15 CBM blocks on offer in the first bidding round in over a decade
COAL & MINING

15 CBM blocks on offer in the first bidding round in over a decade

In the first bid round in more than a decade, the government has offered 15 blocks for extracting gas from coal seams or CBM. According to a notice inviting offers issued by the Directorate General of Hydrocarbons (DGH), the blocks are located in Maharashtra, Madhya Pradesh, West Bengal, Jharkhand, Odisha, and Chhattisgarh.

The deadline for bids in the Special CBM Bid Round-2021 is February 20, 2022.

This is the first round of CBM bids in over a decade. The most recent round took place in 2010.

CBM is gas or methane that can be found beneath coal seams in coal mines. It is similar to natural gas and can be used to power plants, run fertiliser units, or be used in automobiles as compressed natural gas (CNG).

Madhya Pradesh has the most coal-bed methane (CBM) blocks, with five total, and Jharkhand, Maharashtra, and Odisha each have two. In Chhattisgarh, three blocks are available, and one is in West Bengal.

In the previous four rounds of bidding, the government awarded 29 CBM blocks.

All 15 blocks are located in Category-III basins, which contain potential resources that need to be explored and discovered.

Sedimentary basins in India are divided into three categories: Category I basins have reserves that are being produced and exploited, and Category II basins have contingent resources that are being developed and monetised.

According to DGH, bidders who offer to do the most exploration work will be awarded the block in the current CBM round.

The auction is part of the government's effort to increase domestic oil and gas production to reduce reliance on imports.

India imports roughly 85% of its oil and about half of its gas requirements.

In the sixth round of the Open Acreage Licensing Policy (OALP), the government offered 21 conventional oil and gas blocks for bidding last month .

The deadline for OALP-VI bids is October 6.

In the meantime, the government has made 32 small and marginally discovered fields available. State-owned Oil and Natural Gas Corporation Limited (ONGC) and Oil India Limited (OIL) discovered these, but they were unable to develop them due to a variety of factors, including their uneconomical size.

Under the third Discovered Small Field (DSF) round, 32 such areas are now available.

These are part of the government's plan to more than double natural gas's share of the country's energy mix to 15% by 2030, up from the current 6%.

GAIL (India) Limited, a state-owned gas utility, is adding 15,000 km of gas pipelines in east India to an existing network of 17,000 km to create a national grid that will connect to city gas networks.

Image Source

In the first bid round in more than a decade, the government has offered 15 blocks for extracting gas from coal seams or CBM. According to a notice inviting offers issued by the Directorate General of Hydrocarbons (DGH), the blocks are located in Maharashtra, Madhya Pradesh, West Bengal, Jharkhand, Odisha, and Chhattisgarh. The deadline for bids in the Special CBM Bid Round-2021 is February 20, 2022. This is the first round of CBM bids in over a decade. The most recent round took place in 2010. CBM is gas or methane that can be found beneath coal seams in coal mines. It is similar to natural gas and can be used to power plants, run fertiliser units, or be used in automobiles as compressed natural gas (CNG). Madhya Pradesh has the most coal-bed methane (CBM) blocks, with five total, and Jharkhand, Maharashtra, and Odisha each have two. In Chhattisgarh, three blocks are available, and one is in West Bengal. In the previous four rounds of bidding, the government awarded 29 CBM blocks. All 15 blocks are located in Category-III basins, which contain potential resources that need to be explored and discovered. Sedimentary basins in India are divided into three categories: Category I basins have reserves that are being produced and exploited, and Category II basins have contingent resources that are being developed and monetised. According to DGH, bidders who offer to do the most exploration work will be awarded the block in the current CBM round. The auction is part of the government's effort to increase domestic oil and gas production to reduce reliance on imports. India imports roughly 85% of its oil and about half of its gas requirements. In the sixth round of the Open Acreage Licensing Policy (OALP), the government offered 21 conventional oil and gas blocks for bidding last month . The deadline for OALP-VI bids is October 6. In the meantime, the government has made 32 small and marginally discovered fields available. State-owned Oil and Natural Gas Corporation Limited (ONGC) and Oil India Limited (OIL) discovered these, but they were unable to develop them due to a variety of factors, including their uneconomical size. Under the third Discovered Small Field (DSF) round, 32 such areas are now available. These are part of the government's plan to more than double natural gas's share of the country's energy mix to 15% by 2030, up from the current 6%. GAIL (India) Limited, a state-owned gas utility, is adding 15,000 km of gas pipelines in east India to an existing network of 17,000 km to create a national grid that will connect to city gas networks. Image Source

Next Story
Infrastructure Urban

Consistent reforms will foster growth and reduce investor risk

Incorporated in 1986 as a wholly owned subsidiary of State Bank of India, SBI Capital Markets Ltd (SBICAPS) is a SEBI-registered Category I merchant banker and research analyst. It offers the entire bouquet of investment banking and corporate advisory services under one umbrella, covering project advisory and structured financing, capital markets, mergers and acquisitions, private equity, ESG advisory, startup advisory and stressed assets resolution. Headquartered in Mumbai, SBICAPS has seven regional offices of which six are in India (Ahmedabad, Bengaluru, Chennai, Hyderabad, Kolkata and New ..

Next Story
Infrastructure Urban

Adani Group Invests $240M in Global Skills Academy

The Adani Group has announced a partnership with ITE Education Services (ITEES) of Singapore to establish a world-class talent pipeline for industries such as Green Energy, Manufacturing, Hi-tech, Project Excellence, and Industrial Design. The initiative will see an investment of over $240 million by the Adani family to set up internationally benchmarked schools of excellence, named Adani Global Skills Academy. These finishing schools will train students from technical and vocational backgrounds, equipping them with industry-relevant certifications. Graduates will have employment opportunities..

Next Story
Infrastructure Urban

Swiggy to Invest $120M in Scootsy for Expansion

Food and grocery delivery giant Swiggy Ltd announced on Friday that it will invest up to $120 million in its wholly owned subsidiary Scootsy Logistics in one or more tranches. Scootsy specializes in supply chain services and distribution, including warehouse management, in-warehouse processing with value-added services, and order fulfillment for wholesalers and retailers. "We wish to inform that the Board of Directors of the company, at its meeting held on Friday, February 21, 2025, has approved the investment by the company in the equity shares of Scootsy Logistics Private Limited, a wholly..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?