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NMDC in talks to acquire coking coal assets

02 Jan 2013 Evaluate

NMDC, state-owned iron ore miner is in discussions to acquire coking coal assets in Russia and Mozambique to fulfill its requirement for upcoming steel-making plant in Chhattisgarh. It is also looking for coking coal assets in the US and Brazil.

The entity is establishing a 3 million tonnes per annum steel plant at Nagarnar in Chhattisgarh with Rs 15,525 crore outlay. Coking and iron ore are two basic raw materials for steel. For the uninterrupted supply of the raw material, it will have to partially depend on imported coal to fuel the blast furnace. The company has also applied for nine coal blocks for captive use.

NMDC, India's top ore miner, accounts for about 15 per cent of iron ore mined in the country, with annual production capacity of 30 million tonnes.

Peers
Company Name CMP
Coal India 401.90
NMDC 67.57
Ashapura Minechem 426.10
Sandur Manganese 161.95
GMDC 436.05
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