India’s giant companies have participated aggressively in coal blocks bidding for regulated and unregulated sectors started on 14 Feb’15.
The 2nd day auction (schedule II) for coal blocks has ended with unexpected high bidding. GMR Energy and CESC have won amongst the government regulated sector (Power) participants. Meanwhile, among the unregulated sector (Steel, Cement) participants, Hindalco Industries, Reliance Cements and Sunflag Iron & Steel have won the mines.
CESC and Sunflag Iron Steel, the erstwhile holders for mining lease of Sarisatolli (West Bengal) and Balgaon Mine (Maharashtra) respectively, have again won the mines in current e-auction with highest bidding. While, Reliance Cement has won the Sial Ghoghri Mine (Madhya Pradesh) among the competitors like Hindustan Zinc and OCL Iron & Steel .
At the same time, GMR Chhattisgarh Energy has received Talabira-I (Odisha) Mine with price of INR 478/MT against the floor price of INR 100/MT. The companies such as Adani Power, Essar Power, OPG Power Generation and Sesa Sterlite have also participated for the mine.
| S. N | Mine | Erstwhile Holder | Won | Win Price | State | End Use Project |
| 5 | Talabira I | Hindalco Industries | GMR Chhattisgarh | INR 478/MT | Odisha | Power (Regulated) |
| 6 | Sarisatolli | CESC | CESC | INR 470/MT | West Bengal | Power (Regulated) |
| 14 | Kathautia | Usha Martin | Hindalco Industries Ltd | INR 2860/MT | Jharkhand | Iron & Steel (Unregulated) |
| 17 | Balgaon | Sunflag Iron Steel | Sunflag Iron and Steel | INR 1785/MT | Maharashtra | Iron & Steel (Unregulated) |
| 23 | Sial Ghoghri | Prism Cement | Reliance Cements | INR 1402/MT | Madhya Pradesh | Cement (Unregulated) |
Few market analysts anticipated that prices for Cement, Steel and Sponge iron is expected to rise owing to current aggressive bidding by companies. Electricity tariffs are unlikely to increase because mines for regulated sector are being auctioned through reverse bidding, where the lowest bidder wins the auction.”
Other than the above, Marki Mangli-III block in Maharashtra has 4 MnT reserves and is being eyed by four companies namely JSW Cement, BS Ispat, Sunflag Iron & Steel and the previous owner, Topworth Urja and Metals.
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