New Delhi: Jindal Steel and Power Ltd's (JSPL's) 1.8 million tonnes per annum direct reduced iron (DRI) plant based on coal gasification process (CGP) has resumed operations in Odisha's Angul district, the company said on Tuesday.
The plant was not operational for long due to scarcity of coal. Now Coal India Ltd and Mahanadi coalfields Ltd have started selling coal in adequate quantity.
"Our CGP and DRI plants are again working on the full potential on purchased coal and matching the vision of Prime Minister Narendra Modi, who invited gasification technology suppliers to set up environment-friendly plants in India based on Swadeshi coal," said Managing Director V R Sharma.
"This is a model plant for the country and its success depends upon the regular availability of coal. I am confident this plant will inspire others and attract more investments. We are targetting an additional production run-rate of 1.5 million tonnes per year of steel in FY20-21 through CGP and DRI route," he said in a statement.
The plant was set up to ensure availability of chemical and thermal energy required to produce DRI at an affordable price to reduce the environmental impact of coal in the long run.
The CGP converts high-ash grade coal into synthesis gas (syngas). It is the first plant of its kind in the world where syngas is used in making DRI. The syngas has replaced the costlier natural gas being used by other DRI manufacturers across the globe.