India inks deals for three coal mines

These are expected to generate $404.22 m in annual revenues.

India takes another step towards its goal of achieving self-reliance in the coal sector with the signing of Coal Mining Development and Production Agreements for three coal mines that were auctioned under the second attempt of the 7th round. 

In a statement, the Ministry of Coal said agreements were executed for the Machhakata (Revised) coal mine, Kudanali Lubri coal mine, and Sakhigopal-B Kakurhi coal mine. The successful bidders were NLC India Limited, Gujarat Mineral Development Corporation Limited, and Tamil Nadu Generation and Distribution Corporation Limited, respectively.

The ministry said two mines are partially explored, and one is fully explored. 

Around INR4,500 crores ($608.11m) will be allocated to bring the coal mines into operation. These are expected to create approximately 40,560 direct and indirect employment once the facilities start running. 

Annual revenue generation from the three mines is projected to be around INR2,991.20 crores ($404.22 m) based on production at an aggregated peak rate capacity of around 30.00 million tonnes per annum.

The ministry earlier unveiled plans to boost renewable energy capacity, targeting over nine gigawatts by 2030 to support the net-zero goals in electricity consumption amongst Coal/Lignite Public Sector Undertakings. 

INR1 = $0.012