Coal news and updates

Coal auction: Govt gets 130 technical bids for 21 mines

The government on Sunday received 130 preliminary bids from companies like Essar Power, Hindalco, Adani Power and Jindal Power for 21 coal blocks on offer in the second tranche of ongoing auction.

A maximum of 16 bids came for Utkal C coal block in Odisha from bidders including Jindal Power, Essar Power, Sesa Sterlite and Adani Power Maharashtra.

Another block Gare Palma IV/8 in Chhattisgarh received 13 bids from companies like Hindalco, JSPL, Sesa Sterlite and Balco among others.

The government officials said the response has been as per expectations and most of the major players from private sector are participating in the auction, which was necessitated after cancellation of earlier coal block awards by the Supreme Court.

While the exact value of the bids could not be ascertained, industry estimates suggest these blocks may fetch tens of thousands of crores of rupees in revenue.

There are 21 mines in schedule III (ready to produce). The schedule III mines are Brinda and Sisai mines in Jharkhand, Durgapur and Taraimar coal blocks Chhattisgarh, Jamkhani mine in Odisha, Lohari mine in Jharkhand, Marki Mangli-IV mine in Maharashtra, Nerad Malegaon mine in Maharastra, Dongrital II (Phase I) mine in MP and Ganeshpur Block in Jharkhand.

Other mines in the category are Jitpur mine in Jharkhand, Mandakini-A mine in Odisha, Meral coal mine in Jharkhand, Rohne Coal Block in Jharkhand, Utkal C in Odisha, Dumri Block in Jharkhand, Gare Palma IV/8 in Chhattisgarh, Kosara Dongargaon in Maharashtra, Mandla South in MP, Moitra mine in Jharkhand and Tara Mine in Chhattisgarh.

The auction of the first lot of 19 producing coal blocks are already underway. GMR and Reliance Cement yesterday bagged one mine each for an estimated Rs 1,375 crore and Rs 798 crore respectively.

The coal blocks are for power sector and iron & steel, cement and CPP.

Source: The Times of India