Thar coal project Step one complete, expert tells Zardari

Underground Coal Gasification to generate power in ten months.

KARACHI:

Global Mining of China, Sindh Engro Coal Mining Company and Oracle Coalfields of UK have all completed their feasibilities and with it phase one of their projects.

Briefing the Thar Coal Development Board meeting chaired by President Asif Ali Zardari, Coal and Energy Development Secretary Mohammad Sohail Rajput on Monday said that the four blocks of Thar Coalfield are at an advanced stage.

Global Mining is also scheduled to start mine development activities in Block I by October 2012 which will lead to mine construction of five tons annually by 2015 and power generation of 900MW by financial year 2016. The total composite cost of the project is $3 billion.

Meanwhile, the Oracle Coalfield will initiate mine development phase for its $860 million mining and power project by early 2013.

The president was informed that Sindh Engro Coal Mining Company was pursuing to achieve the financial close for its $3 billion coal mining and power generation project at Block II of Thar coalfield.

About the Underground Coal Gasification project, the meeting was told that the Planning Commission has conducted project appraisal in June 2012 and decided that pilot project comprising one gasifier should be made operational for power generation of eight to 10 MW within 10 to 12 months. Furthermore it was also said at the meeting that fund amounting to Rs1.8 billion to cover the cost of gas purification plant, power generation units and establishment/O&M charges for one year will be provided. The meeting was informed that after the successful power generation, a complete technical review will help in further developing and expanding infrastructure for generation of 100MW of power.

President Zardari while highlighting the impacts of present energy crisis said that the huge natural resources needed to be explored and harnessed to meet the energy requirements of the country.

Published in The Express Tribune, July 24^th, 2012.