Coal India Ltd to ink MoU with Three PSUs for Coal to Chemical Products
Tags: National Economics/Business National News
Coal India Limited (CIL) will sign MoU with three major public sector undertakings – Bharat Heavy Electricals Limited (BHEL), Indian Oil Corporation Limited (IOCL) and GAIL (India) on 27 September for setting up four Surface Coal Gasification (SCG) projects.
IMPORTANT FACTS -
- These public sector undertakings will join hands to set up coal-to-chemical projects through the Surface Coal Gasification (SCG) route.
Through the SCG route, coal is converted into syngas which can then be processed for downstream production of value-added chemicals. They are produced through imported natural gas or crude oil currently.
The envisaged end products are di-methyl ether, synthetic natural gas and ammonium nitrate.
The proposed projects will reduce foreign exchange expenditure and create more than 23,000 direct and indirect employment opportunities.
A target of achieving 100 million tonnes of coal gasification by 2030 has been set by the Ministry of Coal.
What is Syngas ?
It is an abbreviation for synthesis gas, which is a mixture of carbon monoxide, carbon dioxide and hydrogen.
This is produced by gasification of a carbon containing fuel to a gaseous product that has some heating value.
Please Rate this article, so that we can improve the quality for you -