SAIL testing coking coal for imports

JANUARY 19: SAIL imports about six million tonnes of hard coking coal annually. quot;In response to a recent global tender, 16 new overse...

JANUARY 19: SAIL imports about six million tonnes of hard coking coal annually. quot;In response to a recent global tender, 16 new overseas coal producers submitted applications and samples for pre-qualification as suppliers of freshly mined prime quality washed and unwashed hard coking coal,quot; K Chandra, incharge of coal import group of SAIL said.

quot;We are testing samples of coal from Russian, Chinese, Canadian and Australian sources for pre-qualification empanelment,quot; he said. SAIL already has a list of 22 established overseas hard coking brands and two prequalified brands, he said, adding that barring one, all the coals are of Australian origin.

Addition of new suppliers in the pre-qualification list would further encourage better competition among the coal suppliers, he added.

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Testing of coal samples include moisture content,volatile matter, ash sulphur and other chemical properties against desired specifications at sail8217;s research and development centre for iron and steel rdcis at ranchi.

The participants of the global tender have also submittedtheir own production details as well as estimated reserves of their mines to sail for pre-qualification bid, chandra said.

Australia had emerged as sail8217;s major supplier ofimported hard coking coal due to geographical advantage and a competitive edge in price on landed cost basis since freight component continued to be about 35 per cent of imported price of coal, the official said.

Almost 50 per cent of the coal blend used in sail plantsis made up of imported coking coal which has an ash content of around nine per cent. When mixed with indigenous coal with an ash content upto 20 per cent, the blend contains the desired amount of ash of around 14-16 per cent for sail8217;s blast furnace.

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Apart from importing six million tonnes of hard cokingcoal, sail also uses soft coking coal upto seven per cent for blending to produce hot metal.

Total imports of soft coking coals is about half amillion tonne and sources from non-Australian companies like Canada, the official said.