According to information published on Sinopec's website, in 2023, fossil energy consumption accounted for 82% of China's energy consumption, of which coal accounted for 55%, oil accounted for 18.8% and natural gas accounted for 8.6%.

China is already the second largest oil consumer and the third largest natural gas consumer in the world, and its dependence on oil and natural gas from external sources is relatively high, and is showing an upward trend year by year, reaching 73.6% and 39.9% respectively in 2023.

In addition, China is actively developing coal-to-natural gas technology. In 2023, China's natural gas production was about 232 billion cubic meters and consumption was about 382 billion cubic meters. It is expected that by 2025, China's natural gas production will reach 271 billion cubic meters, consumption will reach 450 billion cubic meters, and the gap between domestic production and consumption will widen further. Due to geopolitical factors, there is some uncertainty in the supply of natural gas abroad, and it is urgent to develop domestic coal-to-natural gas as an effective resource supplement.