Coal India diversifying across coal gasification, renewables, critical minerals

New Delhi: Coal India Limited (CIL) is steadily evolving from a conventional coal-mining enterprise into a diversified energy, minerals, materials, and technology-driven organisation, with its initiatives in coal gasification, efficient power generation, renewable energy and BESS, critical minerals, advanced materials and R&D providing a broad foundation for this transition, according to an official statement issued on Sunday.

The company’s business development portfolio is organised around five mutually reinforcing platforms: coal gasification and coal-to-chemicals; thermal power; renewable energy and storage; critical minerals and advanced materials; and diversified minerals, including iron ore, the statement said.

The portfolio already includes projects of national scale, including approximately Rs 69,346 crore across four coal-to-chemicals initiatives, a 2×800 MW Chandrapura ultra-supercritical expansion, around 550 MW of commissioned solar capacity, grid-scale Battery Energy Storage System (BESS) initiatives, and opportunities in critical minerals and downstream materials.

Coal gasification converts coal into synthesis gas, or syngas, which can be used to produce synthetic natural gas (SNG), ammonia, urea, ammonium nitrate, methanol, and other chemicals. The technology can help unlock chemical value from coal while supporting import substitution.

CIL’s four major coal-to-chemicals initiatives are: Talcher Fertilisers Ltd., Bharat Coal Gasification & Chemicals Ltd., Coal Gas India Ltd., and the CIL-BPCL Chandrapur coal-to-SNG initiative.

The technology priorities for these initiatives include adapting processes to high-ash Indian coal, process optimisation, localisation of critical equipment, advanced process control and digital twins, predictive maintenance, and improved water, ash and emissions management. Replication of projects will be pursued only after operating data and commercial performance have been verified.

Underground coal gasification (UCG) offers a potential route for converting deep-seated or otherwise unmineable coal into syngas. As the technology has not yet been commercially proven globally, CIL is pursuing a phased pilot project at the Kasta West Block of Eastern Coalfields Limited (ECL).

CIL and Damodar Valley Corporation (DVC) are implementing a 2×800 MW ultra-supercritical brownfield expansion at Jharkhand's Chandrapura, through a proposed 50:50 joint venture. DVC will facilitate the sale of power. The future focus areas include high-efficiency generation, predictive maintenance, flexible plant operation, emission controls, water recycling and scientific utilisation of ash.

Approximately 550 MW of solar capacity has been commissioned by CIL, while rooftop, ground-mounted, captive, interstate and market-linked projects are under development. CIL is pursuing two models: captive solar projects to reduce power costs and the carbon footprint, and utility-scale projects for commercial renewable-power generation, the statement said.

CIL is also developing a 20 MW AC grid-connected floating solar project at Chilwa Taal, Gorakhpur. Floating solar offers a land-efficient option for suitable water bodies.

CIL’s Battery Energy Storage Systems (BESS) support renewable-energy integration, peak-demand management, grid flexibility and improved transmission utilisation. CIL’s initiatives include the TGGENCO Choutuppal project in Telangana. CIL is also developing an Odisha BESS portfolio of 80 MW/320 MWh across four locations, with a four-hour duration.

CIL is also pursuing opportunities in critical minerals which are essential for batteries, electric vehicles, renewable-energy systems, electronics, advanced manufacturing, aerospace and defence. CIL’s domestic opportunities include graphite assets in Madhya Pradesh and Chhattisgarh, as well as rare earth element (REE) and rare-metal opportunities in Andhra Pradesh and Maharashtra, the statement added.

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