Adani Enterprises Ltd along with its wholly-owned subsidiary Gare Palma II Collieries Pvt Ltd (GPIICPL) has signed a pact with Maharashtra State Power Generation Co Ltd (MAHAGENCO) for development and operation of Gare Palma Sector II coal mine.
The coal ministry had allocated the coal mine in Raigarh district of Chhattisgarh to MAHAGENCO in 2015, Adani Enterprises said in a filing to BSE on Friday.
“Adani Enterprises Limited along with its wholly-owned subsidiary company, Gare Palma II Collieries Pvt Ltd… has signed a coal mining agreement with… MAHAGENCO for development and operation of Gare Palma Sector II coal mine,” the filing said.
The coal block was allotted for development, operation and captive consumption of coal to its end use thermal power plants located at Koradi, Chandrapur 8- Parli.
As per the approved mining plan, the peak rated capacity of mine is 23.6 million tonnes per annum with total mineable reserve of 553.177 MT for opencast mine.
MAHAGENCO had floated a tender for selection of mine developer and operator for development and operation of Gare Palma II coal mine in March 2016. After a reverse auction, Adani Enterprises Ltd emerged as L-1 bidder.
The contract period will be for 34 years, including for mine development and final mine closure.