Marking a significant milestone in the success of commercial coal mining, the Coal Ministry on Monday executed Coal Mining Development and Production Agreements for three coal mines auctioned under the Second Attempt of the 7th Round.
The mines for which agreements were executed are Machhakata (Revised) coal mine, Kudanali Lubri coal mine, and Sakhigopal-B Kakurhi coal mine. Among these three, two are partially explored, while one is fully explored.
The successful bidders are NLC India Limited, Gujarat Mineral Development Corporation Limited, and Tamil Nadu Generation and Distribution Corporation Limited, respectively.
The estimated annual revenue generation under commercial auction from these three mines is approximately Rs 2,991.20 crore, based on production at an aggregated Peak Rate Capacity of around 30.00 MTPA.
Once operational, these mines are projected to create approximately 40,560 direct and indirect employments.
Additionally, a total investment of around Rs 4,500 crore will be allocated to bring these coal mines into operation.
The Ministry has recently conducted the pre-bid meeting for the 10th round of commercial coal mine auctions.
A detailed presentation on the auction process was made by the Transaction Advisor, SBI Capital Markets Limited and technical presentation was made by technical advisor, CMPDIL, about the coal mines being offered under this 10th tranche of commercial auctions for sale of coal on revenue sharing basis.
At the meeting, the ministry clarified various queries of bidders pertaining to general terms & conditions of process like bid security, upfront amount, rebate and technical queries regarding borehole density, Peak Rated Capacity and technical difficulties.
The bid due date of this tranche of auction is August 27, 2024.