Coal India, the world's largest coal miner, is looking for approval from the Indian government to buy a 30% stake in a coal asset in Indonesia. The company has been in advanced talks with Indonesia's Golden Energy Mines to buy stake in its assets in a deal that could be worth as much as $1 billion. In foreign investments, IRR (internal rate of return) of 12% is not feasible. So the company has sought to know whether this guideline for domestic investments still holds for foreign investment.
Recently, Coal India has floated global tender inviting financial institutions to advise it on over Rs 150-crore fresh investment proposal for boosting local output. The last date for submission of expression of interest is July 7, 2011. CIL has planned to enlarge the existing low-capacity projects or open new high-capacity mines considering the increasing demand of coking and thermal coal.
| Company Name | CMP |
|---|---|
| Coal India | 438.70 |
| NMDC | 89.78 |
| GMDC | 733.40 |
| Sandur Manganese | 218.35 |
| MOIL | 327.60 |
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