CILand BHEL join hands for coal gassfication

Coal

Rama Krishna Sangem

Two of the country’s top Maharatna CPSE entities Coal India Limited (CIL) and Bharat Heavy Electricals Limited (BHEL)formally signed a joint venture agreement (JVA) on 28th February 2024in Delhi for setting up an ammonium nitrate plant through surface coal gasification (SCG) technology route.

The plant to come up in Lakhanpur area of Mahanadi Coalfields Limited, Odisha is planned to produce 2000 tons of ammonium nitrate per day initially. The annual production is slated at 6.60 Lakh tons which requires 1.3 million tonnes (mts) of coal. The coal will be supplied by CIL.BHEL would bring to the table indigenously developed pressurized fluidized bed gasification (PFBG) technology for this purpose. The synergy and partnership of the two corporate giants is a big step towards National Coal Gasification Mission which facilitates utilization of chemical properties of coal.

 

Part of Atmanirbhar Bharat

Ammonium nitrate is a major ingredient in manufacturing of bulk explosives which CIL uses in large quantities in its OC mining operations, a major source of its coal production. The upcoming plant as backward integration would help in securing the raw material,reducing import dependency of ammonium nitrate and promoting Atmanirbhar Bharat Abhiyaan.

On the occasion, Amrit Lal Meena, Coal Secretary said that with the commitment of CIL and BHEL, this project will be a role model. “Gasification is the highest priority area for the ministry of coal. In next two to three years there will be sufficient coal”, he said. All the possible support from government is in place including financial support for viable gap funding, he added.

Debasish Nanda, Director (Business Development) CIL and Jai Prakash Srivastava, Director (Engineering, R&D) BHEL inked the JVA on behalf of respective promoter companies.

 

Environment friendly

CIL will pursue alternative uses of coal for environment friendly ventures like coal gasification in future after fulfilling the requirement of the power sector. SCG is a promising technology that converts coal into valuable Syn gas. This on further processing produces synthetic natural gas that can be used as alternative natural gas. Additionally, it can be used as feedstock for downstream chemicals production which are currently being imported and forpower generation as well.

Projects and Development India Limited, a Miniratna design engineering and consultancy company has been assigned the work for preparing a detailed feasibility report of the plant.

Physical possession of the land is under progress and will be completed by September 2024 after which construction activities will follow. Shri M.Nagaraju, Additional Secretary, MoC, ShriK. Sadashiv Murthy, CMD (BHEL), Shri Vijay Mittal, JS, Ministry of Heavy Industries and other senior officers of both the ministries and promoting companies were present during the signing of Joint Venture Agreement.

Rama Krishna Sangem

Ramakrishna chief editor of excel India online magazine and website

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Rama Krishna Sangem

Excel India national news magazine is a media startup founded and piloted by Rama Krishna Sangem, a Hyderabad based senior journalist with over three decade experience in the field of media, mostly in print journalism. His rich experience in reporting for both Telugu and English newspapers and heading a TV news channel and some online outfits will be of immense use to this venture. Excel India English news magazine seeks to fill the gap of analytical understanding to our readers who today are confronted with myriad media platforms. Our online version not only offers regular updates and commentary on happenings around us, but also gives larger stories not limited by space constraints of a print magazine. Excel India is ably run by a team of senior journalists committed to values and quality standards in the profession. We urge you all to support and guide us in this endeavour. Reach us at excelindiaweb123@gmail.com