling to control its pollution.
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