Professional Documents
Culture Documents
Investment in Pakistan
Nuclear 15%
Nuclear
Hydel, 30.3
Coal 41% Hydel Gas, 32.4% %
Gas
Hydro 16% Oil
Coal
others
Coal, 0.1%
Gas 20%
Oil, 35.4%
Oil 6%
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Widening Demand & Supply Gap
Projection for Pakistan
Balochistan
217 million tons
KP
90 million tons
Azad Kashmir
9 million tons Thar
4622 to Lignite A
Lakhra 1.328 28.9 28.0 25.2 18.0 4.7 to 7.0
7,552 to B
6762 to Lignite A
Sonda 7.112 34.0 27.9 25.2 15.0 1 to 2.8
11029 to B
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Thar Coalfields Blocks Layout
Thar Coal Reserves
Block Total Cumulative Coal Over Burden Top of Chemical Estimated
Drill Seam first Seam Analysis as reserves
holes Meters Meters Received basis
BTU/Kg
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GENERAL GEOLOGY OF THAR COALFIELD
KGS-12
RECENT DEPOSIT
Dune Sand: Light grey, loose and friable,
very fine to fine grained, sub angular to
sub rounded, well sorted to moderately sorted,
few Fe, Mg grains observed.
SUB-RECENT DEPOSITS
42.67m
Sandstone
Siltstone
Claystone
Kaolin / Granite Wash
Sub Recent: Mix lithology, Silty, sandy,
and clayey at places. Oxidized, iron concretion,
yellow limonitic staining.
BARA FORMATION
153.74m
Claystone
Bara Formation: Mainly medium gray to dark Coal
blackish grey claystone, coaly, carby, in between Siltstone
coal seams Dirty Coal
Carby Claystone
BASEMENT COMPLEX
Granite Basement : Mainly pink granite of Precambrian Weathered Granite
TD=249.02 m age. Granite
COMPARISON OF THAR LIGNITE WITH OTHER COUNTRIES
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CREDIBILITY OF RESERVES
Source: Syngas and Coal Technology, R & D, SASOL Mr Johannes Van Heerdeen
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Vision for Thar Coal
To develop Thar Coal as a major source of power
generation for Energy & Economic Security of the
country and as a Hub of Petro Chemical Industry
Goal
To generate at least 10,000 MW by 2020
offer
Huge proven reserves with attractive incentives
Higher returns for investors
Business friendly policies & environment
Excellent incentives, concessions & protections
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Strategy to attract Private Investment
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Fiscal Incentives for Coal Development
Thar Coalfield is declared as Special Economic Zone, and projects of development of Thar declared
as Projects of National Security
20% ($ Based) IRR to firms which achieve Financial Close before Dec 2015 for Mine & Power Plants
based on indigenous coal and 20.5% IRR for firms which Financial Close by or before Dec 2014.
Zero percent customs duties on import of coal mining equipment and machinery including vehicles
for site use.
Exemption on withholding tax on procurement of goods and services during project construction
and operations.
Exemption for 30 years on other levies including special excise duty, federal excise duty, WPPF and
WWF.
Coal based Power and Mining Projects in Sindh shall have the same
incentives, concessions, protections etc. as that available to IPPs developed under Power
Generation Policy 2002
Return on Equity
US Dollar based Return on Equity
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Power Purchase Guarantee Scheme
GoP guarantees obligations of power purchaser
GOP provides protection against political force
majeure, change in law and change in duties &
taxes
Payment of compensation in case of
termination due to GOP default
Tariff adjustments for variation in currency
exchange rates, fuel prices and inflation
Government ensures conversion of Pak Rupee
& remittance of foreign exchange for project-
related payments
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INFRASTRUCTURE AVAILABLE AT THAR
ROAD NETWORK
70 tonnes load carrying capacity metalled road is
available up to Coal field area.
ELECTRICITY
11 KV feeder emanating from Islamkot to Thar Coal
Project areas with 200 watts transformer is available.
COMMUNICATION
Telephone & Internet communication through Optic fiber
cable is available up to Thar Coalfield area.
DRINKING WATER
29 Reverse Osmosis Plants in Thar are available for
provision of portable water to residents as well as project
staff free of cost.
RESCUE STATION
Rescue Station in coal mining area at Thar coalfield
covering an area of 8,200 sq. ft. is completed
LIBRARY
A Coal library is situated at office of Sindh Coal Authority,
Karachi.
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INFRASTRUCTURE PLANNED AT THAR
TRANSMISSION LINE
NTDC has conducted feasibility study for lying of Transmission Line for
evacuation of 10,000 MW from Thar. In the first Phase they are
planning to evacuate 1200 MW.
AIRPORT
The GoS has approved a scheme at the cost of Rs.972.070 million for
the construction of Airport at Thar for Coal Fields of Sindh by the Civil
Aviation Authority. Ground Breaking is due in current month.
PROVISION OF HEAVY DUTY ROAD
The W&S Deptt. is upgrading the road from Karachi to Islamkot
through Hyderabad- Mirpurkhas- Naukot for facilitating transportation
of heavy machinery by Dec. 2012.
RAILWAY LINK
PRACS has prepared feasibility for broad gauge rail link from Port
Qasim to Islamkot.
LODGE AT THAR
Lodge at Thar with 20-bedded accommodation to facilitate foreign and
local investors is being constructed at Islamkot.
PROVISION OF WATER:
The GoS has planned to construct a water carrier to provide 300 Cusecs water
to Thar. Alternately, the option of provision of water from LBOD is also
being evaluated.
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Status of Allocated Thar Blocks
Thar Coal Block Status
Block-II
Sindh Engro Coal Mining Company Bankable Feasibility completed 31st August 2010
(JV: 40% Sindh Government; 60% Engro) Project financing activity continued.
2X600 Power Plant planned Chinese Funding through JEWG is being solicited
Open Pit Mining @ 6.5 Mtpa
Block III-A
Cougar Energy (UK) Pilot Burn planned in 36 Months
400 MW Planned Desktop studies under process.
Under Ground Coal Gasification Project In active negotiation with M/s Fouji Foundation for
Ergo Exergy Technology planned joint collaboration
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Investment Options
1. Coal Mining
Investors interested only in mining may apply for a mine
lease for mining the coal.
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Investment Options
4. Briquetting
5. Coal Gasification
Investors may propose to convert coal into gas and market the
syngas and bye products in open market, or may develop a forward
integrated project on any one or more bye products from
gasification project
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Thar Tomorrow
Thank You
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