New Delhi: The government on Monday said Eastern Coalfields Ltd, a Coal India subsidiary, has commenced its first-ever pilot project for underground coal gasification in Jharkhand.

Underground coal gasification (UCG) is a method of converting coal still in the ground to a combustible gas that can be used for various uses, including power generation. "Under the strategic direction of the Ministry of Coal, Eastern Coalfields Ltd (ECL) has embarked on an innovative pilot project for Underground Coal Gasification at the Kasta coal block in Jamtara district, Jharkhand," the coal ministry said in a statement. The move indicates the Centre's proactive diversification efforts within the coal mining sector.

The initiative aims to revolutionise the coal industry by using in-situ coal gasification to convert it into valuable gases such as methane, hydrogen, carbon monoxide, and carbon dioxide. These gases can be utilised to produce synthetic natural gas, chemical feedstock for fuels, fertilizers, explosives, and other industrial applications. The coal ministry said that it is fully committed to promote coal gasification projects, recognise their potential to transform coal into various high-value chemical products. Coal India selected the Kasta coal block to implement UCG technology tailored to the country's geo-mining conditions. Managed by ECL in collaboration with CMPDI Ranchi and Ergo Exergy Technologies Inc (EETI) from Canada, this project spans two years and comprises two phases.