SEBI Reg. Investment Advisor

Download App

MoneyWorks4Me

NMDC, Coal India plan JV to form No. 2 mining firm

30 Aug 2010 Evaluate

NMDC and Coal India are forming a joint venture with West Bengal Mineral Development and Trading Company to acquire one of the largest coal blocks having reserves of around 19 billion tonnes.

 

Under the proposed structure, NMDC and Coal India will have 40% stake each in the JV while the West Bengal state mining firm will own the balance 20% equity. This is one of the biggest coal reserve in the country and the proposed company will be the second largest coal mining entity after Coal India, which has 63 billion tonnes of coal reserves.

 

One of the key reasons for the forming the JV with NMDC is its expertise in mining of hard rock. The coal block in West Bengal has top layer of hard basalt rock with a thickness of 100 to 300 metres. The hard basalt rock is used as a material for road construction. Coal India does not have the technology to mine the hard rock.

 

The mining JV will have a capacity of 100 million tonnes per annum. Once the coal mining starts, depending upon the prevailing demand, the JV may ramp up the capacity in future. The entire area where the coal reserve is located is uninhabited so it will be easier to start work immediately once the government assigns the block.crackcrack

NMDC Share Price

89.78 2.60 (2.98%)
17-Apr-2026 16:59 View Price Chart
Peers
Company Name CMP
Coal India 438.70
NMDC 89.78
GMDC 733.40
Sandur Manganese 218.35
MOIL 327.60
View more..

About MoneyWorks4Me

MoneyWorks4Me is a SEBI-registered Investment Adviser (IA) dedicated to helping investors build long-term wealth through transparent, research-driven, conflict-free guidance. Founded in 2008, we started our journey as a Research Analyst (RA), providing deep fundamental analysis, intrinsic value insights, and long-term investing frameworks for Indian equities. In 2017, we transitioned to a full-fledged SEBI-registered Investment Adviser, strengthening our commitment to acting as a fiduciary—always putting the investor’s interest first.

Our Vision

To become India’s most trusted, research-powered fiduciary advisory platform—where every investor, regardless of experience, can make calm, confident, and well-reasoned investment decisions.

What Makes MoneyWorks4Me Different

Our Approach: Ensuring compounding work its magic on client portfolio.

MoneyWorks4Me ensures this through:

×