[av_heading heading=’Bengal coal block weighs gas scope’ tag=’h3′ style=’blockquote modern-quote’ size=” subheading_active=’subheading_below’ subheading_size=’15’ padding=’1′ color=” custom_font=”][/av_heading]
[av_textblock size=” font_color=” color=”]
03 Apr 2017
[/av_textblock]
[av_hr class=’custom’ height=’50’ shadow=’no-shadow’ position=’center’ custom_border=’av-border-thin’ custom_width=’50px’ custom_border_color=” custom_margin_top=’1px’ custom_margin_bottom=’1px’ icon_select=’yes’ custom_icon_color=” icon=’ue811′ font=’entypo-fontello’]
[av_textblock size=” font_color=” color=”]
Bengal Birbhum Coalfields Limited (BBCL), a joint venture of five states headed by Bengal, would explore underground coal gasification (to produce syngas) and plans to invite downstream units such as fertiliser companies to set up units and buy the gas as feedstock. Syngas, or synthesis gas, is a mix of hydrogen, carbon monoxide and carbon dioxide that are found in the seams and can be used as fuel.
Deocha Pachami Dewanganj Harisingha is the country’s largest coal block with reserves of 2,102 million tonnes and spread across 21 villages in Birbhum.
Besides Bengal, Karnataka, Bihar, Punjab, Tamil Nadu and Uttar Pradesh along with public sector undertaking Satluj Jal Vidyut Nigam Limited are the stakeholders in the company.
“We are considering how the coal block can act as the engine of growth for the development of the entire region. We are hoping for downstream industries in public-private partnership mode. Preliminary discussions on this are being held,” Rana Som, chairman of Bengal Birbhum Coalfields, said on the sidelines of a Bharat Chamber of Commerce event.
Industry sources pointed out two key challenges in operating the block, beside land and forest clearances. First, the coal seams are concealed within a thick cover of laterite, which means good grades of coal would be difficult and costly to lift out of the ground. As a result, drilling and overburden management could be a challenge.
Besides, a consensus needs to be developed among all the stakeholders.
Sources said that the Bengal government had sought priority over coal from the block because it held a majority 27.8 per cent stake.
Union coal minister Piyush Goyal in one of his earlier visits to Calcutta last year had said that the ministry was trying to explore how to simplify operations at the block.
Accordingly, the coal ministry is currently exploring whether the block can be allocated exclusively to state power utility West Bengal Power Development Corporation Limited, and the other stakeholders can be given some alternative allocation.
Bengal power ministry sources said that the state government was expecting clarity on the matter sometimes next month, which could pave the way for the state to prepare its own development plan for the block.
West Bengal Mineral Development and Trading Corporation is the state entity responsible to pick the developer for the block.
www.telegraphindia.com
[/av_textblock]
[av_social_share title=’Share this entry’ style=” buttons=”]
[av_comments_list]