Ministry of Coal Launches Auction Roadshow in Ranchi, Unveils Plans for 8th and 9th Rounds

Ranchi: The Ministry of Coal organized a significant roadshow in Ranchi, featuring Secretary Shri Amrit Lal Meena as the chief guest, Additional Secretary & Nominated Authority Shri M Nagaraju, and Shri Aboobacker Siddique P, Secretary (Mines), Government of Jharkhand as Guests of Honour. The event also welcomed Shri P M Prasad, Chairman, Coal India Limited as the Special Guest.

The roadshow unveiled the Ministry’s plans for the auction of coal mines, showcasing its commitment to transparency, efficiency, and investor-friendly reforms. Secretary Shri Amrit Lal Meena emphasized the Ministry’s dedication to supporting the coal industry and assured prospective bidders of any necessary assistance. He highlighted the profitability of coal mining and encouraged investors to participate in the upcoming auctions.

Shri P M Prasad, Chairman, Coal India Limited, applauded the Ministry’s efforts in successfully auctioning 91 coal mines in a short span. He welcomed the Single Window Clearance system and the Project Monitoring Unit, initiatives aimed at facilitating the early operationalization of allocated coal mines.

Additional Secretary & Nominated Authority, Mr. M. Nagaraju, briefed investors on coal reforms initiated by the Ministry to enhance the attractiveness of the coal auction process. The roadshow featured presentations on technical details of coal blocks, auction terms, and conditions by government officials and industry experts.

Key features of the auction process include a reduction in upfront amount and bid security, flexibility in coal utilization, optimized payment structures, incentives for early production, and the use of clean coal technology. The auction, conducted online through a transparent two-stage process, is based on Percentage Revenue Share.

The Ministry has completed the successful auction of 91 coal mines in the first seven tranches and is gearing up for the 8th and 9th rounds. The 8th round includes the auction of 35 coal mines, while the 9th round offers 27 coal mines. The Bid Due Date for the 8th round is January 29, 2024, and for the 9th round, it is February 19, 2024.

SBI Capital Markets Limited, the sole Transaction Advisor to the Ministry of Coal, is facilitating the auction process. Interested parties can access details of the mines, auction terms, timelines, and other relevant information on the MSTC auction platform.