Coal India and Bharat Petroleum Collaborate on Coal-to-Synthetic Natural Gas Project

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Image Courtesy: Coal India

Coal India Limited (CIL) and Bharat Petroleum Corporation Limited (BPCL), both Maharatna public sector enterprises, have signed a non-binding Memorandum of Understanding (MoU) to explore the feasibility of developing a coal-to-synthetic natural gas (SNG) project. The Memorandum of Understanding (MoU) was signed on December 2 in Mumbai, marking a collaboration to establish a coal-to-synthetic natural gas (SNG) project at Western Coalfields Limited (WCL).

The initiative will employ surface coal gasification technology, an innovative process that transforms coal into synthetic natural gas, providing a cleaner energy option while expanding coal’s utility beyond traditional applications. This partnership signifies a major step in diversifying coal usage and bolstering India’s energy security.

Meanwhile, Coal India’s performance continues to attract attention as the company recorded a 2.4% growth in coal production during the April-November period of this fiscal year, reaching 471 million tonnes (MT), up from 460 MT in the same timeframe last year. November production also showed a 1.7% rise, with output increasing to 67.2 MT compared to 66 MT in the previous year.

CIL, responsible for over 80% of India’s domestic coal production, remains pivotal in driving the nation’s energy transition while meeting growing energy needs. Coal India Limited (CIL) is the world’s largest coal producer and a key player in meeting India’s energy requirements.

Operating under the Ministry of Coal, CIL is a Maharatna Public Sector Undertaking (PSU) with a critical role in ensuring energy security for the nation. The company contributes over 80% of India’s domestic coal production, serving as a backbone for sectors like power, steel, and cement.

CIL has also been diversifying its operations, exploring innovative technologies like coal gasification and sustainable mining practices to reduce environmental impact. With consistent production growth, CIL remains at the forefront of India’s efforts to balance industrial energy needs with cleaner energy transitions.

Bharat Petroleum Corporation Limited (BPCL) is a leading Maharatna PSU operating under the Ministry of Petroleum and Natural Gas. Known for its extensive network in refining, marketing, and distribution of petroleum products, BPCL has been instrumental in driving India’s energy infrastructure.

The company is actively transitioning towards sustainable energy solutions, investing in renewable projects, green hydrogen initiatives, and cleaner energy technologies. BPCL’s commitment to innovation and sustainability aligns with national goals like Atmanirbhar Bharat, as it seeks to balance economic growth with environmental responsibility. Through collaborations and strategic expansions, BPCL continues to strengthen its position as a catalyst for India’s energy evolution.