CIL ties up with three PSUs over surface gasification projects

13 Oct 2022 CW Team

Coal India (CIL) has signed agreements with three public sector undertakings – Bharat Heavy Electricals (BHEL), Indian Oil Corporation, and GAIL (India) – to set up four surface gasification projects. It aims to gasify 100 million tonne (mt) of coal into syngas for use in downstream production of value added chemicals in the next eight years in order to reduce import of crude oil which is otherwise used to produce syngas.

Syngas is synthesis gas, a mixture of carbon monoxide, carbon dioxide, and hydrogen. The projects would reduce forex outgo and create around 23,000 jobs, the coal ministry said. This gasification of 100 mt coal will happen in three phases.

In the first phase from 2020-2024, 4 mt will be gasified with an investment of Rs 20,000 crore. In the second phase from 2020-2026, six mt involving an investment of Rs 30,000 crore and 90 mt in the third phase from 2022-2030 at an investment of Rs 3.6 lakh crore.

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