In the second tranche of ongoing auction for 21 coal mines, the government has received 130 preliminary bids from companies like Essar Power, Hindalco, Adani Power and Jindal Power. A maximum of 16 bids came for Utkal C coal block in Odisha from bidders including Jindal Power, Essar Power, Sesa Sterlite and Adani Power Maharashtra, while another block Gare Palma IV/8 in Chhattisgarh received 13 bids from companies like Hindalco, JSPL, Sesa Sterlite and Balco among others.
Notably, Hindalco Industries piped six companies, including Monnet Ispat & Energy, Rungta Mines, UltraTech Cement and the prior allottee Usha Martin to bag the Kathautia mine in Jharkhand by offering Rs 2,860 per tonne of coal. While, Sunflag Iron & Steel beat Balco, Reliance Cement and Topworth Urja and Metals bagged Belgaon block in Maharashtra at Rs 1785 per tonne. The block was earlier owned by Sunflag and has 14 million tonne reserves.
In the first stage of the auction, the government found as many as 134 applications “technically qualifiable” of the total 176 preliminary bids received for 21 coal blocks that have been put for electronic auction The government had initially planned to auction 23 mines in first lot but had put on hold bidding for two mines due to litigations. The Ministry would go ahead of with the auction of mines as per schedule though there have some court cases as a consequence of which there have been some changes.
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