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Report: Sasol Considering Coal-to-Liquids Plant in India

The Indian press reports that Sasol may build a major Coal-to-Liquids plant in India. India had to import 68% of the 2.485 million barrels of oil per day it consumed in 2005, according to the BP Statistical Review of World Energy 2006.

In June, Sasol signed two agreements with Chinese firms that move forward the work on two major CTL projects with a combined output capacity of 160,000 barrels per day in China. (Earlier post.)

India, with reserves of 253 billion tonnes, is the world’s third largest coal producer (after China and the United States), according to the US Energy Information Administration.

“This is an exciting cutting edge technology,” [Finance Minister P] Chidambaram said while showing keen interest in the Investment Commission’s proposal.

Sasol wants to invest in India initially perhaps with US $1 billion investment. But for this “we have to give them identified coal blocks to get on to the job. This is a very exciting opportunity and investments are likely to run into US $6 billion,” Chidambaram said after his two-hour long meeting with the Investment Commission, which also has HDFC Chairman Deepak Parekh and ICICI Onesource Chairman Ashok Ganguly as members.

In 2005, state-owned Coal India Ltd (CIL) and Oil India Ltd (OIL) formed two joint ventures, one for a Coal-to-Liquids plant, the other to increase coal production to feed the plant. (Earlier post.)


allen Z

Hope they can:
a) convert their CTL to BTL in the future
b) capture CO2 for enhanced oil recovery/sequestation/ flute gas enhanced algae production for biomass and oil/coal bed methane production/coal mine fire extinguishing.


Can't say I'm surprised. If memory serves, they have no emissions restrictions under Kyoto anyway.

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