GAIL-CIL JV Seeks Coal Gasification Tech for West Bengal SNG Plant

19 Sep 2024 CW Team

The GAIL and Coal India Limited (CIL) joint venture has issued an Expression of Interest (EoI) for technology licensors specializing in coal gasification for a major synthetic natural gas (SNG) project in West Bengal. The proposed plant, estimated to cost Rs 13,052 crore, will utilize coal from CIL's subsidiary, Eastern Coalfields Ltd.

The EoI, managed by Projects & Development India Limited (PDIL) on behalf of the JV, is seeking responses from internationally renowned technology providers with expertise in coal gasification. The aim is to develop an 80,000 NM3/hr SNG plant using surface coal gasification technology at Eastern Coalfields Ltd in Bardhaman.

Coal India will hold a 51% stake in the joint venture, while GAIL will retain 49%. The deadline for submitting proposals is October 15, 2024.

This initiative follows a similar agreement signed in February 2024 with Bharat Heavy Electricals Limited (BHEL) for India’s first commercial-scale ammonium nitrate plant. The Ministry of Coal is targeting 100 million tonnes of coal gasification by 2030 and will offer Rs 8,500 crore in financial incentives to support such projects.

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