Jindal Steel abandons coal-to-liquid project in Odisha

The Naveen Jindal-owned Jindal Steel & Power Ltd has decided to abandon its Rs 60,000 crore coal to liquid (CTL) project at Ramchandi (Odisha), following the Supreme Court’s verdict to de-allocate this block. The company was planning to implement CTL project to produce crude using environment friendly indirect coal liquefaction under the technology developed in Germany. “Since the coal block has been de-allocated as per the recent Supreme Court verdict, this project, as planned, will not proceed,” said Jindal Steel & Power Ltd (JSPL) in a BSE filing.
 
JSPL was allotted two coal blocks in Odisha. While Utkal B-1 block was being developed for the steel project, block at Ramchandi in Talcher coalfield was linked to the CTL plant.
 
The company was planning to set up a Rs 60,000 crore CTL plant near Angul through its subsidiary, Jindal Synfuels Ltd. The CTL complex included an 1,100-Mw power plant and a 50-million tonne per annum coal washery. The project was planned for a capacity to produce 80,000 barrels of petroleum products a day, which included 50,000-55,000 barrels of diesel, 20,000-25,000 barrels of naphtha and 4,000-6,000 barrels of liquefied petroleum gas (LPG).