Coal news and updates

Odisha has planned to float a coal mining company to participate in the auctions for the coal blocks located in the state.

“The state-owned Odisha Mining Corporation (OMC) will float a fully-owned subsidiary to bid for at least 12 coal blocks with a total reserve of 6,800 million tonne located in the state,” said a senior official of the state steel and mining department.

The state is eyeing for Manoharpur and Dipside Manoharpur coal blocks, along with New Patrapada, Machhakata, Mahanadi, Baitarani East, Baitarani West, Naini, Chhendipada I, Chhendipada II, Rampia and Dipside Rampia blocks. These 12 blocks have a reserve of 6,809 MT of coal, which will be developed professionally and plan for the high capacity mega coal projects will help the power generation in a big way, said the senior official.

The official said the state government has approached the Union ministry of coal for allotment of coal blocks for supply of 150 million tonne per annum (mtpa) coal to various power plants coming up in the state.

The state government has lined up power projects to generate 14,220 MW in state PSU sector and 37,220 MW by Independent Power Producers (IPPs). The state has estimated that coal reserve of 6,800 million tonne is required as the PSU power plants and the IPP projects would require 150 million tonne of coal per annum. The official said that the 150 million tonne per annum would meet 90% of the coal requirement of PSU power plants and 50% of the IPPs.

The new Odisha coal mining PSU may form joint venture with various central government-run mining firms for technical support to develop high capacity mega coal projects in the coal blocks to be allocated to it, said the official.

Earlier, the Union government allocated 30 coal blocks in Odisha to state-owned OMC and Odisha Power Generation Corporation (OPGC) and state PSUs of other states, besides various private power, steel, aluminium, and ferro alloys companies between 1993 to 2010. The coal projects, however, could not be developed due to problem of land acquisition and statutory clearances.

 

 

Source: http://www.financialexpress.com/