Jatenergy to build coal upgrading plant
Tuesday, May 29 2012 - 01:48 AM WIB
ASX-listed firm Jatenergy Ltd recently announced it had signed a nonbinding MoU covering licence for Coal Plus, a coal upgrading technology provided by Chinese technology company Zhengzhou Zhongneng Metallurgy Co Ltd (ZZM).
The technology is currently used in three operating facilities with a combined throughput of 2.2 million tonnes per annum in the Fugu County of Shaanxi Providence, China. Two more facilities using the technology are under construction in Fugu and Yulin with a combine planned throughput of 8 million tonnes per annum.
The Coal Plus license would initially cover a coal-upgrade project in Indonesia, and is expected to be formally put in place during the next eight weeks. A two million ton-per-year plant is expected to have a capital cost of around US$50m.
?Coal Plus has the potential to unlock large, low grade coal assets that currently are uneconomic to mine. We can look at doing this now because of Indonesia's new export rules governing low grade ores and local processing,"Jatenergy Executive Chairman Tony Crimmins said.
Coal Plus uses a standard pyrolysis and proprietary heat exchange technology for efficiency. The key outputs are electricity from gas production, coal tar for chemical feed-stocks and coal char potentially suitable as a semi-soft coking coal.
Editing by Er Audy Zandri