Thar block VI included in CPEC: minister

Sindh Minister for Energy Imtiaz Ahmed Shaikh has said that block VI of Thar coal has huge potential to produce gas, urea/fertilizer and liquid fuel (diesel). The minister said that owing to this reason Thar block VI had been included in the China Pakistan Economic Corridor (CPEC).

He said this while talking to Naheed Memon, Chief Executive Officer of UK-based Company Oracle, who called on him to discuss the energy related issues specifically about Thar block VI. Shaikh said that the Sindh government had intended to initiate Thar Coal Block-VI as a national strategic project under the CPEC to develop coal mine, set up a 1,320 MW coal-fired power project, produce gas, urea and diesel.

Block-VI of Thar Coal had estimated total coal reserves of 1.4 billion tones. Shaikh said that recently with the efforts of Sindh Chief Minister Syed Murad Ali Shah, Thar Block VI had been included as a potential block for coal to gas to urea/fertilizer production in 9th joint coordination committee (JCC) meeting on CPEC held on 5th Nov 2019.

During the meeting, both sides appreciated the concept to include Thar Block VI for coal gasification to fertilizer projects under CPEC and desired to undertake a feasibility study for evaluation. Speaking on the occasion, CEO Oracle Naheed Memon said that Oracle Power was a company incorporated in the United Kingdom and quoted on London Stock Exchange.

She said that with active support of the Government of Sindh our consortium under the joint development agreement (JDA) intended to develop Thar block VI as a National strategic asset for Pakistan beyond power generation.

She said that with the adequate expansion of coal mine the production of urea could be pioneered through cheaper surface gasification and liquids including diesel at almost one third of the existing price.

Imtiaz Ahmed Shaikh hoped that this endeavor of the Sindh government would lessen the forex pressure on National exchequer. Block VI is located in the centre of the coalfield and covers an area of 66.1 square kilometres. The site has been extensively drilled and coal samples recovered and tested to international standards.