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ENERGY NEWS MONITOR Energy News [GOOD] Lower price for Qatar LNG is positive though it has nothing [UGLY] to do with Indian energy muscle! Page 12 Coal block auctions [BAD] are faltering False assumption on rising commodity prices led to the $ 10 because India is billion loss on coal equity! not insulated from Page 17 global headwinds as presumed! [WEEK IN REVIEW]……………………... Page 20 [NATIONAL: OIL & GAS]……………………… [NATIONAL: POWER]……………………… [INTERNATIONAL: OIL & GAS]……………………… [INTERNATIONAL: POWER]……………………… ANALYSIS / DATA Volume XI I 8 January 2016 ISSUES INSIGHT Issue 30 [COAL WASHING: GLOBAL PERSPECTIVE] “Coal preparation facilities may have different size ranges [RENEWABLE for similar coals. Sizing is performed to separate coal according to the ENERGY / difference in sizes. Concentration is the heart of coal preparation where actual coal cleaning occurs whereas dewatering helps in removal of CLIMATE surface moisture. Depending upon its type and its utilisation, coal can be CHANGE subjected to different levels of cleaning. The cost of coal preparation TRENDS] depends on the methods used and also on the degree of beneficiation required. The coal preparation technologies vary from country to country depending upon their requirement and economic viabilityCONTENTS…” INSIGHT…… [WEEK IN REVIEW] ORFOBSERVER Centre for Resources Management RESEARCH 1 FOUNDATION 30 December 2015 – 5 January 2016 • ` 90 bn Warangal power project may be awarded next CONTENTS INSIGHT…… month • Nepal to buy 90 MW more power from India [WEEK IN REVIEW] • Power Grid completes Khammam-Nagarjunasagar transmission line COMMENTS………………… • Discoms unhappy as govt extends amnesty scheme • Rajasthan discoms can't cure debt woes by tariff hikes • Coal Washing: Global Perspective Policy / Performance………………… ANALYSIS / ISSUES………… • 'Make in India' for affordable nuclear power • The Paris Agreement (Part I) • Indian coal barons’ $10 bn global mine investments may flounder DATA INSIGHT……………… • Govt approves setting up a Nuclear Liability Fund with a corpus of ` 20 bn • Subsidised (PDS) Kerosene Allocation, 2015-16: States • 15 states with 90 percent accumulated losses of power & UTs distributors on board UDAY: Goyal • Tamil Nadu must join discom revamp scheme: Goyal [NATIONAL: OIL & GAS] • Telangana CM orders 9-hour power supply to agriculture Upstream………………………… • Odisha based MCL launches unique mobile app • India on-track to become self-sufficient in coal • PM Modi meets global oil majors to boost investments production: Coal Secretary Downstream…………………………… • AAP govt to take a call on Badarpur power plant closure date • LPG bulk tankers to ply via Bangladesh • Andhra Pradesh power utilities seek 12 percent hike in tariff Transportation / Trade……………… • Govt to sign nuclear damages pact • • India's energy muscle helps Petronet get better Qatar Fourth round of coal block auctions cancelled gas deal • India offers to import more crude from Iran [INTERNATIONAL: OIL & GAS] • GAIL in talks with Golar LNG for shipping US gas Upstream…………………… Policy / Performance………………… • Green Dragon gas exceeds 2015 production target • DBT in kerosene to help better targeting of subsidy: from China's CBM assets Finance Ministry • Statoil receives consent to drill North Sea well • Govt launches LPG emergency helpline number 1906 • Quadrant makes condensate rich gas find at Roc-1 well • ATF cut by 10 percent, but non-subsidised cooking gas off Western Australia rises by ` 49.5 • Woodside Petroleum discovers gas offshore Myanmar • CNG in NCR to be sold at concessional rates: Oil • UK oil, gas output rises for first time in 15 yrs Minister • Syncrude's oil sands output down 26 percent in • Odisha to get 40 lakh new LPG connections by 2019: December Oil Minister • America's first shale gas export terminal starts production [NATIONAL: POWER] Downstream…………………… Generation……………… • Chicago gasoline, diesel slip after oil pipeline restart • • BHEL commissions 600 MW thermal unit in Telangana Czech oil pipeline operator reaches transport deal with • Record production of 3.9 GW by UP-owned power Unipetrol refinery plants in 2016 • CIL surpasses output target in December Transportation / Trade………… • West African January crude exports to Asia edge off Transmission / Distribution / five-month high Trade…… • Enbridge temporarily shuts Line 7 oil pipeline after protest • Delhi discoms seek to end contracts with state run • Venezuela delays gas exports to Colombia companies ORF Centre for Resources Management 2 30 December 2015 – 5 January 2016 • Russia's Rosneft extends contract with Poland's PKN • Oasis Group to invest ` 5 bn for setting up ethanol Orlen plant • Norway's pipeline gas exports to Europe hit new • ` 730 mn climate fund to revive pokkali farms record high • Unique Indian geological feature may mitigate climate • Iraq's southern oil exports hold near record in change December • Railway Minister launches green energy initiatives • Centre to provide ` 50 bn subsidy for rooftop solar Policy / Performance……………… power • Argentina to cut price of locally produced oil by 12 GLOBAL……………… percent • China insurance fund to invest in Russia's Yamal LNG • E.ON separates fossil fuel business to focus on • Global oil, gas prices to remain weak in 2016: Moody's renewable • Iran says boosting oil exports depends on future • China to increase wind, solar power capacity by 21 demand percent in 2016 • Big oil to cut investment again in 2016 • Russian oil output hits post-Soviet record high in December 2015 [INTERNATIONAL: POWER] Generation………………… • EFT starts testing first 300 MW power plant in Bosnia • Sembcorp invests in 1.3 GW coal-fired power project in China • Fortrum plans to upgrade 1 GW Loviisa nuclear plant in Finland • Japan-led group wins Oman bid for $2.3 bn power- generating project • GE wins $1 bn Saudi power plant contract Transmission / Distribution / Trade…… • CNNC and CGN create JV for nuclear technology export • Kakhovka-Titan power transmission line feeding Crimea fixed Policy / Performance……………… • PLN cuts electricity prices by up to 8.5 percent • Malaysia's biggest electricity firm plans $3 bn global sukuk for expansion abroad • China to suspend new coal mine approvals amid pollution fight [RENEWABLE ENERGY / CLIMATE CHANGE TRENDS] NATIONAL………… • Rajghat power house may become waste-to-energy plant • Mahindra Group to use food waste for CNG production • Ministry looking at Euro VI compliant vehicles by 2021 ORF Centre for Resources Management 3 30 December 2015 – 5 January 2016 [WEEK IN REVIEW] COMMENTS……………… Coal Washing: Global Perspective Ashish Gupta, Observer Research Foundation oal preparation technologies play an important role in the electrical power supply chain by providing high- C quality fuel for coal-fired utilities and industrial boilers. There are four important stages in coal preparation ie crushing, sizing, concentration and dewatering. Depending on the sizes involved, the coal is crushed, broken or ground. Breaking is commonly used on the largest sizes, crushing on the mid range sizes and grinding is used on the very finest sizes. Grinding or pulverising is normally done just prior to utilisation1. There are no hard and fast rules as to what these ranges are. Coal preparation facilities may have different size ranges for similar coals. Sizing is performed to separate coal according to the difference in sizes. Concentration is the heart of coal preparation where actual coal cleaning occurs whereas dewatering helps in removal of surface moisture. Depending upon its type and its utilisation, coal can be subjected to different levels of cleaning. The cost of coal preparation depends on the methods used and also on the degree of beneficiation required. The coal preparation technologies vary from country to country depending upon their requirement and economic viability. The coal washeries global scenario is given below2: Country Washeries Status Technology Used Australia 70 coal preparation plants are in Raw coal crushed to 50/ 60 mm place Most of the run of mine coal is Coarse coal washing routed through coal preparation plants • Mainly by Dense Medium Cyclones Coal meant for exports are fully • Drums or Baths in some plants washed • Jigs at few plants Fine coal washing • Spiral + Jameson or Microcel technology • Limited use of froth flotation for metallurgical coal Dewatering • Coarse & medium size- Vibrating or Scroll Type Basket Centrifuges • Flotation products – Vacuum filters & Screen Bowl Centrifuges • Tailings – High Rate Gravity Thickener & Belt Press Filter China 2000 coal preparation plants are Raw coal crushed to 100/ 50 mm in place 60 % of the coal produced is Coarse coal washing (100/ 50 – 25/ 13 mm) routed through coal preparation plants • Mainly Jigs • Dense Medium Separator (Drewboy, Vertical lifting wheel separator) Fine coal washing • Mainly flotation 1 M. C. Albrecht, Kaiser Engineers Inc paper on “Coal Preparation Process”, Oakland, California 2 S. R. Ghosh, Director (Engineering Services) presentation on “Global coal beneficiation scenario and economics of using washed coal” CMPDIL, India ORF Centre for Resources Management 4 30 December 2015 – 5 January 2016 • Column flotation (for very fine coal) Dry separation (limited application) • Compound Dry Separators • Limited use of Air Dense Medium Dry Separator Dewatering • Mainly High Frequency Screen • Centrifuge (vertical & horizontal) • Pressure Filters • Fast Diaphragm Filters Plate and Frame Filters (for slime recovery) United 265 operating coal preparation Each coal preparation plants employs