Corporate Watch

Important to ensure coal availability for pushing coal gasification: Naveen Jindal

Jindal Steel and Power Ltd’s Chairman Naveen Jindal has urged Coal Minister Pralhad Joshi to ensure coal availability for pushing coal gasification

Shalini Sharma
  • While pointing out that Jindal Steel and Power Ltd set up India's first coal gasification plant in 2014, Jindal said that JSPL could not operate it because of the non-availability of coal

  • JSPL coal gasification-based DRI (direct reduced iron) plant in Odisha's Angul district became operational only in January this year

New Delhi: Jindal Steel and Power Ltd's (JSPL) Chairman Naveen Jindal has urged Coal Minister Pralhad Joshi to ensure coal availability for pushing coal gasification. While pointing out that Jindal Steel and Power Ltd set up India's first coal gasification plant in 2014, Jindal said that JSPL could not operate it because of the non-availability of coal. "In the past few years, with improvement in coal availability, we have been operating the plant at 40 percent capacity," said Jindal. The JSPL Chairman made the statement while addressing a webinar on coal gasification. 

JSPL coal gasification-based DRI (direct reduced iron) plant in Odisha's Angul district became operational only in January this year. The operations in the plant had been halted due to scarcity of coal. "JSPL's 1.80 MTPA DRI (direct reduced iron) plant based on Coal Gasification process has resumed operations in Odisha's Angul district. The plant was set up by JSPL to ensure the availability of chemical and thermal energy required to produce DRI at an affordable price to reduce the environmental impact of coal in the long run," JSPL had said in January.

JSPL DRI plant works on coal gasification process. But what is it?

The coal gasification process (CGP) converts high-ash grade coal into synthesis gas or Syngas. It is the first plant of its kind in the world where Syngas is used in making DRI. The Syngas has replaced the costlier Natural Gas being used by other DRI manufacturers across the globe. The Syngas is used as a reductant in converting Iron ore/ Iron Pellets into DRI /Sponge iron. JSPL has made thousands of crores of investments to build the Direct Reduced Iron plant and coal gasification plant. The Syngas produced from Swadeshi coal gasification contains Methane, Carbon Monoxide, Hydrogen and other such useful gases, in a particular ratio, which are required to produce DRI from Iron Ore/pellets. This gasification process has a milder impact on the environment as compared to the coal combustion process.

The gasification process also produces value-added by-products like gasification oil, tar, ammonia, phenol, Naptha and high-purity sulphur etc from Syngas which are used by downstream chemical plants. 

CIL, MCL providing coal to Jindal Steel & Power coal gasification plant

Coal India limited and Mahanadi Coalfields Limited provide coal are providing coal to JSPL's DRI plant based in Angul. "This is a model plant for the country and its success depends upon the regular availability of coal. I am confident this plant will inspire others and attract more investments in this field based on Swadeshi coal. We are targetting an additional production run-rate of 1.50 million tonnes per year of steel in FY20-21 through CGP & DRI Route," VR Sharma, JSPL's MD, had said in January.

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