The government, under the 12th round of coal block auctions, has successfully auctioned a total of seven assets, comprising three fully explored and four partially explored ones.
The coal ministry had put 28 coal blocks under the hammer in the 12th round spread across coal and lignite bearing states of Jharkhand, Chhattisgarh, Odisha, Madhya Pradesh, Maharashtra, West Bengal and Rajasthan.
Orissa Alloy Steel, Damodar Valley Corporation, TMC Mineral Resources, Mivaan Steels, Shakti Bhumi Mining, Alom Solar, and Oriental Quarries and Mines are among the seven companies that have emerged as winners of the blocks.
These seven blocks hold a combined geological reserve of approximately 1,761.49 million tonnes. The cumulative Peak Rated Capacity (PRC) of these blocks stands at 5.25 MTPA (excluding partially explored coal blocks). The blocks are situated in the state of Jharkhand and Chhattisgarh.
Revenue, investment, and employment impact
The auctions witnessed intense competition, achieving an average revenue share of 26.70%, the ministry said. “This reflects the sustained interest of industries in the coal sector and the ministry’s efforts to provide a stable and transparent policy framework,” the ministry added.
These blocks are expected to generate an annual revenue of approximately Rs 719.90 crore (excluding partially explored blocks), likely to attract a capital investment of around Rs 787.50 crore, and create 7,098 employment opportunities.
Since the inception of commercial coal mining in 2020, a total of 131 coal blocks have been auctioned successfully, with a production capacity of 277.31 million tonnes per year.
Strengthening self-reliance in Coal
Upon operationalization, these blocks will immensely contribute to enhancing domestic coal production and in making the country self-reliant in the coal sector, the government said.
Collectively, these blocks are expected to generate annual revenue of Rs 39,359 crores, capital investment of Rs 41,597 Crores and provide employment for 3,74,916 people in coal-bearing regions.
“These strategic initiatives of the Ministry of Coal reaffirm the Ministry’s dedication to transforming the coal sector into a key driver of economic growth,” the coal ministry said in a statement.