Coal news and updates

CIL’s e-auction allotment value up 18.5% till Oct

India Coal Market Watch

November 25: Riding on a 68.4% increase in allotment of coal through e-auction platform, Coal India Ltd (CIL) has achieved an 18.5% jump in total allotment value of coal during April-October 2015 over the same period last year.

According to data available with ICMW, total booking price of allocated quantity during the first seven months (April-October) of 2015-16 stood at Rs 6,029.85 crore, against Rs 5,086.56 crore achieved during the same period last year.

The 18.5% increase in allotment value, however, was less than a 44% rise in total notified price of allotted quantity which increased to Rs 4,346.30 crore during April-October 2015-16, against Rs 3,016.17 crore reported for the corresponding period of last fiscal.

This was reflective of the drop in total realisation (premium) above the notified price this year. Total realisations from allotment through e-auction fell to 38.74% above the notified price during the seven months of 2015-16 as compared to a high of 68.64% during the corresponding period of 2014-15, the data shows.

According to industry sources, the increased offering and allotment resulted in lower realisation of premium this year.