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CIL plans 20 new washeries

9th December 2013

By: Ajoy K Das

Creamer Media Correspondent

  

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KOLKATA (miningweekly.com) – Coal major Coal India Limited (CIL) has set another target to construct 20 coal washeries with an aggregate capacity of 111-million tonnes a year, entailing an investment of around $400-million, after failing to operationalise a single washery project between 2007 and 2012.

Bharat Coking Coal Limited, a wholly-owned subsidiary of CIL and sole coking coal producers in the country, has floated tenders seeking investor to construct a two-million tonne a year washery on build-operate-maintain basis and tenders for two more washeries would be floated within the next few month, a Coal Ministry official said.

The Ministry had expressed its unhappiness with the miner failing to set up even a singe washering during the eleventhFive Year Plan (2007/12) and had directed CIL to ensure operationalise the 20 washery projects within the current Five Year Plan (2012/17), to ensure better price realisations of production.

CIL has explained that planned washery projects could not be completed in the absence of environmental clearances and a shortage of land required for construction.

The miner currently operates 17 washeries with total capacity of only 40-million tonnes a year of which 12 were for coking coal with capacity of 22.8-million tonnes a year and five for non-coking coal with capacity of 17.22-million tonnes a year.

Two years ago, a task force for the Coal Ministry laid down the policy framework for the construction of washeries to ensure use of clean fuel as also to improve gross calorific value of available coal and ensure higher price realisations by miners but little headway was made on the ground, the official said.

Edited by Esmarie Iannucci
Creamer Media Senior Deputy Editor: Australasia

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