COAL EXPLORATION

The exploration for coal is by nature an investigation and developmental activity,

undertaken in anticipation of future demand of coal, to enable mine projection and mine
development.

Coal plays a major role in world energy scenario and it will continue to do so. It contributes
about 27% of the total global primary energy demand and is also a key input for the steel
and other industries.

The coal industry has the capability to continue to supply a major share of the world's
energy needs. It also has the technology available now, to make major improvements in the
critical areas of efficiency and environmental impacts.

As per the draft report of the Working Group on Coal & Lignite set up for formulation of
12th Five Year Plan, All India coal demand in the terminal year of XII Plan i.e. 2016-17 is
projected as 980 million tonnes. The country’s estimated demand of coal is about 770
million tonnes for 2013-14. In view of the same, the exploration agencies are expected to
utilise their existing resources/ capabilities to fulfill such projections.

The Godavari Valley Coalfield (GVCF), which is under the command area of Singareni
Collieries Co. Ltd., has its share of coal production and exploration in the projection.

XI PLAN PERIOD (2007- 2012)

During XI Plan period, a total of 4.59 lakh meters of drilling has achieved by SCCL with
average deployment of 25 drills and proved 909.19 m.t. of coal reserves in Godavari Valley
Coalfield.

PROGRAMME FOR XII PLAN PERIOD (2012- 2017)

During XII plan period (2012-17), it is proposed to drill about 7.5 lakh meters of drilling by
deploying 31 drills (4.91 lakh metre in Exploration& 1.59 lakh metre for additional drilling in
virgin explored blocks & Developmental drilling purposes) in an area of 150 sq.km covering
about 22 exploration blocks. The likely reserves to be proved are about 1950mt.

WORKS CARRIEDOUT BY EXPLORATION DIVISION DURING 2012-13

Exploration Division has achieved the 1,20,105 m of drilling against the target of 1,50,000
metre by deploying 31 drills. vis-à-vis the achievement of 1,00,325m during 2011-12.
The region wise targets and achievements are as follows:

Region Target(m) Achievement(m) Percentag Productivity/drill/month

e
Kothagudem 37740 33265 88.14 308.00 (108)
Ramagunda
58130 51088 87.89 387.03 (132)
m
Belampalli 54130 35752 66.05 295.47 (121)
TOTAL 150000 120105 80.07 332.70 (361)
1. A cumulative total of 45.63 mt of proved reserves have been established during
2012-13 in Shanthikhani Longwall dipside extension property.
2. The total proved GVCF reserves as on 1.4.2013 stands at 9923.31 million tonnes
3. A total area of 28.00 sq. km. was covered under detailed geological mapping
in the following exploration blocks during 2012-13.

• Tadicherla block-I (20.00 Sq.km))

• Mandamarri Shaft BlockSec-B - (0.50 Sq.km)

• Shantikhani LW dipside block - (6.00 Sq.km)

• Shantikhani LW Mine - (1.00 Sq.km)

• Sravanapalli dipside block - (0.50 Sq.km )

4. Detailed exploration work is taken up/ continued in the following 8 blocks.

Region Block
KGM 1. Koyagudem Dipside block (Shaft block)
2. Voddugudem block
RGM 3. Adriyala Dipside block
4. RK New Tech Dipside block
5. Mallayapalli block
BPA 6. Sravanapalli Dipside block
7. Shanthikhani Longwall dipside extension
8. Mandamarri shaft block (Sec-B)-Dipside

5. Additional drilling carried out in the following ten virgin explored blocks to meet the
project planning requirements.
• Rampur shaft block
• Koyagudem UG block I&II
• Koyagudem OC Pit-II Extension
• Koyagudem OC Pit-III
• Koyagudem Pit-I
• Adriyala Longwall block
• Tadicherla block-I (under BD works for APGENCO)
• Mandamarri Shaft block (Sector – ‘B’, ‘C’ and ‘D’)
• Shanthikhani Longwall block(Mine)
• RKP Shaft block-I

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6. Three coal bearing areas have been identified in (1) Kelli (K) block,(2) Ara
area and (3) South of Khairgura areas of Adilabad district and Promotional
Exploration is being takenup by M/s MECL.
7. Two Minex Geomodel reports were prepared.
8. SIDEx (Singareni Integrated Data on Exploration) package is designed with various
web based data entry formats and output reports on SCCL intranet in collaboration
with IT department. Current year data being entered regularly. Finalised data of
Ramgundam Region, covering 1200 Bhs and 1,80,000 records approximately and 8
blocks of Belampalli Region were uploaded at ICRIS.
9. The overall coring and non coring ratio works out to 18:82 respectively against the
overall ratio of 20:80 during 2012-13
10. Highest metreage achieved in a year by a single unit is 6260.50m in RGM region
(Unit-in-charge: Sk. Yakub Pasha,Sr.R/M./ G.Saraiah, Driller, Gr. B Unit No.SERM-
70) as against 6838.80m in Ramagundem Region during last year.
11. Deepest borehole drilled is 1001 m (BHNo.KYG-401) by SERK-73 in Koyagudem
shaft Block.

12. Geophysical logging:

• A total of 275 boreholes were geophysically logged involving 1,08,827m to

supplement exploration data as against a total of 209 boreholes involving
86,752m during 2011-12, which is the highest ever logged metreage by
any organisation in India in coal basin.
• Out of 307 Bhs drilled by SCCL, geophysical logging was covered in 258 bhs,
which works out to 84 %.

13. Hydrogeological Works:

• Four Mine water related problems were attended.
• 149 locations were recommended for drilling borewells to augment water
supply in SCCL colonies and surrounding hutments.
• Two yield tests were conducted to assess groundwater potentiality in
Manuguru area. Four Hydrogeological reports were submitted.
• Seven Hydrogeological environ reports for EIA/EMP reports, two
Envronmental inventory chapters for Geological reports and two
Hydrogeological brief notes were submitted.
• Hydrogeological data was submitted for 19 projects to incorporate in mine
closure plan presentations.
14. Geo-Engineering works:
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• RMR studies were conducted in 5 mines and 7 RMR reports were submitted.
• Underground mapping was conducted in 10 mines.
• Roof and floor rocks of 21 boreholes were sent for physico-mechanical
properties tests and results of 20 boreholes were received.
• Continuous mapping of Gateroadways of longwall panels in Adriyala LW
block.
• Generating all needy Geotechnical data for OC mines for the CSIRO,
Australia, consultancy projects.
15. ICRIS (Integrated Coal Resources Information System)
• Geo-modelling of 7 Geo-mining zone viz. Kaghaznagar, Dorli Sector-II, Goleti,
Kunavaram, Sattupalli, Sattupalli-IV, and Venkatapuram. Completed.

• Collar and Salient features of 157 blocks, along with coalbelt wise ArcGIS shape
files and drawing files of Coalbelt with formation-wise polygons and othr surface line
features are completed for hosting on the ICRIS server.

• Geo-mining zone data as grid dump files for the completed 7 Geomodels are
generated for all the seam on 50x50mesh for 12 parameters viz. From, To, Floor,
Roof, Thickness, Inband Moisture, Ash, Volatile Matter, UHV, GCV, Relative density
etc., with X and Y coordinates of grid nodes.

16. Training & Seminars:

A total of 36 executives, 19 drilling technicians and 2 office staff have attended 21 trainings
/seminars at various places.
17. BUSINESS DEVELOPMENT WORKS
• After conducting drilling, core logging and GP logging, submitted a Geological report
and geomodel of Tadicherla block-I for APGENCO for an order value of 4.48 crores.
• Carried out supervision of Exploration activities and vetting of Final GR of Gomia coal
block, Bokaro District, Jharkhand state for M/s MMTC Limited. The contract value is
35.19lakhs.
GEOLOGICAL RESERVES
The studies of Geological Survey of India attribute as much as 22206.96 million tonnes
of coal reserves to the Godavari Valley Coalfield. The inventory covers up to a depth of
1200 meters and it includes reserves Proved (confirmed), indicated as well as inferred.

INVENTORY OF THE COAL RESERVES

GODAVARI VALLEY COALFIELD – ANDHRA PRADESH
(As on 01.04.2013) (After GSI)

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a. Non coking
Andhra Depth(m) Proved* Indicated Inferred Total
Pradesh –
0-300 6097.96 3403.97 152.24 9654.17
Godavari
Valley 300-600 3460.05 4708.23 618.62 8786.90
Coalfield
600-1200 46.45 1441.71 2277.73 3765.89
Total for AP 0-1200 9604.46 9553.91 3048.59 22206.96
* Thickness 0.90m and above
Since the inception of the company, 1085.40 million tonnes of coal has been extracted, by
adopting different mining techniques.
AGENCY-WISE EXPLORATION PROGRAMME (2013-14)

During 2013-14, regional drilling by GSI, Promotional drilling by MECL and detailed drilling
by SCCL will be continued in the identified blocks in tune with the long-term projected
workload. A total of 38 drills (31 SCCL+4 MECL+3 GSI) are likely to be deployed to achieve
the assigned target and to delineate the new blocks.
GEOLOGICAL SURVEY OF INDIA (GSI)
Regional Exploration by GSI in Pagaderu (West of Manuguru coal belt) and Bugga-
Khammamtogu area (South western continuity of Manuguru Coal belt) by deploying 2 rigs.
MINERAL EXPLORATION CORPORATION LIMITED (MECL)
The MECL has been carrying out Promotional drilling, to facilitate the generation of needy
regional data, in addition to GSI. The target fixed for the year 2013-14 is 12000m. The
drilling operations are likely to continue in Repallivada block (South eastern part of Goleti)
and in the Renganghat block Dorli Belampalli coal belt.
SINGARENI COLLIERIES CO.LTD. (SCCL)
The management of SCCL has fixed a target of 1,50,000 m. of drilling for Exploration
Division by deploying 31 drills in two/three shift operation for the year 2013-14.
EXPLORATION LONGWALL+ TOTAL
REGION
(m) PROD. SUPP.(m) (m)
KOTHAGUDEM 22050 21500 43550
RAMAGUNDAM 42225 11000 53225
BELAMPALLI 19350 33875 53225
TOTAL 83625.00 66375.00 150000

Three Geological reports viz. Mallayapalli Block-I (Mulug coalbelt), RK New Tech Dipside
Block and Mandamarri shaft block-Sector-B,C&D Dipside extn (Somagudem-Indaram
coalbelt) with a total of about 300 m.t. are proposed to be submitted during the
Year 2013-14.

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Exploration and additional drilling works will be continued in the priority blocks identified by
project planning.

To achieve the above objectives, the Exploration Division of SCCL is adopting a multi-
disciplinary approach to generate all required geological and relevant data with more
reliability conforming to the national and international standards.

The confident level of data is being increased by various concurrent studies like geophysical
logging and investigations, necessary Hydro geological investigations, collection of Geo-
engineering data through sample tests and underground mapping, dependable
topographical surveys both for borehole locations and for geological mapping etc. The
generated data is synthesized with computer software packages like CEMPGEODOC, Auto
CAD and the interpreted coal deposit geometry is modeled in 3D with Minex–Horizon
software. Thus documented Geological reports are submitted to Project Planning for further
projectization into a mining project.

Issues related to Coal Bed Methane, Underground Coal gasification and Surface Coal
Gasification, Captive Coal Mining and Captive Coal Exploration etc., have attained national
importance and deserving priority is assigned at SCCL also. Corporate Planning and
Business Development dept. are exclusively attending these issues for timely actions and
needful follow ups with concerned agencies and Ministries.
Geotechnical investigation for the slope stabilities in OC dumps stability studies (In
collaboration with CSIRO, Australia) are being attended at Exploration Division.
SIDEX
SCCL has indigenously developed a web enabled programme named as SIDEx (Singareni
Integrated Data on Exploration) which aims to help the Exploration Division and
Management to query about various aspects of exploration data with a provision to
automatically update / upload with the data of Drilling, Chemical, Geophysical,
Hydrogeological, Geotechnical & in obtaining required graphic output etc.

COAL BED METHANE (CBM)

Emerging importance for clean coal technology has focussed much attention on Coal Bed
Methane resources. Though steps were initiated in IX plan period, the progress was not
substantial.

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The methane gas naturally occurring in coal beds has been largely a hazard to the mining
industry. However, of late, this methane gas has been recognized as economically viable
source of energy in certain optimum conditions.
In the underground mines of the Godavari valley Coalfield, there has been no record of
emission of gas and the seams mined so far contain coal of low to moderate rank.
Accordingly, no effort was made earlier to ascertain the gassiness of coal seams of GVCF.
In recent years some data have been generated which show that the seams at depth store
some amount of desorbable gas. Accordingly following two blocks were identified.
CBM block viz. KG (East)-CBM-2005/III covering an area of 750sq.km in the south eastern
part of the Godavari valley basin. The CBM resource of the block is estimated at 57.2 BCM
(2.02 TCF).
CBM block viz. GV (North)-CBM-2005/III covering an area of 386 sq.km. in the north
western part of the Godavari Gondwana basin. The resource of this CBM block is estimated
at 29.65 BCM (1.05 TCF) within a depth range of 600 to 1500m.
The above CBM blocks of SCCL have been allotted to the following bidders:

Bidder Name of the blocks allotted

Consortium of RNRL, Reliance Energy
i. : KG (East) – CBM-GVCF/ AP
Ltd., and Geopetrol Resources of
France

ii. Coal Gas Mart / US : GV (North) – CBM-GVCF/AP

Adinath Exim Resources Ltd.,
Deep Industries Ltd.

Underground Coal Gasification (UCG)

Underground Coal Gasification (UCG) is an emerging technology in which coal can be burnt
in a controlled manner and gassified under insitu conditions to harness its energy.
Surface coal gasification is a process which converts coal into combustible and non
combustible gases at high temperature and pressure at surface. The product known as
syngas can be used for power generation and/or as chemical feedstock.
The Singareni Collieries Company Ltd have entered into MoU with ONGC on 15.04.2006
to work jointly for the development of Underground Coal Gasification (UCG), Surface Coal
Gasification (SCG) and Coal Bed Methane (CBM). SCCL is actively pursuing a SCG
project integrated with IGCC Power Plant with ONGC. Further, it is also planned to take up
UCG and CBM projects with ONGC.
Captive Mines of SCCL
Following seven coal blocks of Godavari Valley Coalfield were identified for Captive mining.

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NAME OF BLOCK AREA GEOLOGICAL REMARKS
(sq.km) RESERVES (M.T.)

De-allocated from
1. Anisettipalli 5.000 27
APGENCO.
2. Cherla-OC 0.663 13 Not allotted
3. Cherla-UG (South Block) 1.990 16 Not allotted
De-allocated from
4. Penagadapa 2.700 111
APGENCO.
De-allocated from
5. Punukulachilka 2.420 20
APGENCO.
76.69 Allocated to
6. Tadicherla Block-I 4.500
(Revised) APGENCO
Actions are being
277 initiated with MoC for
7. Tadicherla Block-II 18.750
(Indicated) delisting from captive
block.

OUTSOURCING EXPLORATION ACTIVITIES

Considering the increasing demand for coal, SCCL decided to quicken the exploration works
through outsourcing the drilling activities for early geological report preparation and further
projectisation.
SCCL is actively practicing the outsourcing of all non-core activities i.e., security, way
making, sump digging, drilling of large dia boreholes required for Hydro-geological
investigations in the proposed blocks and for other purposes like sand stowing, dewatering
etc. These steps would facilitate the drilling crew to exclusively concentrate on exploration
of priority blocks for timely completion of investigation to prove additional coal reserves
The out sourcing of peripheral jobs has also helped us in reducing the manpower from 777
in 2001-02 (for 29 Drills) to 478 as on 1-4-2013 (for 31 drills), and achieving higher drilling
productivity.
ISO Certification
ISO Certificate (ISO9001:2008) issued by M/s Bureau Veritas Certification (India) Limited
expired in October2012. Recertification with new firm is under process.
~~~

THE TRACK RECORD

• SIR WILLIAM KING FIRST DISCOVERED COAL IN THE YEAR 1871, NEAR SINGARENI
VILLAGE, LOCATED CLOSE TO YELLANDU TOWN.

• THE FIRST MINE WAS STARTED AT YELLANDU IN THE YEAR 1886 BY THE HYDERABAD
DECCAN COMPANY, PREDECESSORS OF THE SINGARENI COLLIERIES COMPANY
LIMITED.

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• IN THE INAUGURAL YEAR (1889), A TOTAL OF 56671 TONNES OF COAL WAS
PRODUCED AND DURING 2012-13, THE PRODUCTION TOUCHED A HIGH OF 53.19
MILLION TONNES.

• A TOTAL AREA OF 614.47 SQ.KM (EXCLUDING OLD ABANDONED MINES) HAS BEEN
COVERED BY DETAILED EXPLORATION IN GODAVARI VALLEY COALFIELD, BY THE
COMPANY, INCLUDING 235 sq.km. AREA COVERED BY MINES.

• 49 MINES ARE IN OPERATION IN THE COMPANY. OF THESE, 34 ARE UNDERGROUND

MINES AND 15 ARE OPENCAST MINES.

• SINCE THE INCEPTION OF THE COMPANY, 1085.40 MILLION TONNES OF COAL HAS
BEEN EXTRACTED, BY ADOPTING DIFFERENT MINING TECHNIQUES.

• A TOTAL OF 9923.31 MILLION TONNES OF COAL RESERVES HAS BEEN PROVED SO

FAR, THROUGH DETAILED EXPLORATION BY THE COMPANY.

• THE COMPANY HAS COMPLETED A TOTAL OF 2715679m, OF DRILLING IN 13235

BOREHOLES.

• ABOUT 1948706m OF DRILLING HAS BEEN COMPLETED BY THE COMPANY IN THE LAST
TWENTY SEVEN YEARS ALONE (i.e. FROM 1-4-1986 TO 31-3-2013), ENABLING THE
COMPANY TO ESTABLISH A PROVED RESERVE OF 5918.87 MILLION TONNES, WHICH
VOUCHES FOR THE QUANTUM INCREASE IN EXPLORATION ACTIVITIES OF THE
COMPANY.

• PRODUCTIVITY OF 332.70 m./DRILL/MONTH WAS ACHIEVED DURING THE YEAR

2012-13.

• A TOTAL OF 5125 BOREHOLES INVOLVING A METREAGE OF 1294663M WERE

GEOPHYSICALLY LOGGED BY SCCL SINCE COMMISSIONING OF LOGGERS IN 1985 IN
GODAVARI VALLEY COALFIELD.

• A TOTAL OF 207.72 LINE kms WERE COVERED WITH RESISTIVITY PROFILING AND 1052
VERTICAL ELECTRICAL RESISTIVITY SOUNDINGS WERE CARRIED OUT BY SCCL IN
GODAVARI VALLEY COALFIELD.

• A CUMULATIVE TOTAL OF 696 BOREHOLES WERE STUDIED FOR GEO-ENGINEERING

PROPERTIES FROM VARIOUS MINES / BLOCKS OF GODAVARI VALLEY COALFIELD.

• A CUMULATIVE TOTAL OF 458 RMR REPORTS (448 BY SCCL & 10 BY NIRM) WERE
PREPARED FOR VARIOUS WORKING SECTIONS OF SEAMS FROM DIFFERENT MINES IN
GODAVARI VALLEY COALFIELD.

STATUS OF EXPLORATION
GODAVARI VALLEY COAL FIELD
(As on-01.04.2013)

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1. CUMULATIVE BASIN AREA……………………………… 17400 sq.km

2. PROGNOSTICATED COAL BEARING AREA………….. 11000 sq.km.

3. AREA CONSIDERED NON-POTENTIAL FOR

9,300 sq.km
DETAILED EXPLORATION………………………………

4. TOTAL POTENTIAL AREA FOR

1,700 sq.km
REGIONAL EXPLORATION………………………………

5. AREA COVERED BY REGIONAL EXPLORATION…… 1315 sq.km

6. AREA TO BE COVERED BY REGIONAL

EXPLORATION……………………………… 385 sq.km

7. AREA COVERED BY DETAILED EXPLORATION

614 sq.km
AND MINES……………………………………………….

8. PROVED GEOLOGICAL RESERVES

9923.31 m.t.
AS ON 31-3-2013……………………………………

9. AREA COVERED UNDER DETAILED EXPLORATION

41 sq.km
DURING XI PLAN………………………………

11. RESERVES PROVED DURING XI PLAN (2007-12) 909.19 m.t.

……….

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12. RESERVES PROVED DURING 2012-13………. 45.63 m.t.

12. AREA IDENTIFIED FOR DETAILED EXPLORATION 150 sq.km

DURING XII PLAN………………………………

13. RESERVES TO BE PROVED DURING XII PLAN………. 1950m.t.

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DISTRICT WISE RESERVES OF GODAVARI VALLEY COALFIELD
As on 01.04.2013

GRADES TOTAL
(million
DISTRICT DEPTH (m) A B C D E F G tonnes)
0-300 1.32 28.78 285.71 715.35 446.99 554.43 77.51 2110.09
300-600 0.16 21.64 259.76 516.65 395.67 386.87 12.04 1592.77
ADILABAD
>600 0.00 1.00 4.55 22.55 11.85 13.25 0.05 53.24
TOTAL 1.47 51.42 550.01 1254.55 854.50 954.55 89.60 3756.10
0-300 45.43 417.09 306.71 292.88 52.03 0.66 1114.80
300-600 0.15 67.70 133.86 390.01 299.73 34.84 0.10 926.39
KARIMNAGAR
>600
TOTAL 0.15 113.13 550.95 696.72 592.61 86.87 0.76 2041.19
0-300 32.27 90.19 144.96 98.47 198.27 232.25 24.28 820.69
300-600 18.98 45.78 69.95 48.00 63.78 97.34 3.01 346.84
WARANGAL
>600 1.21 0.37 1.15 1.12 0.54 0.00 0.00 4.39
TOTAL 52.46 136.34 216.06 147.59 262.59 329.59 27.29 1171.92
0-300 17.83 73.47 400.22 180.50 343.37 804.23 464.17 2283.79
300-600 6.84 41.72 233.24 127.25 108.21 113.65 39.40 670.31
KHAMMAM
>600
TOTAL 24.67 115.19 633.46 307.75 451.58 917.88 503.57 2954.10
0-300 51.42 237.87 1247.98 1301.03 1281.51 1642.94 566.62 6329.37
TOTAL 300-600 26.13 176.84 696.81 1081.91 867.39 632.70 54.55 3536.31
>600 1.21 1.37 5.70 23.67 12.39 13.25 0.05 57.63
GRAND TOTAL 78.75 416.08 1950.48 2406.61 2161.28 2288.89 621.22 9923.31

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