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Bangladesh Coal Fields Status 2026

Bangladesh Coal Fields - Status 2026

Barapukuria (as Open Pit)

Estimated annual recovery from the Barapukuria coal field using open-pit mining varies by study and proposed project. Technical studies have proposed an annual production target, specifically in the northern zone of 3-4 million tonnes per year (approximately 110 million tonnes over a 30-year period)

Open-pit mining is expected to achieve a significantly higher recovery rate, compared to the current underground method, which recovered less than 10% of the available coal. The existing underground operations have a design capacity of only 1 million tonnes per year, though they have often struggled to meet this target.

Feasibility studies and approvals are required before it could change from Underground to Open Pit extraction, estimate to achieving first coal 2033.

Dighipara

Annual recovery for the Dighipara coal field in Dinajpur, Bangladesh, is estimated to be 3 million tonnes per annum 

The field has an estimated total coal resource of approximately 706 to 865 million tonnes, spread over 24 square kilometers with the potential to extract roughly 90 million tonnes of coal over a 30-year period, the proposed method for extraction is longwall top coal caving (LTCC).

As of 2022-2024, the project to develop the mine was considered "shelved" or under review, with significant challenges regarding water management, land acquisition (14 sq. km), and the relocation of over 11,000 people. Technically very challenging, high risk and uneconomical. It was initially proposed to supply a 1,000 MW power plant, with production potentially starting around 2032 but that date would now be nearer 2036 to 2038

Jamalganj

The Jamalganj coal field is the largest in Bangladesh and has an in-situ reserves of approximately 1.053 billion tonnes. However, because the coal is so deep, at a depth of 600–1,100 meters, it makes traditional mining economically and technically challenging so no official annual recovery figure exists for production. Research suggests that, if it could be developed, it would potentially range from 0.8 to 1.0 million tonnes annually. Studies have suggested utilising Underground Coal Gasification (UCG) or Coalbed Methane (CBM) extraction as a viable method to exploit the resource. 2026 data suggests any utilisation would be 7-10 years from commencement, so at least 2033 to 2036.

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Khalashpir

The Khalashpir coal field, covering 12.25 square kilometers, has reserves estimated at 685 million tonnes. A 2017 mining proposal suggested that approximately 164 million tonnes of coal could be recovered using a proposed underground longwall multi-slice mining method. Feasibility studies (2005-06) recommended adopting the longwall mining method for extraction.

While specific annual output figures depend on the final approved plan, similar projects have aimed for 1 million tonnes+ annually. 

The field is located at depths ranging from 222 to 516 meters in the Pirganj upazila of Rangpur. It is geologically challenging including loose, water-bearing Dupi Tila Aquifers that can cause significant water inrush during deep mining and can require artificial ground freezing to manage it.

 

Based on available studies and project timelines, it would take approximately 

6 to 7 years to begin coal extraction from the Khalashpir coal field once active development work commence. However, this timeline is conditional upon approval, securing investment, and overcoming technical challenges, as the project has remained in the planning stage for over three decades. Earliest first coal 2033 but likely much longer.

Phulbari

Based on recent feasibility studies and reports from GCM Resources Plc, the estimated annual recovery for the proposed Phulbari coal field is 12 million tonnes of high-quality thermal, and 3 million tonnes of semi soft coking (metallurgical) coal. 

The field could support approximately 6,000–6,600 MW of power generation capacity, meeting nearly 60% of Bangladesh's current thermal coal demand. 

The proposed open-pit mining method targets a high recovery rate of over 83% of the total resource. This is significantly higher than the 10–20% recovery typically achieved by underground mining methods.

The field has a JORC-compliant total resource of 572 million tonnes (Mt), with 475 Mt classified as mineable reserves.

The projected annual extraction rate, of the currently surveyed area, would sustain operations for a period of 30+ years. 

Once approval is given and construction begins, the mine would potentially reach first coal production within 2–3 years (2028-2029)

Barapukuria and Phulbari combined

 

Despite the country's huge coal reserves only one token coal mine was ever sanctioned in Bangladesh. The underground coal mine at Barapukuria along with its’ associated power stations are state owned and have a management and production contract with the Chinese consortium CMC-XMC. Both the mine and the power stations are on their knees. The power stations are often out of action due to malfunctions, lack of spare parts or the skills required to repair them. One unit has never been operational. Many experts, prior to implementation, advised against underground mining as they considered the coal seams were not deep enough to prevent land subsidence and collapse. 

 

The Barapukuria underground coal mine experienced a significant flooding incident during its development phase on 5 April 1998. At that time, a sudden high volume inrush of water flooded the underground workings, forcing the mine to be inundated and halting underground construction for several months while high-capacity pumps were brought in to remove the water. No further underground work could proceed immediately after that accident until it was managed with pumped dewatering and redesign of the mine plan that severely reduced the area of mining. 

This flooding occurred well before commercial coal production began in September 2005, and was part of the early development setbacks the project faced, seen by some as a consequence of unreliable feasibility studies and hasty mine planning and a cautionary tale for any future underground mines.

 

Within the first five years of operation 4sq kms of the land around the mine had subsided, over 81 homes in 5 villages were damaged, and farming land rendered unusable. Throughout its’ operational life it has been beset with labour disputes, allegations of corruption, fatal accidents, gas leakages, flooding and roof cave ins.

 

The existing contract and operational approval with the previous government is set to expire in August 2027, with the near exhaustion of the existing mineable underground seams, in June 2023 the operators approached the then government for permission to conduct feasibility studies for open pit mining on the site, the applicants were refused the approval.

 

There has been no indication from the Government that such a request was made to them or subsequently approved. There has been no indication elsewhere of any commissioning or progression of these required studies. The estimated time to conduct such feasibility studies is a minimum of 3 years. Open pit mining of Barapukuria would also need more drilling and studies (including environmental and social impact) feeding into any feasibility study.

 

Barapukuria is a much smaller basin than Phulbari and as such poses difficulty in that there's not a lot of "mine working room" meaning they'd need to place almost all the overburden material, that has to be excavated to reach coal, in permanently stacked dumps on the surface, allowing little opportunity to do any backfilling. There's also the impact of past underground mining at Barapukuria to contend with.

 

The most expensive issue for both the Phulbari and Barapukuria deposits would be digging the initial hole to reach first coal. On all fronts it’s more sensible to go forward from Phulbari, its initial excavation on the boundary of the two deposits, utilising the existing plant, skills, manpower and infrastructure, would also allow mining back into Barapukuria and ultimately backfilling of Barapukuria after coal extraction.

 

In summary mining Barapukuria as open pit, as a standalone project would neither be practical or economically viable. It would be 2030 at the earliest before any approval was given and even if it was forthcoming it would be another 3 years before first coal was reached.

 

The Phulbari and Barapukuria fields are an extension of each other, they are one giant field. Phulbari's feasibility studies are updated and complete. The pathway to reach first coal is already established with the EPC Contract with Asia Energy’s development partner, Power China. It's the fastest trajectory to sustainable large annual coal production.

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