NLCIL floats global tender enquiry for gasification block of lignite to methanol project

As a diversification initiative, NLCIL is setting up a lignite to methanol project at Neyveli with a capacity of 1200 TPD (tonne per day) (0.40 MTPA) at capital cost of about ₹4,400 crore.

“On October 22, 2022, Global Tender Enquiry is floated for NLCIL through Project Management Consultant EIL, for Gasification block (LEPC-1) of Lignite to Methanol Project in the august presence of Anil Kumar Jain, Secretary to Government of India, Ministry of Coal, Amit Lal Meena, Officer on Special Duty, Ministry of Coal, Rakesh Kumar, CMD, NLCIL along with Vartika Shukla, CMD, EIL, and other Directors of both NLCIL and EIL in New Delhi,” said a statement from EIL.

According to the statement the project is expected to be commissioned in 2027. In June this year, EIL was appointed as the project management consultant

The statement said that the project is line with the government’s target of achieving coal gasification of 100 million tonne by 2030.

This development comes on the backdrop of NLCIL’s diversification plans. On 19 October, NLCIL entered into a memorandum of understanding (MoU) with National Institute of Wind Energy (NIWE), an autonomous R&D institution under the ministry of new and renewable energy (MNRE), for strategic collaboration in developing onshore and offshore wind power projects in the country.

The MoU was signed between NLCIL and NIWE for the purpose of carrying out collaborative technical services and advisories for the development of onshore and offshore wind energy projects.

On Friday, share of NLCIL on the BSE closed at ₹70.35, higher by 0.72% from its previous close. EIL shares on the BSE closed at ₹63.75 per share, lower by 0.70% from its previous close.