State-owned Coal India Limited (CIL) has set up a new company, Coal Gas India Ltd, to explore new ways of using coal beyond traditional energy production. This company will focus on producing synthetic natural gas (SNG) and other useful products derived from coal, based on detailed research and market demand. The goal is to find innovative and efficient ways to make better use of coal while ensuring economic and environmental benefits.
Coal Gas India Ltd will be involved in producing and selling coal-based products both within India and in international markets. Its operations will include setting up manufacturing plants, carrying out captive coal mining, and improving coal quality through beneficiation. Additionally, the company will import necessary machinery and develop infrastructure to support its projects, ensuring smooth operations and efficiency, as stated by CIL in a regulatory filing.
Last year, CIL entered into a joint venture with GAIL to establish a business for converting coal into synthetic natural gas. This partnership was approved by the coal ministry after obtaining the required clearances from DIPAM and NITI Aayog. The joint venture aims to enhance coal-based industries by introducing advanced technology and innovative solutions for cleaner and more sustainable coal utilization.