Business · India Bureau
BCGCL launches construction on ₹25,000 crore coal gasification venture
The joint venture between Coal India Ltd and BHEL has commenced ground-level construction activities for a major coal gasification project in Odisha, with most procurement contracts already awarded. The project aligns with India's ambitious target to develop 100 million tonnes of coal gasification capacity by 2030.
LSN India ·
Bharat Coal Gasification and Chemicals Ltd (BCGCL) has initiated on-site construction work for its ₹25,000 crore coal gasification facility in Odisha, marking a significant milestone in the project's development. Managing Director Peeyush Kumar confirmed that the majority of project tenders have been finalized, enabling construction activities to proceed at pace.
The venture, established as a partnership between Coal India Ltd and Bharat Heavy Electricals Ltd (BHEL), represents a strategic push to advance India's National Coal Gasification Mission. The initiative seeks to establish 100 million tonnes of coal gasification capacity nationwide by 2030, substantially reducing the country's reliance on imported chemical feedstocks including liquefied natural gas, urea, ammonia, and methanol.
Coal gasification technology converts coal into synthesis gas, which can then be processed into various chemical products and fuels. By developing domestic gasification capabilities, India aims to strengthen energy security while creating value-added products from its substantial coal reserves. Kumar shared these developments during the 17th Edition of Gasification India 2026, organized by the Mission Energy Foundation, underscoring the project's importance to the nation's industrial and energy objectives.