The Tatas are set to launch India’s first $8bn coal-to-liquid (CTL) project. The project, a joint venture with Sasol, is said to have received government clearance.
The Tatas have sought access to 30m tonnes/year of coal to produce 3m bbls of oil. The project would be based on Fischer Tropsch technology that will convert syngas into oil which can be refined to produce naphtha and other products.
Interest in CTL projects is rising. Reliance Industries is also said to be talking to Coal India for a joint venture 80,000 bbl/day project.