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  • Sunday, February, 2023| Today's Market | Current Time: 05:29:54
  • The commercial coal mining policy has seen intense bidding by domestic and home-grown firms. Shreesatya Mines won the Rauta block in Jharkhand and announced to share 76% revenue to the state government.  Before this, domestic players like Hindalco, Vedanta, Adani Godda and other regions of Jharkhand also placed various bids.

    Recently, two coal blocks have been grabbed by private players during the second tranche of commercial coal auctions. Shreesatya Mines, the winner of Jharkhand’s Rauta closed mine, offered a revenue share of 75.5 percent to the state government. Till date, it is the highest bid received in commercial coal mine auctions.

    Additionally, Sunflag Iron and Steel turned out to be the preferred bidder for the Bhivkund coal mine in Maharashtra by offering a 9 per cent revenue share to the state government.  The maiden auction round under the commercial coal mining policy, held in November last year saw bidding by domestic and home-grown firms, where the highest premium received was 66.8 percent while the average premium quoted was 27 per cent.

    The Jharkhand’s Rauta block has witnessed an intense bidding. The four major companies including South West Pinnacle Exploration, Shree Sai Urja, Adhunik Power and Shreesatya Mines placed their bids to bag the mining contract.

    Last year, in the month of November, the maiden auction round under the commercial coal mining policy was organized. It witnessed numerous domestic and home-grown firms bidding, where the highest premium received was 66.8 pre cent, while the average premium quoted was 27 per cent.

    Contemplating the richness of the state coal reserves, Adani Godda district announced the inauguration of a power plant by the first quarter of the year 2022 i.e. by March. This indication was given by Gautam Adani, Chairman of Adani Group. Godda’s upcoming power plant will have the capacity of producing 1660 MW of electricity and out of this 400 MW will be allocated to the state. With this, Jharkhand would likely get rid of the electricity problem. Apart from Godda, Adani Group also won the rights for the Gondulpara coal mine in Jharkhand. This mine will be driving an annual revenue of Rs 520.92 crore.

    Apart from the initiative and projects by the Adani in Godda, earlier, Hindalco Industries placed the winning bid of the Chakla coal block in Jharkhand. It also strengthened the position of the company in the share market.

    As many as 20 mines out of the 38 offered could be auctioned off in the first round of auctions in 2020. The Union coal ministry had offered 67 blocks under the second round of auction for commercial mining, out of which eight mines could be finally put up for bidding.

    India witnessed a surge in its power consumption by 25 per cent in the first week of May, to 26.24 billion units (BU) as compared to the same period’s output last year. This testifies the consistent recuperation of the commercial and industrial electricity demand, as per the data from the power ministry.

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