Tata or Jindal? Govt to finalise within a fortnight for CTL
The government may in about two weeks decide whether the Tatas or Jindals will get the $ 6-8 bn pilot project to convert coal into liquid petrol.
By PTI |
NEW DELHI: The government may in about two weeks decide whether the Tatas or Jindals will get the $ 6-8 bn pilot project to convert coal into liquid petrol.
"The process to finalise the allocation of coal-to-liquid (CTL) project may be completed within a fortnight," Minister of State for Coal Santosh Bagrodia told PTI yesterday.
The Inter-Ministerial Group (IMG), which was entrusted with the job of short-listing applicants for the project, has given its recommendations and the government is looking into it to take a final call, Bagrodia added.
The IMG, after scrutinising applications from 22 firms has recommended Strategic Energy Technology Systems Ltd, a joint venture of Tata group with Sasol of South Africa, and Jindal Steel and Power Ltd, for the CTL project.
According to a senior Coal Ministry official, the Tata-Sasol JV may have a cutting edge over rival JSPL due to its operational expertise in the field.
Despite crude prices lowering to around USD 40 a barrel from the USD-147 peak in July 2008, India is pushing for the CTL project to cut its dependence on imported oil. The CTL project will produce 80,000 barrels crude oil per day (about four million tonnes a year) by liquefying coal reserves.
Among major firms, which were eyeing the project, but have been rejected, include RIL, Anil Ambani Group's Reliance Infra, SAIL, GAIL, IndianOil, GMR Infra and Vedanta.
"The process to finalise the allocation of coal-to-liquid (CTL) project may be completed within a fortnight," Minister of State for Coal Santosh Bagrodia told PTI yesterday.
The Inter-Ministerial Group (IMG), which was entrusted with the job of short-listing applicants for the project, has given its recommendations and the government is looking into it to take a final call, Bagrodia added.
The IMG, after scrutinising applications from 22 firms has recommended Strategic Energy Technology Systems Ltd, a joint venture of Tata group with Sasol of South Africa, and Jindal Steel and Power Ltd, for the CTL project.
According to a senior Coal Ministry official, the Tata-Sasol JV may have a cutting edge over rival JSPL due to its operational expertise in the field.
Despite crude prices lowering to around USD 40 a barrel from the USD-147 peak in July 2008, India is pushing for the CTL project to cut its dependence on imported oil. The CTL project will produce 80,000 barrels crude oil per day (about four million tonnes a year) by liquefying coal reserves.
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Among major firms, which were eyeing the project, but have been rejected, include RIL, Anil Ambani Group's Reliance Infra, SAIL, GAIL, IndianOil, GMR Infra and Vedanta.
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