Mjunction auctions 11,000,000 tonnes of NLCIL coal to supplement CIL’s supplies


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Although neither NLCIL nor Mjunction wanted to disclose the amount withdrawn from the quantity offered or the bonus obtained from the auction, a ministry official said that only NLCIL provided supplies at the time of the crisis.

NLCIL, formerly Neyvelli Lignite Corporation, offered 11,000,000 tonnes of coal from its Talabira -2 & 3 surface mines to Odisha on the Mjunctions electronic marketplace as a measure to make coal available to consumers at a time when Coal India (CIL) has suspended electronic auctions for traders and non-consumers.

NLCIL had offered coal between a gross calorific value of 3,101 and 3,400 at a reserve price of Rs 2,492.93 per tonne. Although neither NLCIL nor Mjunction wanted to disclose the amount withdrawn from the quantity offered or the bonus obtained from the auction, a ministry official said that only NLCIL provided supplies at the time of the crisis.

The West Bengal Power Development Corporation (WBPDCL) which normally uses 15 rakes or 60,000 tonnes of CIL coal per day has reduced it to six rakes per day, with each rake containing 4,000 tonnes. It sourced the rest of the supply from the East and West Tara Blocks, state Energy Minister Aroop Biswas said, adding that West Bengal was one of the very few states to have cut back. CIL’s coal inputs when the company had to rush the ore to electricity. plants with a critical stock situation. The state discom, which supplies electricity to 86% of its consumers, must source 60% of its electricity needs from the WBPDCL with which it has long-term PPAs. NTPC’s Farakka thermal power plant has failed to provide West Bengal with the necessary supply due to a lack of coal, Biswas said.

However, NLCIL supplied an additional 50,000 tonnes each to NTPC’s Darlipali thermal power plant in Odisha and NTPC’s Lara TPS in Chhattisgarh. But there are no reports of any of the 43 captive mines increasing production despite the Center having allowed 50% of their excess production to be sold on the open market.

The 43 operational mines have a maximum nominal capacity of 145 million tonnes. These mines produced 37.5 million tonnes in the previous fiscal year and set a target of producing approximately 82 million tonnes in that fiscal year. But until September, these mines produced just over 20 MT.

The ministry official said that captive mines that can increase production will soon be identified, but the increase in production cannot happen overnight, as coal mining depends on the length of the strike, the length of the strike. the design of the mine and the equipment available with it. The ministry will assess the planning of these mines, depending on the measures that will be taken, he said.

NLCIL, which operates the Talabira -2 and 3 mines, has an annual capacity of 20 MT. But has targeted production of 10 MTS by the end of the fiscal year and to reach 20 MTS by the next fiscal year.

CIL, on the other hand, plans to deploy more Mine Development Operators (MDOs) to increase production, for which it has already planned investments worth Rs 47,300 crore to increase the capacity of its 24 projects. existing projects and start eight new projects. The 32 new projects would give it an additional 496.5 MTPA production over the years, but the 24 existing projects, which have sanctioned capacity to produce 303.5 MTPA, will produce 193 MTPA above sanctioned capacity, the minor aiming to produce 81 MTPA of its target of 193 MTPA by 2024.

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