The demand of energy in Pakistan is increasing continuously. Fossil fuel mainly coal reserves more than 175 billion tons in the Thar can play a vital role to fulfill energy needs for decades. The Thar Coal field was discovered in 1992 but up till 2010 no serious efforts were made to utilize this huge energy resource. In 2010 Underground coal gasification project was established to develop and exploit the thar coal deposits with underground coal gasification (UCG) technique to convert the in-situ coal to syngas for power generation and for other industrial uses.

During construction phase of the underground coal gasification different problems were encountered mainly the hole linkage, water incursion, aquifer characterization and ignition of coal. This study provides the research work made in the field to solve above mentioned problems and presents detail analysis and procedures that how these problems were meet and solved. Finally this study presents characterization of the aquifer and shows from which well ignition should start to produce syngas from Thar coal.

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