New Delhi: A joint venture between Coal India Limited (CIL) and Gail (India) Limited has issued an Expression of Interest (EoI) for shortlisting technology licensors for a major coal gasification project in West Bengal. The project, which has received cabinet approval, is estimated to cost around Rs 13,052 crore, with a debt-equity ratio of 70:30.
The plant, designed to produce synthetic natural gas (SNG), will be located at the Eastern Coalfields Ltd facility in Bardhaman, West Bengal, and will utilise surface coal gasification technology. CIL, through its subsidiary Eastern Coalfields, will provide the coal for the plant, with CIL holding a 51% stake in the joint venture, while Gail holds the remaining 49%. The plant is expected to produce 80,000 NM3 of synthetic natural gas per hour once operational.
The EoI, issued by Projects & Development India Limited (PDIL) on behalf of the joint venture, seeks responses from internationally reputed licensors with proven coal gasification technology for the commercial production of SNG. Interested licensors have until October 15 to submit their applications.
This project marks a significant step in the country's energy diversification efforts, with coal gasification being seen as a key part of India's strategy to make better use of its domestic coal resources while reducing its environmental footprint. The joint venture agreement between Coal India and Gail for the coal-to-SNG plant was signed on August 5. /BI
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