Thar coal development: MoP urged to form sub-group to work with Chinese companies

The Thar Coal and Energy Board (TECB) has urged the Petroleum Ministry to constitute a sub-group for Thar coal development, and forward it to the Chinese companies, official sources told Business Recorder.
They said that meetings of energy working group were held on 14th and 16th of December 2010 in Ministry of Petroleum where it was agreed between Pakistan and Chinese counterparts that sub-group meetings can take place more frequently to decide sector to sector issues and projects keeping in view the preparedness of the companies and departments on both sides.
According to TCEB Managing Director, the government of Sindh (GoS) is following a proactive strategy and has already finalised a comprehensive project that includes mining, power and infrastructure required for Thar coal development. According to him, the provincial government has initiated a flagship project to develop Thar coalfields. This is a joint venture project for coal mining of 6.5 million tons per annum. In addition the proposal also includes a coal-fired power plant of 1200 MW and construction of water carrier for the plant, along with construction of effluent disposal system.
For this, Sindh Engro Coal Mining Company (SECMC) has been formed and it has completed a bankable feasibility by engaging world renowned companies, including RWE of Germany and Sinocoal of China, etc. The first mine and power plant is expected to be commissioned by 2015-16. The estimated cost for the project is $3.6 billion, sources said, adding that three Chinese companies have already shown interest in the project.
Since the commitment of Chinese counterpart is already available and the feasibility has been conducted by one of the best Chinese firms, forwarding the project proposal would expedite the processing and sharing of information so that preliminary meetings with Chinese counterparts can take place on fast track basis, sources quoted TCEB Managing Director as saying in a letter to Secretary, Petroleum, Imtiaz Kazi. The proposed subgroup may include representatives from Coal & Energy Development Department, TCEB, and Sindh Engro Coal Mining Company (SECMC), besides representatives of Federal Ministries.