By Our Correspondent
NEW DELHI/ BHUBANESWAR/ANGUL: With as many as 41 coal blocks – spread across 5 states of Maharashtra, Jharkhand, Chhattisgarh, Odisha and Madhya Pradesh was on Thursday put up on sale for commercial mining, Prime Minister Narendra Modi said Commercial Coal Mining will improve growth of India’s Central-East.
Prime Minister Modi launched the auction of 41 coal mines for commercial mining saying that this is a major step in making India self-reliant in energy sector. With a view to achieve Atmanirbharata in the Coal sector, the Ministry of Coal in association with FICCI launch the process for auction of 41 coal mines under the provisions of CM (SP) Act and MMDR Act.
“The market for coal is now open. It will help all sectors,” PM Modi said adding that India will fight coronavirus and win the war against it.”India will turn this COVID19 crisis into an opportunity. It has taught India to be self-reliant. India to reduce its dependence on imports,” Modi said.
“We took many steps to change the scenario and strengthen the coal sector; now India has taken a historic decision of opening up the sector, in order to promote competition, investment, participation and technology, steps taken to also encourage new players,” PM Modi said.
“Coal sector reforms will have positive impact on many other sectors such as power, steel, aluminium, cement, fertilizers. ₹20,000 crore investment will be made in 4 coal gasification projects to convert vast resources in environment friendly fuel,” Modi said.
“We have set a target to gasify around 100 million tonnes of coal by 2030. I have been told that 4 projects have been identified for this and about 20 thousand crores will be invested in them: ModiAllowing private sector in commercial coal mining is unlocking resources of a nation with the world’s fourth largest reserves,” PM Modi said.
Commercial coal block auction win-win for industry users; new resources will open up, states to get more revenue, employment. Opening up of coal sector being done with measures to protect environment; 100 MT of coal will be converted to gas by 2030.
The auction (of 41 coal mines for commercial mining) today is taking place at a time when business activity in India is normalizing rapidly. Consumption and demand is rapidly approaching the pre-COVID level. In such a situation, there cannot be a better time for a new beginning. Government has taken important decision to open up coal, mining sector to competition, capital and technology. India should be world’s biggest coal exporter considering size of reserves, says PM lambasting past policies of keeping the sector closed
-“For decades, the country’s coal sector was entangled in a web of captive&non-captive. It was excluded from competition, there was a big problem of transparency. After 2014, several steps were taken to change this situation. Coal sector got strengthened due to steps taken,” PM Modi said.
Coal India share price jumped 8 per cent to Rs 139.65 apiece on BSE in Thursday’s volatile session as PM Narendra Modi launched auction process of 41 coal mines for commercial mining. Coal India stock price has risen 17 per cent from its March low of Rs 119.25. The market capitalisation of Coal India stands at Rs 85,351.88 crore with today’s surge in the stock price.
Meanwhile, these Blocks in Odisha may see big fight. Utkal-A (Category I) having status of explored under Talcher Coalfield, Angul, was earlier allocate to Mahanadi Coalfields Ltd, JSW Steels Ltd, Jindal Thermal Power Corp. Ltd., Jindal Stainless Steels Ltd and Shyam DRI Ltd.
Chendipada-II (Category III) status explored under Talcher Coalfield of Chendipada in Angul was earlier allocate to Uttar Pradesh Rajya Vidut Utpadan Limited,Chhattisgarh Mineral Development Corporation Limited, Maharashtra State Power Generation Corporation Ltd.
Mahanadi (Category III) status explored under Talcher Coalfield of Chendipada in Angul was earlier allocate to Gujarat State Electricity Corporation Limited, Maharashtra State Electricity Board
Bijahan(Category III) status explored under IB River Coalfield in Himgiri of Sudargarh was earlier allocate to M/s Bhushan Power & Steel Ltd and M/s Shri Mahavir ferro Alloys Pvt. Ltd.
Radhikapur (East, Category III) (Including Utkal F) Coal Block)(Category III) status explored under Talcher Coalfield of Chendipada in Angul was earlier allocate to TATA Sponge Iron Limited.
Radhikapur (West) (Category III) status explored under Talcher Coalfield of Chendipada in Angul was earlier allocate to M/s Rungta Muines Ltd, M/s OCL, India Ltd, M/s Ocean Ispat Pvt.
Chhendipada-I Block (Category III) status explored under Talcher Coalfield of Chendipada in Angul was earlier allocate to Uttar Pradesh Rajya Vidut Utpadan Limited,Chhattisgarh Mineral Development Corporation Limited, Maharashtra State Power Generation Corporation Ltd.
Machhakata Block (Category III) status explored under Talcher Coalfield of Chendipada in Angul was earlier allocate to Gujarat State Electricity Corporation Limited,Maharashtra State Electricity Board.
Nuagaon Telisahi (Category I) status explored under Talcher Coalfield of Chendipada in Angul was earlier allocate to Odisha Mining Corporation, Andhra Pradesh Mineral, Development Corporation (APMDC).
Jamkhani (Category III) status explored under IB Valley Coalfield in Himgiri of Sudargarh was earlier allocate to Bhushan Ltd, later Vedanta Group back it.
North of Arkhapal Srirampur (Category I) status partly explored under Talcher Coalfield in Angul Sudargarh was earlier allocate to M/s TFL has been allotted Northern part of North of Arkhapal-Srirampur coal block. Remaining part is unallocated.
Private players like Rungta Mines Limited, Jindal Steel and Power Ltd, JSW Steel-Energy, Essel Mining and Industries Ltd, Hindalco, Tatas, Sesa Goa, Vedanta Industries Ltd, Adani Group, Thriveni Earth Movers Pvt Ltd and global players like Rio Tinto, BHP Billiton, PesBody, Glencore and Vale are among those eyeing on Odisha’s Coal block, sources said. The Union Coal Ministry will issue a tender and seek bids from Thursday.
