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Sinopec Green Energy
Geothermal at Scale - Creating a Cleaner Tomorrow
Sinopec Green Energy (SGE) was founded with a clear mission: to expand geothermal district heating in China. Since its inception, the company has broadened its focus to include a wider range of geothermal applications and integrated clean energy systems. A Sino-Foreign joint venture, SGE is majority-owned by Sinopec (54%) with Arctic Green Energy holding a 46% stake.
SGE began operations in Xianyang City, Shaanxi Province, and has since grown to operate across seven provinces, delivering services to major urban centers including Xiong’an, Beijing, Tianjin, Qingdao, Xi’an, and Taiyuan.
Today, SGE is the market leader in geothermal district heating and cooling in China. We serve over 3 million customers, supported by a network of more than 1,000 deep geothermal wells. Our systems provide clean, renewable heating and cooling over 115 million square meters of floor space—spanning residential buildings and key public and industrial facilities, as well as airports, railway stations, hospitals, and shopping malls.
With an average well depth of 2.2 kilometers and reservoir temperatures averaging 80°C, SGE’s technology harnesses geothermal heat as low as 55°C for efficient district heating and cooling. Our operations currently save around 6 million tonnes of CO₂ emissions annually. Once our existing concessions are fully developed, this figure will rise to more than 25 million tonnes per year.
Cities of the Future: Geothermal Heating in Xiong'an District China | IRENA
At Sinopec Green Energy, we are setting new global standards in geothermal development
Over 1000 geothermal wells successfully drilled, powering over 70+ cities with geothermal heating
Reduced over 25 million tons of CO2 emmisions to date
Consistently achieving some of the world’s lowest-cost geothermal drilling
Serving over 3 million customers across 8 Chinese provinces
Backed by Arctic Green Energy’s unmatched geothermal knowledge and Sinopec’s world-class operational capabilities, we are scaling geothermal energy worldwide—providing 24/7 sustainable solutions that decarbonize cities and secure energy independence.
Select Key Projects
Xiong’an New Area – A National Showcase
Once heavily polluted due to coal-fired heating in 2009, Xiong’an New Area has become China’s model for a clean, low-carbon future city.
Launched in 2017 as a national priority project, Xiong’an is designed to be a sustainable urban hub with a projected population of 6 million by 2030. From the outset, Sinopec Green Energy
and Arctic Green Energy have held exclusive rights to develop the city’s geothermal systems, replacing coal with clean, renewable geothermal energy.
Today, Xiong’an stands as a flagship project demonstrating how geothermal can drive large-scale urban decarbonization, improve air quality, and support China’s climate ambitions. It has been declared China’s first smog-free city, and today our systems supply 96% of the city’s heating needs with over 130 deep geothermal wells in operation. It stands as a foundational project for geothermal expansion throughout the Hebei Province.
Xiong’an High Speed Rail Massive Production, Transmission and Reinjection Project
Located in China’s Xiong’an New Area, this landmark geothermal project delivers clean, sustainable heating to the region’s high-speed rail hub using mid-to-deep geothermal resources.
Designed as a model for smart energy integration, the project features:
The project showcases the scalability of mid to deep geothermal energy in powering large-scale transportation infrastructure while significantly reducing emissions — setting a benchmark for sustainable urban development.
Xiong’an New Area Sci Tech Innovation Center
The Xiong’an Sci-Tech Innovation Center is a cutting-edge example of smart, integrated clean energy systems combining geothermal, solar, and energy storage technologies to deliver heating, cooling, and electricity.
Powered by 560 shallow geothermal wells and industrial-scale ground source heat pumps (GSHPs), the system provides:
The project achieves significant carbon savings, reducing the use of 39,400 tons of standard coal and cutting 93,900 tons of CO₂ emissions annually. It serves as a scalable model for future smart cities, showcasing how multiple renewable energy sources can work together to power innovative districts and industrial zones sustainably.
Dongli Geothermal + Waste Heat Clean Energy Heating
The Dongli project is a large-scale clean energy heating system that combines mid-to-deep geothermal energy with waste heat recovery from a garbage power plant, showcasing an innovative model for maximizing renewable and recycled energy sources.
With a total heating and cooling capacity of 5 million square meters, equivalent to 200 MW, the system provides efficient and sustainable heating to the city, significantly reducing reliance on fossil fuels.
Equipped with smart controls for real-time energy management, load balancing, and carbon footprint tracking, the project ensures optimal operational efficiency and environmental performance:
This integrated geothermal and waste heat project is a benchmark for clean energy innovation, offering a scalable solution for low-carbon urban heating while contributing to major emissions reductions and energy efficiency gains.
Xi’an Xianyang International Airport Phase III Geothermal Heating Project
This landmark project harnesses mid-to-deep geothermal energy to provide clean, efficient heating for China’s Xi’an Xianyang International Airport, one of the country’s busiest aviation hubs. With a heating capacity of 1.2 million square meters, equivalent to 48 MW, the system is designed to support the airport’s growing infrastructure while significantly reducing reliance on fossil fuels.
Equipped with smart energy controls, the system enables real-time energy management, load balancing, and carbon footprint tracking to maximize efficiency and sustainability:
This project demonstrates how geothermal energy can be seamlessly integrated into large-scale transportation infrastructure, supporting both operational needs and climate goals while setting a model for sustainable airport development.
Xi’an Guanzhong Basin Centralized Heating Project
The delivers large-scale, centralized heating through mid-to-deep geothermal resources, providing a clean, sustainable alternative to traditional fossil fuel-based systems.
With a total heating capacity of 2 million square meters, equivalent to 80 MW, the system supplies efficient and reliable heating to urban areas while reducing emissions and enhancing energy resilience. The project integrates smart energy controls for optimized load management, real-time energy monitoring, and carbon footprint tracking — ensuring operational efficiency and environmental impact:
This project stands as a model for scalable geothermal district heating systems, showcasing how geothermal energy can drive low-carbon urban development.
Yan’an University Xianyang Hospital Heating & Cooling Project
This project delivers clean, efficient heating and cooling to the Yan’an University Xianyang Hospital using shallow geothermal energy integrated with ground source heat pumps and chillers. With a total heating and cooling capacity of 28,100 square meters, equivalent to 1.12MW, the system ensures a reliable, year-round energy supply to maintain optimal indoor conditions for hospital operations.
The project incorporates smart controls for real-time energy monitoring, load management, and carbon footprint tracking, enhancing system efficiency and environmental performance:
This project demonstrates how shallow geothermal systems can support critical infrastructure like healthcare facilities with sustainable, low-carbon energy solutions.
Sinopec Star Office Complex Ground Source Heat Pump Project
This project provides energy-efficient heating and cooling for the Sinopec Star Office Complex using shallow geothermal systems integrated with ground source heat pumps. Covering 11,500 square meters with a capacity of 460 kW, the system ensures reliable year-round climate control while significantly reducing carbon emissions and energy consumption.
Advanced smart controls optimize energy network coordination, load management, and carbon footprint tracking, enhancing operational efficiency and environmental performance:
This project demonstrates how shallow geothermal solutions can support sustainable office complexes, delivering environmental benefits and energy cost savings in a scalable model for
corporate facilities.
Shaanxi Power, Heating and Lithium Extraction Integration Project
This innovative mid-to-deep geothermal project in Shaanxi integrates power generation, heating, helium extraction, and lithium recovery, showcasing the diverse applications of geothermal energy beyond traditional use. With a heating and cooling capacity of 300 kW, the project operates an Organic Rankine Cycle (ORC) unit to maximize energy recovery while enabling the extraction of valuable minerals and gases from geothermal resources.
Equipped with advanced smart controls for real-time energy management, network optimization, and carbon tracking, the project exemplifies efficient and sustainable resource utilization:
This project sets a new benchmark for geothermal resource integration, demonstrating how geothermal energy can power clean energy, industrial processes, and critical mineral supply chains simultaneously.
Sinopec Green Energy: A Key Driver of Sino-Icelandic Coorperation
During an official visit to Iceland, H.E. Jiang Zemin, President of the People’s Republic of China (1993–2003), was introduced to Iceland’s pioneering geothermal technology by H.E. Ólafur Ragnar Grímsson, President of Iceland (1996–2016), marking a historic moment of knowledge exchange that helped spark China’s interest in geothermal energy
In the presence of H.E. Ólafur Ragnar Grímsson, President of Iceland (1996–2006), Sinopec and Arctic Green Energy signed a landmark agreement to develop and utilize geothermal resources in Xianyang — marking the official launch of Sino-Icelandic geothermal cooperation.
In a ceremony witnessed by H.E. Wen Jiabao, former Premier of China, and H.E. Jóhanna Sigurðardóttir, former Prime Minister of Iceland, Sinopec and Arctic Green Energy signed a milestone agreement to expand the scale and scope of their geothermal cooperation — strengthening the foundation of Sino-Icelandic energy collaboration.
Witnessed by H.E. Li Keqiang, former Chinese Premier, Sinopec, Arctic Green and China Development Bank signed the Framework Agreement on Further Expanding Geothermal Resources Development and Operation.
H.E. Ólafur Ragnar Grímsson, former President of Iceland and Chairman of the Arctic Circle, attended the 10th anniversary celebration of Sinopec Green Energy in China, commemorating a decade of pioneering geothermal development and Sino-Icelandic collaboration.
During the World Geothermal Congress 2023 in Beijing, Sinopec Star, Arctic Green Energy, and Sinopec Green Energy co-hosted the China–Iceland Geothermal Technology Exchange Forum — an event highlighting international collaboration and innovation in geothermal development. H.E. Ólafur Ragnar Grímsson, former President of Iceland, was among the distinguished attendees.
At the World Geothermal Congress, Arctic Green Energy and Sinopec announced the global expansion of SGE, marking a new chapter in Sino–Icelandic cooperation. Already the world’s largest geothermal heating and cooling company, SGE is set to transform polluted cities into clean, breathing urban environments.
2002
During an official visit to Iceland, H.E. Jiang Zemin, President of the People’s Republic of China (1993–2003), was introduced to Iceland’s pioneering geothermal technology by H.E. Ólafur Ragnar Grímsson, President of Iceland (1996–2016), marking a historic moment of knowledge exchange that helped spark China’s interest in geothermal energy
2005
In the presence of H.E. Ólafur Ragnar Grímsson, President of Iceland (1996–2006), Sinopec and Arctic Green Energy signed a landmark agreement to develop and utilize geothermal resources in Xianyang — marking the official launch of Sino-Icelandic geothermal cooperation.
2012
In a ceremony witnessed by H.E. Wen Jiabao, former Premier of China, and H.E. Jóhanna Sigurðardóttir, former Prime Minister of Iceland, Sinopec and Arctic Green Energy signed a milestone agreement to expand the scale and scope of their geothermal cooperation — strengthening the foundation of Sino-Icelandic energy collaboration.
2013
Witnessed by H.E. Li Keqiang, former Chinese Premier, Sinopec, Arctic Green and China Development Bank signed the Framework Agreement on Further Expanding Geothermal Resources Development and Operation.
2016
H.E. Ólafur Ragnar Grímsson, former President of Iceland and Chairman of the Arctic Circle, attended the 10th anniversary celebration of Sinopec Green Energy in China, commemorating a decade of pioneering geothermal development and Sino-Icelandic collaboration.
2023
During the World Geothermal Congress 2023 in Beijing, Sinopec Star, Arctic Green Energy, and Sinopec Green Energy co-hosted the China–Iceland Geothermal Technology Exchange Forum — an event highlighting international collaboration and innovation in geothermal development. H.E. Ólafur Ragnar Grímsson, former President of Iceland, was among the distinguished attendees.
2023
At the World Geothermal Congress, Arctic Green Energy and Sinopec announced the global expansion of SGE, marking a new chapter in Sino–Icelandic cooperation. Already the world’s largest geothermal heating and cooling company, SGE is set to transform polluted cities into clean, breathing urban environments.
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