Coal news and updates

MCL targets 250 mt coal production by 2020

Mahanadi Coalfields Ltd (MCL), a wholly owned subsidiary of Coal India Ltd, has set 250 million tonne (MT) of coal production target by 2020 along with diversification into power generation and transmission sectors.

"As on November 24, 2015, MCL has produced 81.051 MT coal, removed 59.364 million cubic meter over burden (OB) and dispatched 86.527 MT of dry fuel to the consumers, registering a growth of 10 per cent, 11 per cent and 11.5 per cent respectively,'' Anil Kumar Jha, chairman-cum-managing director, MCL told media persons at Sambalpur.

We are at a position from where we can easily achieve 250 million tonne coal production target by 2020, given the conducive atmosphere to enhance production and dispatch, he added.

Stating that Odisha will soon become the energy hub of India with MCL alone fueling over 20 per cent of power plants in India, the CMD said, this Coal India arm in the coastal state has started leading in coal production, OB removal and dry fuel dispatch in the country.

The company is setting-up a 2 x 800 MW super critical thermal power plant at its Basundhara area in Sundergarh district besides a joint venture with transmission utility Neelachal Power Transmission Company Pvt Ltd.

MCL, the youngest subsidiary of CIL, which is on its way to be the largest coal producer in the country by the end of this financial year, has also made strategic tie-ups with the state government and railways for evacuation of coal output, said an official statement.

The company has entered into joint venture with Odisha government and the railways to form a company-Mahanadi Coal Railway Ltd- to boost the rail development project and strengthen transport communication network in the state.

Coal production from MCL is likely to get a fillip as Indian Railways is expected to complete the 52-kms Barpali-Jharsuguda line by June 2016, solving the major evacuation problem in the coal-rich Basundhara fields in Sundergarh district of Odisha. The completion of single-line at the estimated cost of Rs 1,007 crore, is projected to increase off-take from MCL by 35 million tonne.

This would increase the dispatch to 45 million tonne from the Basundhara and Siarmal project areas, which will further feed about nine million tonne to its proposed 2x800 MW super critical thermal power plant within the area , added the release.

source: http://www.business-standard.com