>>In what could be regarded as a potential blow to the entities indulging in illegal coal mining in the country, the Odisha government has imposed a demand notice amounting to INR 82.97 billion on Mahanadi Coalfields Limited, the second largest subsidiary of the state-run Coal India Limited, for unlawful production of coal in violation of environmental clearance norms.
>>In a stark contrast, many coal-fired thermal power plants were reported to be inadequately supplied with coal, interestingly when coal stocks at pit heads of coal mines in the country rose to 45 MnT recently from 20 MnT in Nov’17. Calculations show that the available coal bears the potential to run 1,000 MW of power capacity, non-stop for a year, at 85% capacity utilization.
The insufficiency in coal supply has arisen from the logistics issues, involving roadways, railways and conveyor belts.
>>Switzerland headquartered Glencore has agreed to purchase 82% stake in the Hail Creek coal mine, owned by Rio Tinto, in the Queensland region of Australia. The deal is valued at USD 1.7 Bn. Rio Tinto is in the process of disposing off its coal assets as the company wants to focus on its other profitable verticals. The coal mine is the last remaining coal asset with Rio Tinto.The coal mine produces both Coking and Non Coking coal.
The remaining 18% stake is owned by Nippon Steel, Marubeni Coal and Sumisho Coal. And these companies have the right to sale their shares to Glencore for USD 340 Mn.
Glencore is counted as a large coal producer in Australia. Last year, the company produced 87 MnT of coal from its 17 mines spread across Queensland and New South Wales regions of Australia.
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