Managing Challenges of Energy & Power Sector (Part 2)

Saleque Sufi did a research on managing the challenges of energy and power sector. This is the second part of his findings from this research.

2.2.4 Reservoir Study and Reservoir Management:

There is a general perception that discovered gas resource is depleting. But professionals cannot agree with this till authentic reservoir study of all discovered fields are done and secondary and tertiary recovery mechanism recovers maximum left over gas. Petrobangla must conduct reservoir study of all gas fields engaging consultants.

2.3 LNG Import Initiatives:

2.3.1 Present Status OF LNG Import

FSRU at Malabari

Astra Oil & Excellerate Energy Consortium (AE) is implementing FSRU project on BOOT basis at Malabari, Cox’s Bazar.  If everything goes according to plan the FSRU may be ready for operation by the end of 2018. The contractor will be required completing Geo Technical study, detail design and construction of FSRU within 16 months. The terminal operator will be charging 0.41 US$ per MMBtu of gas delivered. An officer working on the project stated that the end users price of LNG from this initiative under the present scenario may be US$17.10 per unit.  The government will have purchase gas on the take or pay basis from the project. The government is in negotiation with Qatar Government Company Ras Gas for importing 500 MMCFD LNG. GTCL has almost completed gas transmission pipeline from Malabari to the national gas grid at Anowara for transporting the gas. GTCL is also constructing a large gas transmission pipeline (Matarbari –Anowara –Faujdarhat – Bakhrabad) for transported additional LNG converted to the gas that may be available from planned Summit Group and ONGC FSRUs.

 

Other Initiatives:

Power cell of MPEMR and Petrobangla of EMRD have adopted projects for setting up three more land based LNG terminals at Maheskhali, Khulna, and Payera. An expert consultant will work out the technical requirements for setting up land based LNG terminals. Recently the government has signed an MOU with Petronet India for a land based LNG terminal at Kutubdia. Power Cell has received EOI from four interested bidders for a terminal at Maheskhali. These are Mitsui, Shell, Petronet, and HQE for FSRU at Maheskhali. Petrobangla may be discussing with the four companies short listed by Power Cell for setting up their planned LNG terminal at Payera and Khulna. Reliance Group of India and Summit Group of Bangladesh have plans for setting up LNG terminal at Maheskhali also.

LNG terminals require at least 12 meters all season draft for specialized LNG vessels for anchoring and supplying LNG to land based terminals for regasification. Any land based terminal would require extensive dredging for bringing the sea near the shore or land reclamation for taking the shore near the sea. Bangladesh coastal areas do not have required draft for LNG vessels to anchor at land terminals. In such case required ancillary works for land based terminals would be expensive and time .consuming. Considering the work volume and costs all land based LNG terminal projects will require extensive techno economic feasibility. These must be adopted after feasibility studies and carrying out risk analysis. But having said all these LNG would be one of the viable options for the long term energy security of Bangladesh.

 

2.4 Challenges Of Managing LNG Supply Chain:

LNG is a new concept Petrobangla and Bangladesh would require extensive capacity development in the following areas.

• Sourcing LNG from diverse source as LNG market is now over supplied. LNG price in the spot market is on the lower side but scenario may change with the change in crude oil market price. Bangladesh should set up an expert committee for sourcing LNG and negotiating contracts for long term LNG supply instead of relying exclusively on consultants only.
• Technical and managerial resources must have extensive training and capacity building for managing LNG supply chain – LNG processing, LNG transportation, LNG terminal operation.
• Developing appropriate pricing structure for LNG and LNG converted gas utilization strategy. US$ 16-17 per MSCF LNG would create huge price shock unless value added use is not identified and fixed.

3.0 Coal as fuel supply Option:

In addition to natural gas resource Bangladesh has a significant reserve of superior quality bituminous coal. The high heating value, low sulfur, and low ash coal at mineable depth can be a major source of energy generation as alternate fuel mix.

 

3. Resources Endowment:

Coal Reserve / Resources of Bangladesh:

Bangladesh has five discovered coal mines in greater Dinajpur, Bogra, and Rangpur districts of North Western part of Bangladesh.Proven in situ coal reserve of four mines excepting Jamalganj is 884 million tons, proven +provable reserve is 2247 Million Metric tons.

 

The following table illustrates the information about discovered coal mines.

Coal Mine/Field	Year of Discovery	Depth of Coal Seam (Meter)	Proven In Situ Reserve (Million Tons)	Proven +Provable Reserve (Million Tons)	Status
Barapukuria Coal Mine,Dinajpur	1985-1987	118-509	303	390	In production Utilizing Long Wall Top Caving Underground Mining Method
Khalspeer ,Rangpur	1989-1990	257-483	143	685	Development Under Consideration
Phulbari ,Dinajpur	1997	150-240	288	572	Development Under Consideration
Dighipara,Dinajpur	1994-1995	328-407	150	600	Development Under Consideration
Jamalganj ,Joypurhat	1962	640-1158		1053 (estimated )	Investigation for Coal Bed Methane (CBM) extraction is in progress
Total ( Without Jamalganj)			884	2247

Source: Geological Survey of Bangladesh (GSB), Petro Bangla (as of December 2007)

Coal Quality

Sl. No	Name	Rank of Coal	Gross Calorific Value, btu/lb	Ash (%)	Volatile Matter (%)	Sulfur (%)	Moisture (%)	Fixed Carbon (%)
1	Barapukuria Coal Mine	High Volatile Bituminous  Coal	11,040	12.40	29.20	0.53	10.00	48.40
2	Phulbari Coal field		11,884	15.0	36.00	<1	2.40	51.50
3	Khalashpir Coal Field		12,700	13.30	22.15	0.67	2.14	59.90
4	Jamalganj Coal Field		11,800	Data not found	38.00	0.60	Not tested	35.00
5	Dighipara Coal Field	Not determined

Reference: Report Of Engr. Sharif Manager BCMCL (Monash University -RMIT University administered DFAT assisted Capacity Development Project).

 

3.1 Mining of Domestic Coal:

3.1.1 Mining at Barapukuria:

Barapukuria is the only coal mine in Bangladesh from which coal has been produced by adopting fully mechanized multi slice longwall mining technique in the first slice. Currently, in the second slice, coal is being produced by adopting Longwall top coal caving (LTCC) mining technique.

In Barapukuria coal field, the coal seam is under laid by a thick (around 120m) water bearing strata. The depth of coal seam ranges from 118m – 509m. Though the reserve of coal in Barapukuria coal field extends around 6.68 sq.km, coal is being produced currently from the central 3 sq.km area. It is estimated that, out of total 390MMT geological reserve of coal, around 64 MMT could be recoverable by underground mining technique from Barapukuria coal field. Coal of Barapukuria is now used in the Mine mouth Coal Based power plant and sold in the local market for other users.

 

3.1.2 Challenges and Challenge Mitigations:

Underground Mining in Barapukuria has encountered almost all kinds of impacts that can be conceived of an underground mining. Continuation of mining after confronting and mitigating these impacts have made mining operation very expensive.

The challenges and mitigation processes as appeared in a report of Engr. Sharif Manager BCML submitted after his capacity development training in Australia mentioned the following

 

Technical Challenges;

3.1.2.1: Faults:

The presence of 38 faults identified by a seismic survey in Barapukuria coal field has created great challenges for underground mining. Rock and coal near fault affected area are very soft, fragile and easily breakable. There have been several incidents of sudden roof fall, rock bumps near the fault affected area during development and production period. Such faults are being mitigated by the Chinese mine operator by installing additional supports on roadway roof.

• Dyke:

Dyke in the major structure in Barapukuria coal mine observed during the development period. Dyke is mainly encountered into the northern coal panels. The angle of the Dyke is 50⁰ – 55⁰ NE. It is mainly composed of kaolinitic clay with some sand and silt particles. It is very soft, easily breakable and gets washed by the flowing water. The presence of Dyke affects the development and production by creating little to massive roof fall. High pressure develops in both sides of the Dyke. Increasing support system and slow development/production in the dike affected area are the main mitigation procedure to overcome the effect of Dyke in underground.

3.1.2.3 Roof – fall:

Mitigation of roof fall is one of the common challenges in Barapukuria coal mine. From the beginning of the development of underground roadways, roof falls are occurring in several places in weak strata.

3.1.2.4 Water In-rush:

Barapukuria coal mine is a mine under water body. During the development of pit bottom area, water inrush was experienced in 1988. Around 700m³/hr water flooded the mine. The absence of adequate pumping facility led to the suspension of mining activities for 2 years. Mining commenced after installation of new pumps and the problem is now satisfactorily managed.

3.1.2.5 Huge Water Inflow:

After completion of the total development of permanent roadways, completion of the production from the 1^st slice and ongoing production from the 2^nd slice in underground it was observed that total around 2000m³/hr water is coming from different roadways and production panels/faces. Mitigation of the dewatering of such quantity of water from underground is a great challenge to Barapukuria coal mine.

After completion of the total development of permanent roadways, completion of the production from the 1^st slice and ongoing production from the 2^nd slice in underground it was observed that total around 2000m³/hr water is coming from different roadways and production panels/faces. Mitigation of the dewatering of such quantity of water from underground is a great challenge to Barapukuria coal mine.

3.1.2.6 Hot water intrusion:

Hot water (45⁰C – 53⁰C) intrusion in Barapukuria is an unpredictable phenomenon. Hot water is mostly coming from southern coal faces of the current mining area. It was observed during the development of 1101 face at -260m level and also at -430m level in track cross-cut area and at 1109 coal face. Due to an inflow of hot water into the coal face, southern coal panels were reduced by a length at least 400m from the original design. This is a great challenge of Barapukuria coal mine.

• Rock Bumps:

Rock bumps were encountered at 1108 face. Around 40m roadways collapsed in one incident. Rock bump is creating significant challenge of underground mining at Barapukuria

• Spontaneous Combustion:

Spontaneous combustion of coal greatly affected the production from 1110 coal face at around -370m level. For fire incident, at goaf area, all the face equipment was in danger of losing.The face was sealed for about 3 years. After applying expensive advanced technology for mitigating the fire problem in coal face the equipment was salvaged.

• Water management:

Managing mine water is always a challenge for any coal mine anywhere. Currently, the Barapukuria coal mine is withdrawing more than 2000³/hr water from underground to surface. Most of the water coming in underground from the goaf area of the panels and some are coming from the roadways. Two pump stations located at -260m and – 430m are managing this huge quantity of water. All flowing water coming towards the sump near pump station are pumped  to surface. After proper treatment, the underground water is discharged to Ashura bill at around 35-40km away from the mining using a little canal. Chemical and bacterial test result of the underground water evidenced that this water is no harmful for bio diversity or echo system of the area and is not harmful for cultivation.

 

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