KPCL TO OPEN PRICE BID ON 23 APRIL 2011 TO FINALIZE ITS ONE MILLION MT COAL SUPPLIER

Tuesday, 19 April 11

Karnataka Power Corporation (KPCL) a state utility of Karnataka, India called for open tender for supply of one million tons of 6300 Kcal/kg coal on air dried basis on delivered basis. The delivery of first cargo should starts from June this year. The supplier must supply at least 100,000 MT of every month starting from June 2011.

Six Indian based coal trading companies have qualified to participate this bidding to supply one million tons 6300 GAD coal. Adani, Bhatia Coal, Coastal Energy, Knowledge Infra and Gupta Coal are qualified parties to participate E-Procurement process. The price bids will be opened on 23rd April 2011, at 11:00 Indian standard time, said our sources from Karnataka.

This coal supply is destined for its 1,720MW Raichur thermal power station(RTPS) in Raichur Karnataka. Due to short of domestic coal linkage to RTPS, the KPCL has to resort to higher usage of imported coal.

Earlier in 2010 due to acute shortage of domestic coal RTPS has concluded two imported coal tenders of 900K MTs and 500K mts respectively.

Both the tenders have been bagged by Nagpur based Gupta Coal Corporation, an Indian coal trading company and the contracts are under execution. According to a coal trader based in Karnataka, the running supply contract was awarded at US$ 67 per MT on delivered basis for 6300 GAD kcal/kg coal with 16 percent total moisture.

A pro-rata penalties are applicable for Gross calorific value and total sulphur and weight basis penalties are applicable for Ash content, Total Moisture and size.

If you believe an article violates your rights or the rights of others, please contact us.