BHEL to Commission Lignite-Fired CFBC Boilers

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Written by Richard Finlayson, Senior International Editor for Industrial Info Resources (Sugar Land, Texas)--India power equipment manufacturing companies are increasing their expertise in manufacturing circulating fluidized bed combustion (CFBC) boilers in association with international companies that are providing the essential technology transfer under the framework of cooperative associations.

Bharat Heavy Electricals Limited (BHEL) (BSE:500103) (New Delhi) is scheduled to commission the first 250-megawatt (MW) lignite-fired CFBC boiler at Neyveli Lignite Corporation's (NLC) complex in Tamil Nadu in February. A second unit is scheduled to begin operations in May.

The CFBC boilers, which can use fuel feeds of lignite (brown coal), bagasse and straw, are manufactured by BHEL at its Tiruchi complex in collaboration with Lurgis Lentjes Babcock Energietechnik GmbH (Dusseldorf, Germany), which has wide experience in using environmentally friendly technology at global installations throughout the world, including the 250-MW plant in Gardanne, France. This expertise complements BHEL's research and development and experience in handling low-grade fuels.

BHEL supplied the first utility-scale CFBC boiler, with a capapcity of 125 MW, to Gujarat Industries Power Corporation Surat lignite power project in 2000. The company is now looking to produce a 500-MW capacity model within eight years.

Another Indian company, Essar Power (Mumbai/Mauritius), has signed a technology-transfer agreement with Foster Wheeler (NASDAQ:FWLT) (Geneva, Switzerland), which claims to have a 50% share in the global CFBC market and currently has orders for four 550-MW CFBCs, which will be the world's largest units.

Essar Power has a 20-year licensing agreement under which boilers will initially be sourced from Foster Wheeler's plant in China. At a later stage, Essar can manufacture or sub-contract the production of boilers in India, China or Indonesia.

For related information see October 18, 2011, article - Foster Wheeler Bags Generator Contract for Essar's Salaya III Project.

Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, and eight offices outside of North America, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle™, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities.