EXECUTIVE SUMMARY 1.0 GENERAL

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1 EXECUTIVE SUMMARY 1.0 GENERAL Presently XIV seam is the only working seam in Jitpur Colliery. It is being worked by conventional and semi-mechanised longwall method in conjunction with hydraulic sand stowing. The life of XIV seam is MTPA with extractable reserves of about 1.97 Mt. There are eight working longwall faces(one shearer longwall face, two roadheader longwall faces and five manual longwall faces). The longwall panels are distributed in two locations i.e on the rise side and dip side of the property. The dip side panels were exhausted. Presently all the longwall panels are being worked in the rise side property of the mine. The present production from Jitpur Colliery is 450t per day. With comparatively high growth of countries GDP, there is enormous thrust in increasing the production of steel in our country. Coking coal of suitable quality is one of the basic ingredients for steel production in a steel plant. Limited availability of good quality of coking coal in our country is forcing the steel manufacturers to import coking coal from other countries at a very high price. To meet the partial requirement of coking coal for the integrated steel plants and to reduce the import burden to some extent, Project report is prepared to study the XII and XVA seam for technical feasibility and financial viability. The objective of project report is to extract the XII and XVA seam at rate of 2000TPD. 2.0 LOCATION & COMMUNICATION Mine area of Jitpur Colliery is located in the eastern part of the Jharia Coal field. The mine take area is around 1.62 Sq.Km. It is bounded from the South, south east, east and north by TISCO s collieries Jamadoba 3&4 pits, Digwadih,Jamadoba 6&7 pits and from north-west by BCCL s colliery Bhutgoria. Jitpur Colliery is well connected by metal road with district head quarter Dhanbad. It is located at 15Km south of Dhanbad by road. Bhaga Railway station is the nearest railway station which is at a i Project Report of JITPUR COLLIERY, SAIL

2 distance of 2.5 km from the mine. The state capital Ranchi is situated at 161 Km south west from Dhanbad. 3.0 PROJECT BACKGROUND Indian Iron and Steel Company steel plant (IISCO Steel Plant - ISP) of Steel Authority of India limited (SAIL) has placed a work order no. DCM/CCWO/09-10/161, Dt , on the Singareni Collieries Company Limited (SCCL) to prepare Project Report for extraction of XII and XVA seams at a rate of 2000 TPD from Jitpur Colliery. 4.0 GEOLOGY 4.1 GEOLOGY OF JITPUR COLLIERY BLOCK The Block is located in eastern part of monocline Jharia Coal field. Detailed exploration was conducted by drilling 21 exploratory boreholes in 1950s. Further, in 1959, five underground boreholes were drilled from XVI seam floor. There are 8 No. of coal seams present in lease hold area of Jitpur colliery. Summarized details of coal seams in ascending order based on sub surface data are given below. Seam Avg. Parting Seam Thickness (m) Seam Depth (m) Remarks thickness(m) Minimum Maximum Minimum Maximum XVIII Exhausted Parting XVII Exhausted Parting XVIA Exhausted Parting XVI Exhausted and presently using for Pumping only Parting XV A Virgin (Thin seam), proposed for extraction Parting XV Virgin (Jhama)* Parting 45 XIV Being Worked Parting XII Virgin, proposed for extraction No exploration below XII seam Source: Data provided by Jitpur colliery management ii Project Report of JITPUR COLLIERY, SAIL

3 * Jhama is a very hard material difficult to break due to volcanic intrusion 3.2 DETAILS OF COAL SEAMS Detailed description of coal seams proposed for extraction are given below XII SEAM XII seam is the bottom most workable seam as per data given to SCCL. The immediate roof and floor of the seam is shaley Sand stone and dark shaley sand stone respectively. This seam was intersected in 5 boreholes drilled in the block. The density of boreholes works out to be 3.12 boreholes per Sq.Km. The depth of intersection of above seam varies from 382 to 614m. The seam thickness varies from 7.92 to 8.23m with a usual thickness of 8.0 m (Plate No.VIA). SI.No. XII Seam B.H.No. Thickness(m) Remarks 1 UG BH Drilled from XVI Seam 2 UG BH Drilled from XVI Seam 3 UG BH Drilled from XVI Seam 4 Noonodih Drilled from Surface (Not considered because of abnormal variation in thickness) 5 J3-Shaft 7.92 Upcast Shaft Since seam XII is the major source of production for the proposal under consideration precise geological data is required before implementing the project. Hence, it is recommended to drill sufficient number of boreholes(11nos) from the working XIV seam downwards to assess seam thickness, coal quality and geological structures etc., iii Project Report of JITPUR COLLIERY, SAIL

4 XVA SEAM The Singareni Collieries Company Ltd. XVA seam occurs above XV seam (which is a virgin seam, Jhama, unworkable seam) with an average parting thickness of 49.68m. This coal seam is not developed in the major part of the block. This seam was intersected in 12 boreholes drilled in the block. The density of boreholes works out to be 7.5 boreholes per Sq.Km. The depth of intersection of above seam varies from 222 to 414 m. The seam thickness varies from m with an average thickness of 1.48 m (Plate No.VIB & VII). BH No. XVA Seam Thickness(m) Remarks BH.No Drilled from XVI Seam BH.No Drilled from XVI Seam BH.No Drilled from XVI Seam BH.No Drilled from XVI Seam BH.No Drilled from XVI Seam J1-Shaft Drilled from Surface J3-Shaft Drilled from Surface Noonodih Shaft Drilled from Surface Noonodih BH Drilled from Surface Noonodih BH Drilled from Surface Jitpur BH Drilled from Surface Jitpur BH Drilled from Surface 3.3 Structure Several dykes pass through the lease hold property of the Jitpur colliery. A 16.5m wide dyke is encountered in the XIV seam. Other intrusions like sill, slip etc. are also iv Project Report of JITPUR COLLIERY, SAIL

5 present in the western part of XIV seam. Gradient of the coal seams i.e., XII and XVA varies from 1 in 6.5 to 1 in Gassiness The gassiness of XIV seam of Jitpur Colliery was reported as Degree-III, i.e rate of emission of inflammable gas per tonne of coal produced exceeds ten cubic meters. Inflammable gas emission Rate for selected seams i.e XII and XVA are not known. Hence, gassiness of selected seams is also considered as Degree III. 3.5 Make of water The make of water in the XII seam during stowing is 1060 Gallon per Minute. Hence, the make of water has been assessed as 1170GPM for at planning Purpose. 3.6 RESERVES Reserves of proposed seams i.e XII and XVA are categorized as Indicated. Since the geological continuity of the seams has to be established beyond reasonable doubt by further drilling. The seam wise geological reserves were estimated from the respective seam iso-chore plans and specific gravity of the respective grade is considered. The details of Geological reserves are as indicated below: S No Seam Estimated Grade Geological reserves(mt) 1 XII Data not available, but considered as washery grade - III 2 XVA 2.70 Data not available, but considered as washery grade - III Total Thus, a total of Mt of Geological reserves with Washery Grade-III are estimated considering available borehole data supplied by the Jitpur colliery management for the proposed seams (XII & XVA seams) for extraction. v Project Report of JITPUR COLLIERY, SAIL

6 Out of 19.33Mt of geological reserves, 16.59Mt are mineable after deducting the loss of coal reserves due to Mine boundary, barrier against dykes etc., The net extractable reserves including trunks headings, after deducting losses due shaft pillar, drainage levels, technology and odd patches etc. comes to 8.09Mt for option-1 (extraction of XII seam by Continuous Miner) and 9.45 Mt for option-2 (extraction of XII seam by Side Discharge Loaders) The details of Geological reserves, mineable reserves and extractable reserves are presented below: Reserves in XII seam(mt) (A) Option-1 (Continuous Miner-2No.) (B)Option-2 (SDLs- 8No.) (C) Reserves in XVA seam(mt) Total reserves with option-1 (A+C) Total reserves with option-2 (B+C) Description 1) Geological Reserves Loss of reserves i) Mine boundary ii) Barrier against dykes iii)seam thickness <1.25m 0.58 Total ) Mineable reserves Loss of reserves i) In Shaft pillar ii) In Trunk roadways iii)due technology losses & Odd patches Total ) Extractable reserves Quality of Coal The gradation of coking coal is based on ash content. For different ash percentages the gradation is as follows vi Project Report of JITPUR COLLIERY, SAIL

7 Grade Ash Content The Singareni Collieries Company Ltd. Steel Grade I Not exceeding 15% Steel Grade -II Exceeding 15% but not exceeding 18% Washery Grade -I Exceeding 18% but not exceeding 21% Washery Grade -II Exceeding 21% but not exceeding 24% Washery Grade -III Exceeding 24% but not exceeding 28% Washery Grade -IV Exceeding 28% but not exceeding 35% Coal grade of XIV seam was given by Jitpur colliery management as washery grade- III. Due to non availability of adequate quality data, coal grade of XII and XVA seams are considered as washery grade-iii for the purpose of project financial evaluation. However, the coal grade of above seams has to be confirmed by further borehole drilling before project implementation. 4.0 Mode of entries It is proposed to approach the seams XII and XVA by existing three Shafts (J1,J3 and Noonudih). J3 shaft has access upto bottom most seam XII and is used for men and material transport. J1 shaft is proposed to deepen upto XII seam from XIV seam and used as downcast shaft. Noonudih shaft is proposed to widen from 3.65m to 8.0m and deepened from XIV seam to XII seam. Noonudih shaft is used as upcast shaft and for skip winding with 12 t capacity skip (proposed capacity of coal transport is 3000TPD). No alterations are proposed for J2 shaft. Presently J2 shaft is working as Upcast shaft. To bring J2 into downcast shaft, one tunnel of 163m length with 3m wide X 2.5m height is proposed from XVI seam to XVA seam. Two or three trunks are proposed to develop within XVA seam, from J1/J3 to Noonudih shaft to facilitate return air from XVI seam sumps via above said proposed tunnel. vii Project Report of JITPUR COLLIERY, SAIL

8 The details Shafts after re- organisation are as follows: The Singareni Collieries Company Ltd. Shaft Diameter (m) Depth (m) Purpose Status J Downcast shaft up to XII seam with Proposed for an emergency man winding. deepening upto XII seam J Downcast shaft with Double deck Already cage winding (men and material) & deepened up stowing range to XII seam Noonudih Upcast shaft with Coal winding from Being widened XII,XIV and XVA seams & for stowing ranges & deepened up to XII seam J Downcast shaft with single deck cage winding No alteration 5.0 SELECTION OF MINING TECHNOLOGY 1. Proposed to extract XII seam by longwall retreating in 2 or 3 lifts with Hydraulic sand stowing due to the following factors. Average seam thickness is about 8.0m. Considered degree of gassiness is degree - III. Presence of surface features over the lease hold area. overlying seams were extracted. More Conservation of coal due to without barrier in between panels. Presently method of working is being practiced in XIV seam. 2. The XVA seam is proposed to extract by Bord & Pillar in conjunction with Hydraulic sand stowing due limited reserves and inconsistency in seam thickness. viii Project Report of JITPUR COLLIERY, SAIL

9 6.0 PLANT AND MACHINERY The Singareni Collieries Company Ltd. The following major equipment is proposed to achieve the targeted production of 6.0 Lt per annum from XII and XVA seams. XII Seam Equipment Option-1: Continuous Miners-2Nos. LHDs-4Nos. Roof bolters-2nos. Feeder breakers-2nos. Option-2: SDLs -8Nos. XVA Seam Equipment Low Height SDLs -4 Nos. 7.0 METHOD OF WORK XII seam Seam is proposed to extract by Longwall retreating in lifts with hydraulic sand stowing since seam thickness is 8.0m and nature of seam is Degree-III gassiness. Further it is proposed to extract the seam by two options OPTION-1 i) Development of trunk roads, gate roads and interconnections by Continuous miner with LHDs. ii) Extraction of developed panels by Longwall retreating, by Continuous Miner in two lifts by leaving 1m coal parting between lifts, with hydraulic sand stowing. ix Project Report of JITPUR COLLIERY, SAIL

10 OPTION-2 i) Development of trunk roads, gate roads and interconnections by drilling, blasting and loading by Side Discharge Loaders (SDL). ii) Extraction of developed panels by Longwall retreating by SDLs in three lifts without leaving coal parting between lifts, with hydraulic sand stowing. XVA seam It is proposed to extract by Bord & Pillar method of mining in conjunction with Hydraulic sand stowing with 4 No. of low height Side Discharge Loaders (SDL). 7.1 DEVELOPMENT OF SHAFT BOTTOM The development at shaft bottom of XII seam will be taken up after completion of deepening of J-1& Noonudih shafts and after completion of construction works at pit bottom like insets, skip loading etc. Connection will be established between J-1 and J-3 shafts for establishing ventilation which will be followed by development of trunk roadways to Noonudih shaft. 7.2 DEVELOPMENT OF TRUNK ROADWAYS Initially it is proposed to develop two trunk headings of XII seam from J-1 shaft to Noonudih shaft. Later the remaining four trunk headings will be developed from Noonudih shaft to J1/J3 shaft. Subsequently six trunk headings will be developed from J1 shaft to dipside boundary and west side and east side trunks will be developed from Main trunks for the purpose of Belt, Haulage, Return and drainage. It is proposed to develop the Trunk roadways in XII seam with 4.8m wide and 3.6m height along the floor. A daily progress of 45m/1000 t is considered for each CM in Option-I. x Project Report of JITPUR COLLIERY, SAIL

11 It is proposed to develop Trunk headings by using one continuous miner with two LHDs and one Roof bolting machine in Option-I. The LHD, which receives the mined coal from the continuous miner and transport it to feeder breaker. The coal is then transported through a series of trunk belts to the underground storage bunkers. The coal from underground storage bunker is transported to surface by skip at Noonudih shaft. Auxiliary fans with ducting are also provided for face ventilation in all headings. In case of Option-II, the development of trunk roadways will be done by drilling, blasting and loading with Side discharge loaders similar to above option. The SDLs, which unloads the blasted coal on to belt conveyor. The coal is then transported through a series of trunk belts to the underground storage bunkers. The coal from underground storage bunker is transported to surface by skip winding at Noonidih. 7.3 DEVELOPMENT OF GATE ROADWAYS In Option-I, it is proposed to develop a pair of roadways 50m apart simultaneously with inter-connections at 50m intervals from top trunk roadways( Haulage & Belt) to bottom trunk roadways(return &Drainage) to facilitate the working of Continuous miner, better ventilation and safety. The dimensions of Gate roads is 4.8m wide X 3.6m height in XII seam. Gate road ways are proposed to be driven in full dip direction at a gradient, varying from 1 in 6.5 to 1 in 6.0. In Option-II, It is proposed to develop gate roadways with superimposition one above other leaving parting of 3m from top trunk roadways( Haulage & Belt) to bottom trunk roadways(return & Drainage) to facilitate better ventilation. As such one gate road along the floor and other is along the roof of XII seam. The proposed dimensions of gate roadways are 4.8m wide and 2.5m height. Access roadways will be made to drive the top gate roadway from Trunk roadways. Gradient of access roadways is planned to be 1 in 4. The staple pits will be provided at every 50m interval along the gate roads to connect top and bottom gate roads. The staple pits which are used for coal transport, men & material transport and ventilation. xi Project Report of JITPUR COLLIERY, SAIL

12 7.4 EXTRACTION OF PANELS The Singareni Collieries Company Ltd. In Option-I, Width of Blocks is planned to be 100m for working of Continuous miner and Length of the Blocks is planned to be 100m to 640m depend up on the available property. In this layout there is no barrier between the blocks as extraction is with hydraulic sand stowing and gate roads supported with yielding steel arches. LW block/panel is envisaged to extract the seam in two lifts by leaving parting of 1m in between lifts. The height of extraction in bottom and top lift is 3.6m. One continuous miner is envisaged to extract two panels simultaneously so that one panel is under coal cutting operation and other panel is under stowing operation. Each panel will be extracted with bottom and top lifts simultaneously. The percentage of extraction from the block is 84% and the percentage of extraction from the XII seam is 49 % of mineable reserves of Mt. Two continuous miners are deployed to achieve the production of 2000 TPD. In Option-II, Length of the Blocks is proposed to be 100m to 655m depend upon property available. The width of the blocks is proposed to be 150m to 100m so that frequent shifting of equipment can be avoided, leading to better productivity. The XII seam is envisaged to extract in three lifts. The proposed height of extraction in bottom lift, middle lift and top lift is 2.5m,3.0m and 2.5m respectively for easy in operations of roof bolting and erection of OC props and erection of barricade manually. The percentage of extraction in the block is 98%.The percentage of extraction from the XII seam is 58 % of the mineable reserves of Mt. Once the bottom lift face moves to a distance of 30m, middle lift face will be started after preparing the access roads (1 in 5 gradient) and middle lift gate roads. The access roads will be prepared at 30m interval. Top lift face will be started after 20m advance of middle lift face so that all three lifts will be extracted simultaneously. In three lift simultaneous extraction, a constant lag of 15/20m is to be kept between bottom lift middle lift and middle lift- top lift so that front abutment pressures will act on solid coal and not working face. xii Project Report of JITPUR COLLIERY, SAIL

13 It is proposed to extract two panels simultaneously to achieve the production of 1800 TPD, optimum utilization of SDLs and to fulfill the ventilation requirement. Total 8 Nos SDLs are proposed in two panels for working 6 Nos. of Longwall faces. 7.5 STOWING OPERATIONS Stowing is proposed for extraction of XII and XVA seams because of presence of important surface features, more conservation of reserves, complete extraction of seam (about 8m), degree-iii gassiness of the seam and overlying seams were already extracted. Moreover it is proposed to extract the XII seam panels without barrier Hydraulic gradient: Hydraulic gradients to farthest panels, i.e. Block No.1 (West side Panels), Block No.7 (East side Panels) and Block No.12 (Rise side Panels) as per Development Plan with CM option of XII seam from J3 Shaft is 1 in 2.98, 1 in 2.6 and 1 in 6.0 respectively. Hydraulic gradients to farthest panels, i.e. Panel No.2 and Panel No.3 of XVA seam from Noonudih Shaft are 1 in 3.0 and 1 in 2.4 respectively Stowing Parameters: Stowing parameters such as rate of stowing, sand : water ratio, stowing water at hydraulic gradient 1 in 3 and 1 in 6 are estimated from the Nomo grams for fine grained, medium grained and coarse grained sand separately. As per the Nomo grams minimum stowing rate of 165 Cum./Hr to maximum possible stowing rate of 247 Cum/hr and minimum sand water ratio of 1.15 to maximum sand water ratio (V/V) of 1.5 can be achieved. Presently Jitpur Colliery is being worked with stowing rate of 150 cum/hr for 150mm stowing range. For all practical reasons, stowing rate is considered to xiii Project Report of JITPUR COLLIERY, SAIL

14 be 150m 3 / hr at 1:1.5 sand water ratio. It is further suggested to lay 200mm dia. pipe ranges in place of 150mm dia. pipes Additional water inflow in to mine due to stowing: Quantity of additional water entering the Mine due to stowing operations is calculated as 7.93 lack gallons per day considering 1: 1.5 water sand ratio Capacity of stowing Bunkers and water Tank: A day requirement of Sand bunker capacity for stowing the XII seam is 2400 cum. There already exists one sand bunker at J3 shaft whose capacity is 2250 cum. It is quite enough to meet the sand requirement for XII seam. A day requirement of water reservoir capacity for stowing the XII seam is 7.93 Lakh gallons. But the existing water reservoir capacity at J3 shaft is 1.32 Lack gallons. J3 water reservoir can be easily refilled from the Main reservoir (which has capacity of 18.0 Lack gallons) by gravity of flow. Therefore capacity of J3 water reservoir is enough to meet the requirement of XII seam. It is proposed to extract the XVA seam in 15 th year of the project after evacuation of XIV seam due to ventilation constraint. The existing infrastructure at Noonudih shaft for stowing the XIV seam is used for XVA seam Availability of sand The sand will be transported to mine from the Damodar River which is 2.5 km from the mine by road. 8.0 SUPPORT SYSTEM 8.1 SUPPORT DESIGN FOR TRUNK ROADWAY The main function of support system in trunk roadway is to keep in position the immediate roof. At greater depth there are more likely problems of horizontal xiv Project Report of JITPUR COLLIERY, SAIL

15 stresses than vertical stresses in the strata due to deposition features and subsequent tectonic movement. The roadways will be supported with roof bolts of length not less than 1.9m length of full column resin grouted 20-22mm dia roof bolts in mm diameter drill holes at 1.2m intervals in one row and 1.0m interval between rows. The roof support in Trunk roadways shall be made by Yielding steel arches at 1.2m interval as permanent support in addition to roof bolting as practiced in XIV seam. 8.2 SUPPORT DESIGN FOR GATE ROADWAY The roof support in gate roadways shall be made by yielding steel arches at 0.6m interval in addition to roof bolting as practiced in XIV seam. 8.3 Monitoring of trunk Roadways The monitoring of roadways is very much essential for assessing the stability of roadways and for better strata control/management. Following equipment is useful in monitoring of roadways. a) Convergence Indicator b) Tell tales c) Borehole Extensometers d) Load cells e) Stress cells etc. 8.4 SUPPORT DESIGN FOR LONGWALL PANEL In Option-I, the roof support in Continuous Miner panel is achieved by roof bolting of 1.9m length of full column resin grouted 20-22mm diameter roof bolts in mm diameter drill holes at 1.2m intervals in one row and 1.0m interval between rows. Roof of bottom lift shall be supported with GRP (glass reinforced plastic) bolts. Roof of top lift shall be supported with steel roof bolts. xv Project Report of JITPUR COLLIERY, SAIL

16 In Option-II, roof support at longwall face is achieved by roof bolting of 1.8m length of full column grouted 20-22mm diameter roof bolts in mm diameter drill holes at 1.2m intervals in one row and 1.0m interval between rows in three lifts. However the method and pattern of support for the roof and sides (SSR) is to be framed in consultation with equipment suppliers and scientific agencies and approval is to be obtained from DGMS accordingly. 9.0 PRODUCTION PROGRAMME The Seam wise and year wise production details are furnished below (Option-1 continuous miners) Production (Lakh Tonnes) Years XII SEAM XVA Seam CM (2 No.) SDL (4 No.) Total Total xvi Project Report of JITPUR COLLIERY, SAIL

17 The Seam wise and year wise production details are furnished below(option-2, by SDLs) Years Production (Lakh Tonnes) XII SEAM XVA Seam SDL (8 Nos.) SDL (4Nos.) Total Total LIFE OF THE PROJECT The rated production capacity of the project is 6.0Lt for option-1 and 5.33Lt for option-2. The life of the project for both the options is 23 years SERVICE BUILDINGS The existing infrastructure available at J-1 shaft will be spared for the MDO and at Noonudih shaft, some constructions belonging to SAIL are available and the same will be spared for the MDO. So No capital is provided for service buildings. xvii Project Report of JITPUR COLLIERY, SAIL

18 12.0 MINE VENTILATION The following table shows the operating parameters of Main Mechanical Ventilators at different stages of mine workings Stage-1 (development stage to enhance production) During this stage it is proposed to operate existing workings in XIV seam, pumping & tunneling operations in XVI seam and development in XII / XVA seam. Stage-II (production enhancement stage) This is the final stage of ventilation system which facilitates full scale production from XII Seam simultaneously continuing the existing production capacity from XIV Seam. PERIOD Q (m 3 /s) OPERATING PARAMETERS OF MAIN MECHANICAL VENTILATORS J3 Upcast H (mmwg) I # (kw) Q (m 3 /s) J2 Upcast H (mmwg) I (kw) Stage-I Stage-II Option-1 (CM) Option-2 8 no. of SDLs)- selected option Noonodih Upcast # Efficiency of Fan system considered as 60% 13.0 PUMPING AND DRAINAGE The capacity of dip sump and HT sump in XII seam is 8.0 lakh gallons and 10 lakh gallons respectively. The inflow rate is estimated to be 90 LPS when the XII seam is in stowing operation. xviii Project Report of JITPUR COLLIERY, SAIL

19 As the installed pumping capacity is 150 LPS (one stand by pump) at each sump, which exceeds the inflow rate, the capacity of sumps are considered to be adequate POWER SUPPLY AND DISTRIBUTION Power is supplied to the Jitpur colliery through 33kV overhead line from Putki Grid substation via BSEB Bulihari substation of DVC (Damodar Valley Coal field). The overall maximum demand for the project works out to 4.8 MVA for a targeted production of 0.6 MTPA. The existing 33 kv Jamadoba substation with additional power requirement of 1 x 6MVA, 33/11kV transformer is proposed for this project. The 3.3kV over head lines, feeding power to the surface substation of Noonidih Jitpur colliery. Therefore, the incoming power supply for the Jitpur colliery shall be as follows: 1) Source of power supply : Putki Grid substation 33kV line 2) Receiving voltage : 33 kv OHT Line (Single circuit) 3) Metering equipment : At 33 kv Substation 14.1 Proposed Sub Station One transformer of 6.0 MVA, 33/11 kv is proposed in the existing Jamodoba surface sub- station to meet the surface and underground loads SURFACE LAND DETAILS The mine take area of the project is Ha. which covered with Nallahs, roads, aerial rope ways, township, office buildings, Transmission Lines, Telephone lines, Sand stock yard, sand stowing bunkers, water reservoir, Shafts and mine infrastructure etc CAPACITY OF THE PROJECT AND PRODUCTION SCHEDULE The viability has been worked out by taking annual rated output of the project at 0.6 Mt from XII seam and XVA seam. However, the capacity of the project varies depending on technology being worked. xix Project Report of JITPUR COLLIERY, SAIL

20 Option-I (Continuous miner technology) The project is scheduled to attain rated capacity in 4 th year. The year-wise build up of production is as shown below. Year Production (Mt.) Option-II ( SDLs) The project is scheduled to attain rated capacity in 6 th year. The year-wise build up of production is as shown below. Year Production (Mt.) MANPOWER & PRODUCTIVITY Manpower and Productivity of the proposed options for the extraction of seams-xii & XVA are as follows: Option-1(XII seam extraction by continuous miners (2 No.) and XVA seam by SDLs(4 No.)) 1. District level Manpower (Nos.) Average Daily attendance(nos.) No. of working days days per year 4. Output at 100% performance level LT 5. OMS at 100% performance level Tonnes 6. Annual wages (Rs Crores) xx Project Report of JITPUR COLLIERY, SAIL

21 Option-2(XII seam extraction by SDLs (8 No.) and XVA seam by SDLs(4 No.)) 1. District level Manpower(Nos.) Average Daily attendance(nos.) No. of working days days/ year 4. Output at 100% performance level LT 5. OMS at 100% performance level Tonnes 6. Annual wages (Rs Crores) Capital Requirement The head-wise capital requirement of the project is estimated considering the tenders awarded by SCCL in the recent past for similar works/ equipment and other information obtained from different sources. Head-wise capital requirement of the project is as shown below(option-1 By Continuous Miner): Rs Crores Capital required Total Sl. Particulars upto beyond Capital No 4 th year 4 th year 1 Prospecting and Drilling Plant & Equipment Development Total Capital Outlay Interest During Construction Revenue Expenditure Capitalised Total Capital requirement Head-wise capital requirement of the project is as shown below (Option-2 By SDLs): Rs Crores Sl. Capital required Total No Particulars upto beyond Capital 5 th year 5 th year 1 Prospecting and Drilling Plant & Equipment Development Total Capital Outlay Interest During Construction Revenue Expenditure Capitalised Total Capital requirement xxi Project Report of JITPUR COLLIERY, SAIL

22 19.0 Cost of Production The Singareni Collieries Company Ltd. Option-1 by Continuous Miner The element wise cost of production is estimated at 100% performance level as presented below: Rs Per Tonne Sl. No. Particulars As per PR July, 2010 Performance Level >>> At 100% At 85% Production (Mtpa) A Operating Cost 1 Wages Power Stores General Administration Sand Stowing Interest on Working Capital Sub-Total (A) B Fixed Cost 1 Interest on Loan Depreciation Sub-Total (B) Total Cost Details of cost of production are given in Annexure No. PR - 3. cost is briefly explained below: The element wise Option-2 by SDLs The element wise cost of production is estimated at 100% performance level as presented below: xxii Project Report of JITPUR COLLIERY, SAIL

23 Rs Per Tonne Sl. No. Particulars As per PR July, 2010 Performance Level >>> At 100% At 85% Production (Mtpa) A Operating Cost 1 Wages Power Stores General Administration Sand Stowing Interest on Working Capital Sub-Total (A) B Fixed Cost 1 Interest on Loan Depreciation Sub-Total (B) Total Cost Details of cost of production are given in Annexure No. PR - 3. cost is briefly explained below: The element wise 20.0 PROFITABILITY Option-1 by Continuous Miner The profitability of the project at 100% and 85% performance levels, is as given below: Sl. No. Particulars As per PR July Performance level 100% 85% 2 Production (Lt) Cost of production (Rs/T) Avg. sales realization (Rs/T) Profit (Rs./T) The project yields a profit of Rs per tonne at 100% performance level and Rs per tonne at 85% performance level. xxiii Project Report of JITPUR COLLIERY, SAIL

24 Option-2 by SDLs The profitability of the project at 100% and 85% performance levels is as given below: Sl. No. Particulars As per PR July Performance level 100% 85% 2 Production (Lt) Cost of production (Rs/T) Avg. sales realization (Rs/T) Profit (Rs./T) The project yields a profit of Rs per tonne at 100% performance level and Rs per tonne at 85% performance level BREAK EVEN OUTPUT Option-1 by Continuous Miner The Breakeven output, where there is no profit no loss, has been computed for the project. The project breaks even at % of rated capacity by producing 4.01 Lt. Option-2 by SDLs The Breakeven output, where there is no profit no loss, has been computed for the project. The project breaks even at 50.83% of rated capacity by producing Lt FINANCIAL IRR Option-1 by Continuous Miner Based on the flow of capital cost, replacement and operating cost together with the prevailing coal prices, IRR for the project is worked out to 16.45% at 100% performance level and 13.47% at 85% performance level. The details are shown in Annexure No. PR 4.4 & 4.5. xxiv Project Report of JITPUR COLLIERY, SAIL

25 Option-2 by SDLs The Singareni Collieries Company Ltd. Based on the flow of capital cost, replacement and operating cost together with the prevailing coal prices, IRR for the project is worked out to 16.81% at 100% performance level and 14.62%% at 85% performance level. The details are shown in Annexure No. PR 4.4 & RISK FACTOR ANALYSIS 1. Seam thickness, Coal Reserves and coal quality are estimated and/or considered based on available borehole data and other information supplied by SAIL management. The above parameters influence the project viability. So, above data required to be further confirmed by drilling extra boreholes is required to confirm before implementation of project are Seam thickness, Coal quality, Workability of XIII seam, Determine zones of jhama and Assess physico mechanical properties of coal and surrounding rocks before implementation of the project. 2. Before implementing the project report into actual operation, The SAIL Management shall carry out the detailed Environmental Impact Assessment (EIA)/ Environmental Management Plan (EMP) and obtain the Environmental clearance under Environment (Protection) Act, 1986 and Consent for Establishment (CFE) and Consent for Operation under Air (Prevention and Control of pollution) Act, 1981 and Water (Prevention and Control of Pollution) Act 1972 from the concerned State pollution Control Board. xxv Project Report of JITPUR COLLIERY, SAIL

26 3. Proposed type and method of supporting is primarily based on the existing method of supporting and permission conditions. Further, the support type and pattern of supporting proposed in XII and XVA seam for trunk, gate and depillaring faces to be framed in consultation with equipment suppliers and scientific agencies and approval is to be obtained from DGMS accordingly. 4. Stability of shafts should be assessed by reputed scientific agency before implementation of project 24.0 CONCLUSION 2) Production enhancement at Jitpur colliery by extraction of XII and XVA seams at a rate of 2000 TPD is proposed in two options. OPTION-1 XII seam i) Development of trunk roads, gate roads and interconnections by Continuous miner with LHDs. ii) Extraction of developed panels by Longwall retreating, by Continuous Miner in two lifts by leaving 1m coal parting between lifts, with hydraulic sand stowing. XVA seam iii) It is proposed to extract by Bord & Pillar method of mining in conjunction with Hydraulic sand stowing with 4 No. of low height Side Discharge Loaders (SDL). OPTION-2 XII seam i) Development of trunk roads, gate roads and interconnections by drilling, blasting and loading by Side Discharge Loaders (SDL). xxvi Project Report of JITPUR COLLIERY, SAIL

27 ii) Extraction of developed panels by Longwall retreating by SDLs in three lifts without leaving coal parting between lifts, with hydraulic sand stowing. XVA seam iii) It is proposed to extract by Bord & Pillar method of mining in conjunction with Hydraulic sand stowing with 4 No. of low height Side Discharge Loaders (SDL). 2) Both the options are technically and economically feasible. Both options has its own advantages and disadvantages when compared to each other Advantages with the option-1 is no drilling and blasting, concentrated workings, high productivity and production with more safety. Advantages with the option-2 is low capital requirement, consistency in production (due to large number of loading equipment), more coal conservation and more profit per tonne of coal produced 3) By considering above advantages and Degree of gassiness of the mine option- 1(extraction of XII seam by 2No. of continuous miners and extraction of XVA seam by 4No. of low height SDLs) may be considered. ***** xxvii Project Report of JITPUR COLLIERY, SAIL

28 PROJECT REPORT OF JITPUR COLLIERY I N D E X Chapter No. Key Plan Abbreviations Description Page No. Summarised Data (option-1 by Continuous Miners) Summarised Data (option-2 by Side Discharge Loaders) Executive Summary i-ii iii-iv i-xxvii List of Annexures (option-1 by Continuous Miners) A-1 A-28 List of Annexures (option-2 by Side Discharge Loaders) A-1 A-27 List of Plates Project Back Ground 1. Location, Communication and Physiography Geology Present status Present Proposal Approaches to coal seams Geo-Mining Parameters and selection of mining technology Mine Layout, System of Drivage and their support Method of Work Production Programme and Phasing Ventilation Pumping and Drainage

29 Chapter No. Description Page No. 12. Equipment Hydraulic Sand Stowing Transport system Safety measures Power Supply and Distribution Energy Conservation Environment Management Plan Manpower and Productivity Capital Requirement (option-1 by Continuous Miners) Capital Requirement (option-2 by Side Discharge Loaders) Financial Viability Analysis (option-1 by Continuous Miners) Financial Viability Analysis (option-2 by Side Discharge Loaders) Project Implementation schedule

30 CHAPTER-1 LOCATION, COMMUNICATION & PHYSIOGRAPHY 1.1 LOCATION Mine area of Jitpur Colliery is located in the eastern part of the Jharia Coal field. The mine take area is around 1.62 Sq.Km.. It is bounded from the South, south east, east and north by TISCO s collieries Jamadoba 3&4 pits,digwadih,jamadoba 6&7 pits and from north-west by BCCL s colliery Bhutgoria (Plate No.1) 1.2 COMMUNICATION Jitpur Colliery is well connected by metal road with district head quarter Dhanbad. It is located at 15Km south of Dhanbad by road. Bhaga Railway station is the nearest railway station which is at a distance of 2.5 km from the mine. The state capital Ranchi is situated at 161 Km south west from Dhanbad. 1.3 PHYSIOGRAPHY Surface of the lease hold area at Jitpur Colliery slopes slightly from north to south direction. The highest and lowest contours in the area are 177m & 158m respectively. The Drainage pattern over the proposed area is from North to South, all the rain water is being drained out though two drains over east and west of the property and connected to Karijore, which goes to Damodar river. The jore is on the dip side boundary of the property. ***** 1.1 Project Report of JITPUR COLLIERY, SAIL

31 CHAPTER-2 GEOLOGY 2.1 GENERAL GEOLOGY Mining area of Noonodih and Jitpur contains the complete sequence of seams of the barakar stage of Damuda series, as generally found in the Jharia Coal field, and all seams extend over the whole area with the exception of XVIII seam which incrops 300m from the Northern boundary and is present in about 1.2 Sq.Km of the area. 2.2 GEOLOGY OF JITPUR COLLIERY BLOCK The Block is located in eastern part of monocline Jharia Coal field. To understand the geology of the block, detailed exploration was conducted by drilling 21 exploratory bore holes in 1950s. Further, in 1959, five underground boreholes were drilled from XVI seam floor. The detailed geological investigations in the proposed mine has established the presence of 8 No. of coal seams. Summarized details of coal seams in ascending order based on sub surface data are given below. Seam Avg. Parting Seam Thickness (m) Seam Depth (m) Remarks thickness(m) Minimum Maximum Minimum Maximum XVIII Exhausted Parting XVII Exhausted Parting XVIA Exhausted Parting XVI Exhausted and presently using for Pumping only Parting XV A Virgin (Thin seam), proposed for extraction Parting XV Virgin (Jhama)* Parting 45 XIV Being Worked Parting XII Virgin, proposed for extraction No exploration below XII seam 2.1 Project Report of JITPUR COLLIERY, SAIL

32 Source: Data provided by Jitpur colliery management Generalized strata section of Jitpur colliery is shown in Fig.No * Jhama is a very hardened coal and difficult to break, formed due to volcanic intrusion 2.3 GEOLOGICAL STRUCTURE The mining area of Noonodih and Jitpur is on the East part of the monocline Jharia coal field, the only geological feature of note and importance being a narrow belt of mica peridotite dyke which almost coincides with the village boundary between Noonodih and Jitpur. Strike and Dip From floor contour plans of XII and XVA seams, it is observed that the deposit is dipping in south westerly direction. The gradient in general varies from 1 in 6.0 to 1 in 7.6 Faults The faults have not been recognized by development workings in XIV seam. Intrusions Narrow belts of mica peridotite dykes have been encountered in all seams along the boundary between Noonodih and Jitpur which trends generally from the East to the west. In XIV seam width of this belt of dykes is 15 to 17m. on the west from main shafts small dyke 1-1.3m in thickness and with general trend SW to NE has been encountered in XIV seam. Due to these intrusions seams XV/XIII have been converted to Jhama, North-West, part of XIV is also partially converted to Jhama. 2.4 Geo-engineering studies There is no data available with regard to any geo-engineering tests conducted to understand the strength parameters of Coal and its associated rocks (roof and floor strata) and for other properties. 2.2 Project Report of JITPUR COLLIERY, SAIL

33 In the absence of results of tests for Physico-mechanical Properties, it is attempted to understand about seam XII from the available data of adjacent mines. 2.5 Description of the coal seams XII seam This is the bottom most workable seam as per data given to SCCL. The immediate roof and floor of the seam is shaley Sand stone and dark shaley sand stone respectively. This seam was intersected in 5 boreholes drilled in the block. The density of boreholes works out to be 3.12 boreholes per Sq.Km. The general gradient of the seam is varying from 1 in 6.5 to 1 in 7.0. The depth of intersection of above seam varies from 382 to 614m. The seam thickness varies from 7.92 to 8.23m with a usual thickness of 8.0 m (Plate No-VI A). SI.No. B.H.No XII Seam Thickness(m) Remarks UG BH Drilled from XVI Seam UG BH Drilled from XVI Seam UG BH Drilled from XVI Seam Drilled from Surface (Not considered because of abnormal Noonodih variation in thickness) J3-Shaft 7.92 Upcast Shaft Since seam XII is the major source of production for the proposal under consideration precise geological data is required before implementing the project. Hence, it is recommended to drill sufficient number of boreholes from the working XIV seam downwards to assess the data of XII seam accurately. It is a standard practice in coal mines to undertake drilling of boreholes at a density of 15 boreholes per square Km. to assess the geo-physical properties of the seams under consideration. Though the general geology of Jitpur do not indicate surprising geological disturbances, additional exploratory boreholes are to be drilled before investing in the project. 2.3 Project Report of JITPUR COLLIERY, SAIL

34 XVA SEAM The Singareni Collieries Company Ltd. XVA seam occurs above XV seam (which is a virgin seam, Jhama, unworkable seam) with an average parting thickness of 49.68m. This coal seam is not developed in the major part of the block. This seam was intersected in 12 boreholes drilled in the block. The density of boreholes works out to be 7.5 boreholes per Sq.Km. The general gradient of the seam is varying from 1 in 6.2 to 1 in 7.6. The depth of intersection of above seam varies from 222 to 414 m. The seam thickness varies from m with an average thickness of 1.48 m. (Plate No- VIB & VII). BH No. XVA Seam Thickness(m) Remarks BH.No Drilled from XVI Seam BH.No Drilled from XVI Seam BH.No Drilled from XVI Seam BH.No Drilled from XVI Seam BH.No Drilled from XVI Seam J1-Shaft Drilled from Surface J3-Shaft Drilled from Surface Noonodih Shaft Drilled from Surface Noonodih BH Drilled from Surface Noonodih BH Drilled from Surface Jitpur BH Drilled from Surface Jitpur BH Drilled from Surface 2.6 GRADING The gradation of coking coal is based on ash content. For different ash percentages the gradation is as follows 2.4 Project Report of JITPUR COLLIERY, SAIL

35 Grade Ash Content The Singareni Collieries Company Ltd. Steel Grade I Not exceeding 15% Steel Grade -II Exceeding 15% but not exceeding 18% Washery Grade -I Exceeding 18% but not exceeding 21% Washery Grade -II Exceeding 21% but not exceeding 24% Washery Grade -III Exceeding 24% but not exceeding 28% Washery Grade -IV Exceeding 28% but not exceeding 35% Coal grade of XIV seam was given by Jitpur colliery management as washery grade- III. Due non availability of adequate quality data, coal grade of XII and XVA seams are considered as washery grade-iii for the purpose of project financial evaluation. However, the coal grade of above seams has to be confirmed before project implementation. 2.7 RESERVES All the assessed reserves are categorized as Indicated. Since the geological continuity of the seams has to be established beyond reasonable doubt by drilling atleast another 11 boreholes over the lease hold area. The seam wise geological reserves were estimated from the respective seam iso-chore plans and specific gravity of the respective grade is considered. The details of Geological reserves are as indicated below: S No Seam Estimated Grade Geological reserves(mt) 1 XII Data not available, but considered as washery grade - III 2 XVA 2.70 Data not available, but considered as washery grade - III Total Thus, a total of MT of Geological reserves with Washery Grade-III are estimated considering available borehole data supplied by the Jitpur colliery 2.5 Project Report of JITPUR COLLIERY, SAIL

36 management for the proposed seams (XII & XVA seams) for extraction. This data should be further confirmed by substantial drilling and coal grade analysis. Out of 19.33MT of geological reserves, 16.59MT are mineable after deducting the loss of coal reserves due to Mine boundary, barrier against dykes etc., The net extractable reserves including trunks headings, after deducting losses due shaft pillar, drainage levels, technology and odd patches etc. comes to 8.09MT for option- 1 (extraction of XII seam by Continuous Miner) and 9.45 MT for option-2 (extraction of XII seam by Side Discharge Loaders) The details of Geological reserves, mineable reserves and extractable reserves are presented below: Reserves in XII seam(mt) (A) Option- 1 (Continuous Miner-2No.) (B)Option-2 (SDLs- 8No.) (C) Reserves in XVA seam(mt) Total reserves with option-1 (Mt) (A+C) Total reserves with option-2 (Mt) (B+C) Description 1) Geological Reserves Loss of reserves i) Mine boundary ii) Barrier against dykes iii)seam thickness <1.25m 0.58 Total ) Mineable reserves Loss of reserves i) In Shaft pillar ii) In Trunk roadways iii)due technology losses & Odd patches Total ) Extractable reserves ***** 2.6 Project Report of JITPUR COLLIERY, SAIL

37 3.1 MINE BOUNDARIES CHAPTER-3 PRESENT STATUS The mine boundary of the proposed Jitpur colliery is as follows: North (Rise Side) South (Dip side) East West - Existing Jamadoba 6&7 colliery of TISCO and Bhutgoria mine (closed) of BCCL - Jamadoba colliery (TISCO) - Digwadih Colliery (TISCO) - Jamadoba colliery (TISCO 3.2 MINE ENTRY Inclines (abandoned) Earlier three inclines were in use. But, presently these inclines are abandoned by sealing at the incline mouth Shafts Presently, the proposed Jitpur colliery has four working shafts. Total coal Production coming from XIV seam only. XIV seam has the access from surface through shafts namely J1, J3 and Noonudih shafts. Shafts J1 and Noonudih, has been sunk up to seam XIV, while J3 has been sunk further up to seam XII. The fourth shaft namely J2 is an upcast shaft which has been sunk up to XVI seam only. Summarized details of these shafts are given as below: 3.1 Project Report of JITPUR COLLIERY, SAIL