Coal news and updates

Electrosteel seeks compensation for cancelled coal blocks

Electrosteel Castings Ltd, which had won two coal blocks in Jharkahand, is seeking compensation now as the blocks were cancelled by the Supreme Court.

The two blocks are located in Parbatpur and North Dhadhu. An Ordinance issued by the Central Government has allowed the company to continue operations at the Parbatur block till March 31, 2015.

The company has spent ₹57.03 crore so far on the block as capital work is in progress.

The other coal block, North Dhadhu, is not operational yet, but Electrosteel says it has made an initial investment of ₹8.23 crore.

In a statement, the company said it has filed a compensation claim ₹1,220.71 crore for the Parbatpur coal block.

The company reported a ₹15.76 crore net profit in the October-December quarter, down from ₹33.73 crore in the year-ago period.

Source: The Hindu BusinessLine