Govt approves 23 coal blocks

[SUKU OPTIMISTIC]

NEW DELHI: The government is understood to have approved allocation of
23 coking and non-coking coal blocks to leading steel, cement and
power producers, including Essar, JSPL, Grasim, Monnet and Ispat.

While four coking coal blocks have been allocated in Madhya Pradesh,
the rest 19 non-coking blocks are in West Bengal, Madhya Pradesh,
Chhatisgarh, Jharkhand, Maharashtra and Andhra Pradesh, a senior
government official told.

In its meeting held last week, the Screening Committee of Coal
Ministry, headed by Coal Secretary H C Gupta, decided to allocate the
Behrabandh coking coal block to Vinod Mittal-led Ispat Industries on a
sharing basis with Essar, Mukund Steel and Ind Synergy.

Of the total 170 mn tons reserves, Ispat Industries was allocated 70
mn tons, while Essar and Mukund 53 and 25 mn tons respectively.
Orissa's Ind Synergy got the rest.

Coking coal is a major raw material for steel making in addition to
iron ore.

The committee has also approved the Urtan coking coal block, which has
an estimated reserves of about 42 mn tons, to Jindal Steel and Power
Ltd and Monnet Ispat on a sharing basis.

The Urtan North coking coal block with an estimated reserves of about
54 mn tons was approved for Bhushan Steel and Prakash Industries.

Of the major non-coking coal blocks, Moira and Madhujore (North and
South) in West Bengal were allocated to Adhunik Group on a sharing
basis with Uttam Galva, ACC, Vikas Metal and Power Ltd, Mideast
Integrated and Ramsarup Lohh Udyog.

The block has a reserve of over 685 mn tons, of which Adhunik Group
was allocated the maximum 30 per cent of the total reserves.

N.Sukumar
Research Analyst
www.kences1.blogspot.com