The lignite-to-methanol project of NLC India Ltd, estimated at Rs 4,394 crore, at Neyveli, in Tamil Nadu is likely to be completed by March, 2027.

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The project is part of NLC's diversification plan.

NLC has traditionally been into lignite mining and setting up lignite-based power plants.

"The project is expected to complete by March-2027," the company said in a regulatory filing.

The proposed lignite-to-methanol plant is in line with the Centre's coal gasification plan, a sustainable way of utilising the fuel to meet its ambitious net-zero plans.

"The total period of the project is 42 months from the date of Letter of Award (LOA)," it added.

In October last year, NLC had floated a global tender for awarding the project through project management consultancy Engineers India Limited (EIL) for gasification block (LEPC-1) of its Lignite-to-Methanol project at Neyveli, in Tamil Nadu.

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