Commercial Mines Auction: Sunflag Iron And Steel Highest Bidder For Coal Block In Maharashtra

Sunflag Iron and Steel Company Ltd has emerged as the highest bidder for a coal block in Maharashtra auctioned for commercial use, according to an official statement.

Shreesatya Mines Pvt Ltd emerged as the highest bidder for another coal block in Jharkhand on the second day of the second round of bidding under the commercial coal auction, the coal ministry said in a statement.

While Sunflag Iron and Steel Company quoted a nine per cent premium on the reserve price of Bhivkund coal mine in Maharashtra, Shreesatya Mines Pvt Ltd quoted 75.50 per cent on the reserve price for Rauta Closed Mine in Jharkhand.

'Two coal mines (one mine each in Maharashtra and Jharkhand) were up for electronic auction on Day 2 of auction,' the statement said.

Bhivkund in Maharashtra is fully explored mine with geological reserves of 102.26 million tonnes (MT) and a peak rated capacity of 0.72 million tonnes per annum (MTPA), while Rauta Closed Mine is a partially explored mine with geological reserves of seven million tonnes.

'The blocks put on auction by the Ministry of Coal saw intense competition from bidders who had submitted their bids for these blocks,' the statement said.

The technical bids submitted by the bidders were evaluated and the list of technically qualified bidders was published.

Pursuant to this, the coal ministry commenced the electronic auction of the coal mines from Monday.

The e-auction process for all the mines will be completed by Wednesday.

Three coal mines -- one each in Maharashtra, Jharkhand and Chhattisgarh -- were put up for auction on the first day of auction on Monday.

Adani Power Maharashtra Ltd emerged as the highest bidder for Gondkhari mine in Maharashtra.

While South West Pinnacle Exploration Ltd emerged as the highest bidder for Jogeshwar and Khas Jogeshwar block in Jharkhand, CG Natural Resources Pvt Ltd emerged as highest bidder for Jhigador mine in Chhattisgarh.

The auction process of 67 coal mines for sale of coal was launched by the Nominated Authority, Ministry of Coal, on March 25.

The total number of mines successfully auctioned in the first tranche of auction for commercial mining was 20 out of the total 38 coal mines offered, the coal ministry had earlier said.

(PTI)