Coal news and updates

 

Tata Power Co. Ltd said on Tuesday that the Supreme Court’s order declaring coal block allocations made between 1993 and 2010 as illegal, include two blocks allocated to the company. The blocks under consideration include the 120 million tonnes (mt) Tubed coal block in Latehar district in Jharkand, and the 290 mt Mandakini coal block in Angul district in Odisha. The Tubed block was jointly allotted to Tata Power and Hindalco Industries Ltd in August 2007, the company said in a statement. Tata Power’s share in the reserve was 40%. The annual yield of this block was expected to be 6 million tonnes per annum (mtpa), the statement said. “Tata Power’s share of coal from Tubed was to be utilized in the end-use power plant being developed at Tiruldih in Jharkhand,” the company added. The second coal block, in Odisha, was allotted jointly to Tata Power, Monnet Ispat and Energy Ltd, and Jindal Photo Ltd in January 2008, each with a third of the share of coal. The annual yield of the coal block was expected to be 7.5 mtpa, the company said. The share from the Mandakini block was to be utilized in the end-use power plant at Naraj Marthapur or an alternate end use plant in the state of Odisha, which is under final approval of the government of Odisha, the company said. On Monday, the Supreme Court said coal mine allocations between 1993 and 2010 were done in an arbitrary manner and were therefore illegal, and that it will have a separate hearing on 1 September to see whether to cancel the blocks or impose penalty. At 3.29pm, shares of Tata Power fell 2.6% to Rs.88 on BSE, while the exchange’s benchmark Sensex index rose 0.03% to 26,445.63 points.

 

Source: http://www.livemint.com/