Coal news and updates

PFC under process to select developer for 3 coal blocks in Odisha

Power Finance Corporation (PFC) is under the process of selecting a developer through international bids for three coal blocks that have been alloted to it for 4,000 MW Ultra Mega Power Project in Odisha.

The Normative date of production from these coal blocks -- Meenakshi, Meenakshi-B and Dipside of Meenakshi -- was March 13, 2010 but production has not started so far, an official said.

"PFC Ltd being the nodal agency for implementing UMPP is under the process of selection of developer through international competitive bidding," the source said.

The Coal Ministry had alloted three mines in favour of Orissa Integrated Power Ltd (OIPL) which is a wholly-owned subsidiary of the Power Finance CorporationBSE 2.13 % (PFC) and also a special purpose vehicle created for development of Ultra Mega Power Project in Odisha.

"All the activities related to the development of coal blocks such as environment and forest clearance, obtaining mining lease, preparation of mining plan and land acquisition thereof shall be carried out by the selected developer who will be selected through the tariff based international competitive bidding," the source said.

The estimated collective geological reserves (GR) of the coal blocks are 885.24 million tonnes (MT).

The 4,000 MW UMPP in Odisha is to be installed through Special Purpose Vehicle (SPV). However, the selection of SPV is yet not completed, the source said.

As per the new Model Bidding documents issued by the Power Ministry, all activities related to the development of coal blocks are to be carried out by power procuring state utilities.

"The GR for Meenakshi block is available and action is being initiated for preparation of GR of Meenakshi-B and Dip side Meenakshi and other leading to development of these mines so that mines become operational in keeping with the requirement of 4000 MW Odisha UMPP," the source said.

Source: PTI