ONGC's UGC Pilot Project Still Awaiting Ministry's Nod

ONGC’s pilot underground coal gasification (UCG) project in Gujarat, which was initiated in 2005, is yet to get approval from the Coal Ministry.

Press Trust of India reported that ONGC had sought a mining licence on a huge tract of land in the Vastan mine block located near Surat about three years ago but has not been successful in getting it.

Also, Coal India Ltd (CIL) and ONGC had inked an MoU in November 2005 and the project was scheduled be commissioned in 2009-2010.

ONGC intends to take such UCG projects to other parts of Gujarat and Rajasthan provided the pilot project takes off.

It is aiming to go commercial by producing about two billion cubic metres of synthetic gas per annum from the Vastan field, which has enough reserves to last for 30-40 years.