Dhaka: The government formed a committee to examine a proposal from American Clean Coal Ltd company on a unique scheme for generating some 5,000mw power by extracting coal from Jamalganj coal-mine using underground coal gasification’ (UCG) method.

Officials said the nine-member committee, formed Monday by the Energy and Mineral Resources Division of the Power Ministry with its joint secretary (development) as convenor, has been asked to report within a month.

“A Memorandum of Understanding (MoU) will be signed with the US company following recommendations from the committee,” one official told Banglanews.    

The panel will verify the proposal and its financial and technical aspects before the government goes for striking the deal.

The company will generate 5000-megawatt power by ‘underground coal gasification’ (UCG) method from Jamalganj coalmine in Naogaon and neighboring Joypurhat district.

Meanwhile, leaders of the National Committee to Protect Oil and Gas Wednesday demanded generation of power through UCG method instead of open-cast mining.

The campaigners have long opposed the open-pit mining bid at Phulbari coal site, and British firm Asia Energy had to pack their bags in the face of violent demonstrations that also cost several lives of the local villagers.

AHS/LY/MUA

BST 1400 HRS, May 12, 2010