Jamshoro plant to fully switch to Thar coal

Study says conversion can generate economic benefits of $3.2b

JAMSHORO:

A stakeholder meeting was held at the Thar Block-1 mine site to advance discussions on the supply of indigenous Thar coal for the 660-megawatt Jamshoro power project.

The meeting was attended by K-Electric (KE) Chairman Shaheryar Arshad Chishty, Thar Coal Energy Board MD Tariq Ali Shah, Sino Sindh Resources Limited (SSRL) CEO Li Jigen, Jamshoro Power Company Limited (JPCL) CEO Muhammad Abdul Vakil and representatives of the Private Power and Infrastructure Board.

Discussions focused on coal supply arrangements for the Jamshoro project during its interim blended coal operations and following its proposed conversion to full utilisation of Thar coal. The initiative was also considered in the context of KE's wider generation transformation programme, including opportunities to align suitable assets within its portfolio with indigenous fuel sources.

Recognising the importance of shifting the Jamshoro project to Thar coal for Pakistan's power sector, KE funded and commissioned an independent bankable feasibility study by German engineering consultant Dornier Power and Heat GmbH. The study established the technical and economic viability of the proposed conversion and estimated that it could generate economic benefits of $3.2 billion over the project's remaining life. The conversion could also significantly reduce imported coal requirements and conserve foreign exchange.

KE highlighted that the combined offtake requirement of the Jamshoro project and KE's future generation portfolio would create the long-term demand necessary to justify the expansion of Block-1 mine from the current 7.8 million tonnes per annum (MTPA) to around 15.6 MTPA.