India Introduces Underground Coal Gasification:
The Ministry of Coal signed Coal Mine/Block Production and Development Agreements (CMDPAs) with successful bidders for four coal mines, marking the first-ever inclusion of Underground Coal Gasification (UCG) provisions in India’s commercial coal mining framework.
- UCG is an in-situ technology that converts coal into synthetic gas (syngas) underground within the seam itself, without physical mining, enabling utilisation of deep, thin, or otherwise unworkable coal deposits.
- The process produces syngas composed mainly of hydrogen, carbon monoxide, and methane, which can be used for multiple industrial purposes.
- Syngas can be utilised for fertiliser production (urea, ammonia), petrochemicals (methanol, dimethyl ether – DME), and synthetic fuels, thereby strengthening industrial value chains.
- Reduces reliance on imported natural gas and naphtha while boosting domestic manufacturing and chemical industries.
- Enhances energy security by expanding usable coal reserves and promotes cleaner, more efficient coal utilisation compared to conventional mining.
