It is reported that the State Joint Stock Company Uzbekenergo plans to construct a plant on the synthesis of an alternative diesel fuel from brown coal potentially worth USD 641 million in 2012-2015.

The source said the plant, with a design capacity of 700,000 tonnes of brown coal, is part of bringing the annual coal production to 1.85 million tonnes and will be built on a seam at the Apartak Angren brown coal deposit in the Tashkent region.

The source said that SJSC Uzbekenergo plans to attract a foreign partner to the join implementation of the project.

The company is negotiating with South Africa's Clean Coal Technology, German firm Alphakat Avermann, Caterpillar and Takraf about working in the project.

Uzbekistan has proven coal reserves totaling 1.9 billion tonnes, including the brown coal, 1.85 billion tonnes and black coal, 47 million tonnes.

Conitngency resources amount to over 5.7 billion tonnes of coal. Large coal reserves are concentrated in the southern regions of the country, in Surkhandarya and Kashkadarya. Currently, coal mining is conducted in three fields, Angren brown coal deposit and Shargun and Baisun black coal deposits.

Uzbekistan produces more than three million tons of coal annually. According to official statistics, coal production increased by 5.9%, up to 3.844 million tonnes in 2011. The electricity sector is the main consumer of coal, more than 85% of the total coal consumption.

(Sourced from www.trend.az)