Ministry of Coal Signs Agreements for Three Coal Blocks, Strengthening Energy Security and Economic Growth
New Delhi: The Ministry of Coal successfully executed agreements for three coal blocks with winning bidders on November 22, 2024, marking another milestone in India’s commercial coal mining journey. Since the launch of commercial coal mining by Prime Minister Shri Narendra Modi, a total of 104 coal blocks have now been auctioned.
The agreements for the Meenakshi and Rampia & Dip Side of Rampia coal blocks were handed over to Hindalco Industries Limited and Jhar Mineral Resources Private Limited, respectively, by Vikram Dev Dutt, Secretary of the Ministry of Coal, and Additional Secretary & Nominated Authority Rupinder Brar. Both officials assured comprehensive support to ensure the smooth operationalization of these blocks.
Dutt emphasized the Ministry’s dedication to advancing coal mining projects, stating that these initiatives would play a vital role in bolstering India’s energy security while driving economic growth.
The three coal blocks are projected to generate annual revenue of approximately ₹2,709.95 crore at their aggregated peak-rated capacity of 27 million tonnes per annum (MTPA). Their full operationalization is expected to create around 36,504 direct and indirect employment opportunities and attract an estimated ₹4,050 crore in investment.
With the execution of these agreements, Coal Mine Development and Production Agreements (CMDPAs) have now been signed for 101 coal mines auctioned under the commercial coal mining framework.
Progress in 10th Round of Auctions
The Ministry of Coal also made significant progress in the ongoing 10th round of e-auctions, concluding the auction of two fully explored coal blocks on the second day. The results are as follows:
| Block Name | State | PRC (MTPA) | Geological Reserves (MT) | Successful Bidder | Reserve Price (%) | Final Offer (%) |
|---|---|---|---|---|---|---|
| Bundu | Jharkhand | 1.00 | 102.268 | S M Steels and Power Limited | 4.00 | 16.75 |
| Gare Palma IV-5 | Chhattisgarh | 1.10 | 77.990 | Sarda Energy and Minerals Limited | 4.00 | 25.75 |
These two blocks, with geological reserves totaling 180.26 million tonnes and a combined PRC of 2.10 MTPA, are expected to generate annual revenue of ₹339.06 crore. Their operationalization will attract an investment of ₹315 crore and provide employment to approximately 2,839 people.
The Ministry’s robust efforts in auctioning coal blocks underscore its commitment to strengthening India’s energy landscape while ensuring sustainable economic growth. With increased investments and employment generation, the initiatives reflect the government’s resolve to leverage natural resources effectively for national development.
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