Auction: Hindalco, UltraTech, Jindal bag coal mines on 6th day
Reflecting aggressive bidding for coal mines, Hindalco and UltraTech bagged one mine each while Jindal Power won two blocks on the sixth day of the ongoing auction today, taking total number of mines sold to 16 so far
New Delhi: Reflecting aggressive bidding for coal mines, Hindalco and UltraTech bagged one mine each while Jindal Power won two blocks on the sixth day of the ongoing auction today, taking total number of mines sold to 16 so far.
The allocation of coal blocks, including through the ongoing auction, will fetch a whopping Rs 15 lakh crore over the next 30 years, for the respective states, Coal, Power, New and Renewable Energy Minister Piyush Goyal said earlier in the day.
Commerce and Industry Minister Nirmala Sitharaman said the auctioning of coal blocks has vindicated CAG's criticism of the way the natural resources was allocated by the previous government. The new government has put on offer 19 coal blocks in the first lot of auction.
The Supreme Court last September had cancelled allocation of 204 mines. The Bicharpur coal mine in Madhya Pradesh was bagged by Ultratech Cement bidding Rs 3,003 per tonne, official sources said. The estimated Rs 8,744.7 crore mine, meant for non-power sector, has extractable reserves of 29.12 MT.
Ultratech beat the likes of ACC, Hindalco Industries, Hindustan Zinc, Jaypee Cement Corp, Monnet Ispat & Energy and OCL India. Coal Secretary Anil Swarup tweeted, "Gare Palma IV/2&3 goes at 108". Sources said Jindal Power won the mines.
Jindal Power Ltd bagged Gare Palma IV-2 & 3 coal mines, having extractable coal reserves of 155.49 MT, in Chhattisgarh for an estimated Rs 1,679 crore. It beat the likes of Adani Power Maharashtra, D B Power, GMR
Chhattisgarh Energy, Jindal India Thermal Power, JSW Energy, KSK Mahanadi Power Company, Reliance Geothermal Power and Sesa Sterlite.
Aditya Birla Group flagship Hindalco Industries won the Gare Palma IV-5 block for an estimated Rs 14,858.9 crore. Its winning bid was Rs 3,502 per tonne. The mine has estimated extractable reserves of 42.43 MT. It beat firms including Ambuja Cements, BALCO, Hindalco and Monnet Ispat & Energy.
A senior Coal Ministry official said: "Gare Palma IV/5 mine was won by Hindaco Industries at Rs 3,502 per tonne today. The mine was put on offer yesterday and the bidding for the block lasted for over 12 hours." In the previous five days of auction, companies including GMR Chhattisgarh Energy, Reliance Cement, Sunflag Iron and Steel, Jaiprakash Associates and BALCO won mines.
Tomorrow, a single mine on sale is Gare Palma IV-4 in Chhattisgarh. The companies in race for mine are ACC, BALCO, Godawari Power and Ispat, Hindalco Industries, Jayaswal Neco Industries, Rungta Mines and SKS Ispat and Power. The mine for non-power sector has extractable reserve of 12.30 MT.
Meanwhile, Jaiprakash Power Ventures today said it has successfully bidded for a coal mine in MP and a formal communication vesting the said block in its favour is expected in due course of time. Jaiprakash had bagged the Amelia (North) mine in Madhya Pradesh quoting Rs 712 per tonne.
Jaiprakash Associates earlier today stated its bid for Mandla North coal block in Madhya Pradesh at Rs 2,505 per million tonnes was found to be the highest. "The company is participating in e-auction of coal blocks...the company's bid for Mandla North coal block at Rs 2,505 per MT was found to be the highest.
However, a formal communication vesting the said coal Block in our favour is expected in due course of time," Jaiprakash Associates said in a filing to BSE.