You are here: Home » PTI Stories » National » News
Business Standard

Bengal proposes expensive UG mining for Deocha Pachami block

Press Trust of India  |  Kolkata 

Challenges for the the world's second largest block Deocha Pachami in seem to rise as conditions for cost effective open-cast is not suitable there, a said today.

government has been scouting for a suitable underground technology to extract the reserve.

As all the other stakeholders in the block has not taken much interest and taken an exit foreseeing issues with the block, has got the full allocation of the block that is touted to change the face of district with job creation of over a lakh people.

"Open cast at the block cannot be possible. Then, we have to go for There is a stone block above the coal seams," Sobhandeb Chattopadhyay said here today.

"I have recently went to to understand the technical know-how to extract coal under the stone block," he said adding that the project is now at its initial stage.

Deocha Pachami Dewanganj Harisingha has reserves of 2,102 million tonnes of coal and spread across 21 villages in district of the state. Besides Bengal, the block was initially allocated to Karnataka, Bihar, Punjab, and along with public sector undertaking Satluj Jal Vidyut Nigam Limited.

"I am very happy to share with all of you that after a long wait of three years, #Bengal has got the allocation of the Deocha Pachami Harinsingha Dewanganj Coal Mines in district," on twitter said.

It will also involve investments worth Rs 12000 crores in the intermediate run, she said.

But, the larger question by the coal consumers is about cost of coal.

"There is demand for coal but at what cost? Underground coal is always costlier than open cast mine produced coal and we have to see the price when production sets in," a said.

World's largest had been shrinking due to high cost. There had been a decline of 26 per cent in over the 2005-06 to 2015-16 time period by the PSU.

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Fri, June 08 2018. 17:40 IST