Mr Chand - CCT Conference at PDPU

7/26/2019 Mr Chand - CCT Conference at PDPU

1/26

Role of Coal

inIndian Energy Basket

PDPU-CFSR Conference on Clean

Coal Technology

S K Chand

November 2009


2/26

Certain myths about Indian coal

1. India has large reservesof coal; over 265billion tonnes

2. India has 100 billion tonnes of proved reserves

3. India is the fourth largest producer of coalinthe World

4. Indian coal is high in ash and sulphur

5.

Coal will continue to be the main source ofenergyfor many years to come


3/26

Indian system of reporting:

Indian Standard Procedure 1957

Based on categories defined by

concentration of exploratory boreholes

Purely geological resource accountingsystem

Does not consider minability /extractability/

economic criteria

Thus highly exaggerated resource

inventory


4/26

Resource data is

gross, cumulative and does not consider

depletion/ sterilization; includes coal

that was extracted during past 230 years of mining

that got burned /is burning in Jharia / Dhanbad andelsewhere

that would be almost impossible to mine

In partially developed thick seams, in mine barriers,

and in inundated mines

Under reserve forests, tiger reserves, townships,

rivers, major railways etc

Seams between 600-1200 mdepths and beyond


5/26

UNFC Classification

International harmonization of classification and reporting of mineral resources Author: Bil l McKay, Ian Lambert and Norm an Miskel ly, http://www.jorc.org/

http: / /www.jorc.org/

pdf/mckay1.pdf


6/26

Indian coal Quality

Coal seams in India are thick and highly inter-banded with shale and sandstone

India produces almost 90% coal from large opencast mines resulting in intermixing and resultanthigh ash

Generally Indian coals are low in sulphur at0.2% to 0.6%

Only a very small fraction of coal (Tertiarydeposits ) in NE are high sulphur low ash


7/26

Thank you


8/26

Domestic Coal Resources

The available coal for future projectisationcannot be ascertained with any degree of

certainty due to non-availability of data inpublic domain

Though GSI now uses resources in the

table, it is used interchangeably withreserves by many


9/26

The GSI data

Depth

m

Proved

Bt

Indicated

Bt

Inferred

Bt

Total

Bt %0-300 75.76 66.56 14.42 155.74 61%

300-600 6.78 41.65 18.04 66.47 26%

0-600 (Jharia) 14 0.5 - 14.5 6%

600-1200 1.67 11.28 5.8 18.75 7%Total 97.92 118.99 38.26 255.17 100

% 38% 47% 15%

Depth-wise Coal Resources as on 1.1.2007*

*Gross and Cumulative


10/26

Proved reserves

Depth

m

Proved

Bt

Share of

resources %

0-300 71.0 90300-600 6.5 8

600-1200 1.5 2

Total (minus Jharia*) 79.0 100

*14.5 Bt in 0-600 range in Jharia is fully developed/ under fire/ inundated etc.

No breakup is available with GSI or with CMPDIL


11/26


12/26

Shallow deposit exploitation

90% of reserves proved within a depth

range of 0-300 m, deeper horizons ignored

OC Mining would remain the mainstay

There are hardly any deep-seated

reserves to exploit

either through underground mining or

by in-situ gasification


13/26

Total extractable reserves

Proved

Bt

Indicated

Bt

Inferred

Bt

Total

Bt

Extractable

Bt

% of

Total

CIL 67.71 19.42 4.56 91.69 30.03 33

Rest* 25.25 97.66 33.24 156.15 22.21 14

Total 92.96 117.08 37.80 247.84 52.24# 21

* Includes SCCL, DVC, Tata, Jindal, and all others

Coal Vision 2025 (MOC 2005)

# MOC/ CMPDIL earlierestimates was 40 Bt


14/26

Coal demand projections

Plan Period Power Non

power

Total

XI 2011/12 436 164 627

XII 2016/17 603 221 824

XIII 2021/22 832 299 1131

XIV 2026/27 1109 408 1517

XV 2031/32 1475 562 2037

Million tonnes

Integrated Energy Policy (Plg Comm 2006)


15/26

Coal Vision 2025

With 289 blocks+ existing mines andprojects, CIL proposed to reach 500 Mt in

11/12 and then continue at the same leveltill 36/37

The rest 210 (136 + 74) blocks for captivemining, mostly in indicated and inferredcategories

94 Bt in unexplored areas (un-blocked)


16/26

Meeting the demand?

X Plan 2006/07 XI Plan 2011/12 XII Plan 2016/17

Existing mines / completed projects 241.82 185.97 151.49

Ongoing projects 102.41 165.31 181.59

New projects 19.57 169.22 330.92Total CIL 363.80 520.50 664.00

Existing mines / completed projects 29.64 18.86 6.98

Ongoing projects 7.86 13.62 6.34

New projects 0.0 8.33 31.68

Total SCCL 37.50 40.80 45.00

Pub, Pvt & Meghalaya 13.65 14.62 14.62

Captive mining 17.55 104.08 331.38

All India 432.50 680.00 1055.00

Million Tonnes

MOC (Working Gr. Eleventh Plan 2006)


17/26

Imports

How much

Where from

What are the oddsQuantum of international trade


18/26

International coal trade marketWorld steam and coking coal demand and trade (1982-2005)

Source: The Future Of Coal, B. Kavalov, S.D. Peteves, DG JRC, Institute for Energy, February 2007 and IEO 2009

International coal trade accounted for about 16 percent of total world

coal consumption in 2007


19/26

Future of coal trade Dominance of steam coal in international coal

trade expected to continue

International coal trade expected to grow at anaverage annual rate of only 1.2% from about 20.8quadrillion Btu in 2007 to 27.6 quadrillion Btu in

2030

Share of coal trade as a percentage of global coal consumptionfalls to 14 percent in 2030

Largest increase in demand from China

Price volatility is likely continue Increasing Resource Nationalism in exporting

countries would deter trade

Source: IEO 2009


20/26

What next?

Deplete domestic resources

Buy Mines / Equity in other countries


21/26

Size of units

MW

Units

operating

Av Gross

Effi %

Actual

Av Gross

Effi %

Design

%age

variation

CERC

Norm %

Less than 100 87 25.79 31.23 21.09 -

100 to 200 84 27.55 34.87 26.57 -

200/ 210/250 154 34.62/

34.98

36.23/

37.65

4.65

/7.63

34.40

500 18 35.67 38.13 6.90 35.10

Chikkatur 2005

Year 2005

Efficiency of Indian power plants


22/26

Immediate Action Needed

Must stop

Indiscriminate capacity addition on coal; especially

based on sub-critical technology

Retrofitting of old /smaller/ inefficient units Must shift to more efficient technologies

Super critical

Ultra super critical

IGCC

Restrict total coal based generation capacity to

1,50,000 MW

In addition, all other sources of clean energy must be exploited


23/26

Other Technologies

CTL?

UCG?Oil shale?


24/26

Future

Coaluse will be self-limiting due to Increasing concerns of Climate Change

Difficulty in Land Aquisition Forest Land

R & R


25/26

Thank you


26/26

Power drives the demand of coal

1960/

61

1970/

71

1980/

81

1990/

91

2000/

01

2005/

06

Power (U) 9 13 37 117 237 287Steel & coke

ovens 9 14 22 28 29 20

Cement 2 4 5 10 15 15

Others 34 42 45 54 30 75

Total 54 73 109 209 311 397

Documents

Mr Chand - CCT Conference at PDPU