THAR LIGNITEITS EXPLOITATION AND USE

BYDR LARRY THOMAS

DARGO ASSOCIATES LTD

Thar Coalfield

• Distance from Karachi 380km

• Thar Coalfield Area 9,100 km2

• Total Lignite Resources 175x109

• Lignite Quality: Lignite ‘A’ to ‘B’

• Close proximity to Road & Power network

General Geology of Thar Area

• Thar area covered by dune sand

• Lignite seams are of Tertiary age

• Simple geological structure

• Main Coal Seam well developed

• Overlying strata made up of sandstone and mudstone

Opencast Mining

• Proven efficient mining method worldwide eg Europe, Australia, South Africa and USA

• Cheaper capital cost than underground mining technology

• Faster mine development• Flexibility in changes of mine size

Truck & Shovel Operation

Thar Opencast Mining

• Opencast Coal (Lignite) Mine• To access Main Lignite Seam 9-30m in

thickness• Overburden Thickness 160m• Preferred Mining Method is Truck & Shovel• Planned production 5 Mtpa

Global Lignite QualitiesCountry Moisture %

(ar)Ash %

(ar)Volatile

Matter %(ar)

Sulphur %(ar)

Calorific Value

kcal/kg (gar)

Australia 65.5 0.6 17.6 0.1 2135

Bosnia 51 2.0 30.3 0.05 2749

Germany 55 10 19.2 0.2 1900

Greece 52 15.1 18.8 0.2 1220

India 48 6.1 25.6 0.6 2885

Kosovo 51 15 20.8 <1.0 2008

Pakistan (Thar)

42 7.0 28.0 0.7 2900-3200

Poland 52.8 9.8 20.0 0.6 2140

Serbia 45.5 17.0 22.5 0.49 2151

Thailand 30-35 10-28 32 0.8-1.5 2500-3000

Turkey 50 16 22.8 1.7 1130

LIGNITE USES

• Fuel for Electricity Generation• Fuel for Cement Industry

– Drying and Briquetting/Pelletising to produce 15% moisture product

• For Industrial Use:– Lignite has high volatile matter easier to convert to

gas and liquid petroleum products– Briquetting for domestic fuel together with

production of charcoal and gas for smokeless fuel– Horticulture as replacement for peat

Lignite Drying

Republic of Serbia

• Lignite Production: 36.5 Mtpa• Lignite Use:

– Thermal Power Plants 34.3 Mtpa– Drying Plants 1.1 Mtpa– Heating Plants 0.2 Mtpa– Other Industry 0.9 Mtpa

Project Summary• Block VI Licence area has thick coal & adequate resources• Licence area suitable for mine & power plant

development• Licence area close to road and power network linking

Karachi & Hyderabad• Opencast mining cheapest and most efficient mining

method• Ability to supply lignite to thermal power plants within

Sindh Province• Ability to supply dried lignite to cement manufacturers

and other industrial users