The coal mine is estimated to hold approximately 175 billion tonnes of lignite resource
China-based power generation company Shanghai Electric Group has achieved financial close for the coal mine project of the Thar Block-1 integrated coal mine-power project in Pakistan.
Claimed to be the largest in Asia, the coal mine is estimated to hold approximately 175 billion tonnes of lignite resource.
It covers more than 9,000km² of area in the Thar Desert in the south-eastern region of Sindh Province, Pakistan.
The coal mine at the Thar Block-1 Integrated Coal Mine-Power project is planned with an annual production capacity of 7.8 million tonnes per year.
The power project will supply electricity to 4 million homes in Pakistan
Comprising two 660MW coal-fired power facilities, the power project supply 1.32GW of indigenous, affordable and reliable electricity to 4 million homes in Pakistan per year.
Shanghai Electric said that the Thar Block-1 Integrated Coal Mine-Power project was developed under the China- Pakistan Economic Corridor Project (CPEC) as part of Pakistan Government’s efforts to improve energy security and reduce the cost of power generation.
Currently, the project employs more than 908 local workers and is expected to employ more during the peak construction times.
Shanghai Electric said that it has taken advantage of the positive momentum of the project and has already commenced construction on the power plant in the Thar coalfield.
Following the start of power generation in 2022, the power plant will operate with acid gas removal rate, along with low sulfur dioxide emissions to reduce its impact on the environment.