Coal news and updates

Coal India indentifies 126 projects in 12th plan

 
Even as the State-owned coal behemoth Coal India has identified 126 projects with an estimated capacity of 438.04 MTs, which would be taken up during 12th Plan period, the company has also lined up plans to import 15 million tonne of coal for power utilities as part of meeting the fuel supply agreement commitment, senior CIL officials said in Kolkata on Wednesday.

 “Of these 126 new projects, project reports for 78 have already been formulated. CIL has already sanctioned Rs 2,294.79 crore for four projects with an estimated capacity of 12.5 MTs. As many as 60 of these 126 projects are envisaged to contribute about 88MT during the terminal year of the 12th Five Year Plan (2016-17),” CIL chairman and managing director S Narsing Rao said at the company's annual general meeting (AGM) on Wednesday.

 Meanwhile, CIL director (marketing) B K Saxena said, “We have received interest for 15 million tonnes from IPPs (independent power producers) and state owned entities. This include DVC, some state power generation company among others.”

 Saxena however, clarified that NTPC was not among those, who have given requistion for imported coal. “We only propose to supply the imported coal to them from 2014-15 financial year,” he said.

 Significantly, CIL has proposed a capital outlay of Rs 25,400 crore in the 12th plan period in addition to an ad-hoc provision of Rs 35,000 crore to acquire coal assets abroad and develop the acquired coal blocks in Mozambique.

 Rao, on his parts, said, “We are well eqipped and I can assure you that we will be fully ready to meet the FSA commitment. There will be no ocassion, where we will have to pay penalty.”

 According to the new FSA Coal India will supply 65 per cent of the contracted amount from domestic sources and another 15 per cent will be done through imports with pass-on pricing model.

 As far as domestic production is concerned, between April and July, CIL produced 135.64 MT of coal against a target of 140.32 MT during the period. The offtake stood at 153.47 MT against the target of 156.86 MT.

 Meanwhile, officials at CIL will meet leaders of its five trade unions on September 20 (Friday) to try and avert a three-day workers strike from September 23, a company director said on Wednesday.

Source: mydigitalfc.co