Tuesday, 21 Feb 2012
ET reported that the Indian government will prod state run firms such as NTPC and Damodar Valley to maximize production from their mines so that up to 150 million tonnes of additional coal could be produced annually.
The ministry official said interested PSUs with coal blocks may be asked to submit their revised mine plan documents for excess production of coal that can be sold to Coal India. Coal India may also be asked to assist other state run companies in appointing mine developers and operators for expediting coal block development.
The official said that “The PSUs have already been communicated about the proposal during recent review meetings. No formal or individual communications have, however, been sent so far. A few policy hurdles may obstruct the plan but the ministry feels it is better than depending on coal imports.”
The rise in production would facilitate setting up of power plants of 60,000 MW in the next three years.
(Sourced from ET)
Showing posts with label PSUs. Show all posts
Showing posts with label PSUs. Show all posts
Tuesday, February 21, 2012
Friday, January 27, 2012
Government asked to divert E auction coal to power sector
Friday, 27 Jan 2012
Faced with acute fuel scarcity, private power producers, including Reliance, Adanis and TATAs have suggested to Prime Minister, Dr Manmohan Singh that the coal set side for e auction be diverted for power sector at notified prices.
The Association of Power Producers came up with detailed suggestions to address multiple woes plaguing the sector, just days after chiefs of private power companies met the Prime Minister on January 18.
APP in a communication to the Prime Minister’s Office said that “To meet the current (fuel) deficit situation, e auction coal should be diverted for the power sector at notified prices (to avoid tariff shocks).”
APP members that include Adanis, Reliance, TATAs, Essar, Lanco and GMR, account for over 95% of the power capacity in the private sector.
The communication said that “Available coal should be equally distributed to all the plants against FSA/Letter of Assurance/MoU instead of old plants with less efficient operation getting 100% coal and newer, more efficient and higher sized power critical units getting deprived of coal.”
As per the communication, the private power producers have also suggested that domestic coal should be reserved for regulated sectors such as power and fertiliser.
In August last year, a parliamentary panel had said that coal availability for power plants designed to run on indigenous coal would be only 417.5 MT in the current fiscal, as against the requirement of 480 MT.
(Sourced from BL)
Faced with acute fuel scarcity, private power producers, including Reliance, Adanis and TATAs have suggested to Prime Minister, Dr Manmohan Singh that the coal set side for e auction be diverted for power sector at notified prices.
The Association of Power Producers came up with detailed suggestions to address multiple woes plaguing the sector, just days after chiefs of private power companies met the Prime Minister on January 18.
APP in a communication to the Prime Minister’s Office said that “To meet the current (fuel) deficit situation, e auction coal should be diverted for the power sector at notified prices (to avoid tariff shocks).”
APP members that include Adanis, Reliance, TATAs, Essar, Lanco and GMR, account for over 95% of the power capacity in the private sector.
The communication said that “Available coal should be equally distributed to all the plants against FSA/Letter of Assurance/MoU instead of old plants with less efficient operation getting 100% coal and newer, more efficient and higher sized power critical units getting deprived of coal.”
As per the communication, the private power producers have also suggested that domestic coal should be reserved for regulated sectors such as power and fertiliser.
In August last year, a parliamentary panel had said that coal availability for power plants designed to run on indigenous coal would be only 417.5 MT in the current fiscal, as against the requirement of 480 MT.
(Sourced from BL)
Wednesday, January 25, 2012
Orissa seeks info on land requirement for coal blocks
Wednesday, 25 Jan 2012
BS reported that in a bid to expedite the development of coal blocks in the state, the steel and mines department has asked the Industrial Investment Promotion Corporation of Orissa Limited to submit a report on the total land requirement of non Coal India limited companies.
A letter from the steel and mines department said that “As the matter is urgent, it is requested that the required information in respect of the 19 coal blocks may kindly be furnished, without further delay.”
Out of allocated 32 coal blocks in Orissa, IPICOL, in November last year, had furnished the data on land requirement of 13 coal blocks allotted to 29 public sector undertakings and private firms. The IPICOL is yet to provide the information on land requirement of the remaining 19 blocks allocated to various non CIL companies.
The step from the state government comes barely a day after the Union ministry of Coal drafted guidelines for timely development of allotted coal blocks to expedite the process of coal production. The ministry has advised the allocatees to adhere to the timeline in the development of the blocks or else face de allocation.
It may be noted, the Ministry of Coal has allocated 32 coal blocks to 56 companies, both PSUs and private firms in Orissa. These coal blocks have a total reserve of 15,212 million tonnes. Of the 56 firms which have been allocated the coal blocks, there are 16 PSUs including public sector companies from Orissa and other states. However, of the 32 coal blocks, only one block (Talabira I) coal block has gone into production.
The combined area required for operation of all the 32 coal blocks, is about 325 sq km and the implementation of these projects would involve displacement of around two lakh people.
(Sourced from BS)
BS reported that in a bid to expedite the development of coal blocks in the state, the steel and mines department has asked the Industrial Investment Promotion Corporation of Orissa Limited to submit a report on the total land requirement of non Coal India limited companies.
A letter from the steel and mines department said that “As the matter is urgent, it is requested that the required information in respect of the 19 coal blocks may kindly be furnished, without further delay.”
Out of allocated 32 coal blocks in Orissa, IPICOL, in November last year, had furnished the data on land requirement of 13 coal blocks allotted to 29 public sector undertakings and private firms. The IPICOL is yet to provide the information on land requirement of the remaining 19 blocks allocated to various non CIL companies.
The step from the state government comes barely a day after the Union ministry of Coal drafted guidelines for timely development of allotted coal blocks to expedite the process of coal production. The ministry has advised the allocatees to adhere to the timeline in the development of the blocks or else face de allocation.
It may be noted, the Ministry of Coal has allocated 32 coal blocks to 56 companies, both PSUs and private firms in Orissa. These coal blocks have a total reserve of 15,212 million tonnes. Of the 56 firms which have been allocated the coal blocks, there are 16 PSUs including public sector companies from Orissa and other states. However, of the 32 coal blocks, only one block (Talabira I) coal block has gone into production.
The combined area required for operation of all the 32 coal blocks, is about 325 sq km and the implementation of these projects would involve displacement of around two lakh people.
(Sourced from BS)
Friday, December 2, 2011
Steel ministry sets up coking coal procurement panel
Friday, 02 Dec 2011
ET reported that steel ministry has set up a committee to look into the need for rationalising the procedure followed by steel PSUs for procurement of coking coal.
Mr Beni Prasad Verma steel minister said that "A committee has recently been constituted in the ministry for looking into the need for rationalising the procurement procedure for coking coal, acquisition of mines abroad and optimising the use of coking coal by steel PSUs.”
Replying to a question on whether the government was aware that during the last two years, SAIL and RINL have made purchases of coking coal at a time when the price was very high in international markets, he said this was a commercial decision of the companies.
The minister said that "This (procurement) is done as per their requirements under a laid down policy through long term agreement. As per international market practice, quantities under LTA are settled annually by the empowered joint committee which comprises representatives of both Steel Authority of India and Rashtriya Ispat Nigam.
"While negotiating quantities and prices with long-term suppliers, EJC takes the FOB (free-on-board) prices settled by Japanese steel mills and others as reported in the international journals as the benchmark.”
The minister added that "The annual requirement is tied up at the beginning of the year and the same is confirmed and received quarter-wise throughout the year.”
Mr Verma said prices of imported coking coal were up by 75 per cent in 2010-11 vis-a-vis the previous fiscal, affecting the profit margins of steel-makers.
(Sourced from ET)
ET reported that steel ministry has set up a committee to look into the need for rationalising the procedure followed by steel PSUs for procurement of coking coal.
Mr Beni Prasad Verma steel minister said that "A committee has recently been constituted in the ministry for looking into the need for rationalising the procurement procedure for coking coal, acquisition of mines abroad and optimising the use of coking coal by steel PSUs.”
Replying to a question on whether the government was aware that during the last two years, SAIL and RINL have made purchases of coking coal at a time when the price was very high in international markets, he said this was a commercial decision of the companies.
The minister said that "This (procurement) is done as per their requirements under a laid down policy through long term agreement. As per international market practice, quantities under LTA are settled annually by the empowered joint committee which comprises representatives of both Steel Authority of India and Rashtriya Ispat Nigam.
"While negotiating quantities and prices with long-term suppliers, EJC takes the FOB (free-on-board) prices settled by Japanese steel mills and others as reported in the international journals as the benchmark.”
The minister added that "The annual requirement is tied up at the beginning of the year and the same is confirmed and received quarter-wise throughout the year.”
Mr Verma said prices of imported coking coal were up by 75 per cent in 2010-11 vis-a-vis the previous fiscal, affecting the profit margins of steel-makers.
(Sourced from ET)
Wednesday, November 2, 2011
Coal ministry to restore 5 captive coal block allotments to NTPC
Wednesday, 02 Nov 2011
BS reported that in a major development for Maharatna power generator NTPC Limited, the coal ministry is set to restore its five captive coal block allotments in a week.
The blocks were cancelled earlier this year on grounds of delays.
The move would boost the plans of the INR 57,000 crore company to more than double generation capacity to 75,000 MW by ramping up in house coal production to 47 million tonnes per annum, one fourth of its coal requirement over the next five years.
The decision has been prompted by a mix of factors including an urgent need to bridge the burgeoning gap in coal demand and supply, firm commitment of rapid development of the blocks from NTPC, the huge investments already made by the company on power projects linked to the blocks, pressure from the power ministry for restoring the blocks and the recent coal supply crisis.
Mr Sriprakash Jaiswal coal minister told Business Standard that "NTPC has assured us of quicker development of blocks now. Also, there have been many requests from the power minister. We are likely to give the blocks back as soon as the report of the review committee is submitted in four to five days." He also added NTPC, being a government company, deserves preference in this matter.
An intra ministerial review committee headed by coal secretary Mr Alok Perti has been reviewing the ministry's decision, taken in May 2011, to cancel 14 coal blocks and one lignite block awarded to six public sector undertakings, including NTPC.
Apart from rejuvenating the company’s fuel securing strategy, the decision would also set at rest months of uncertainty over the progress of the government’s captive coal production plan, as NTPC's blocks account for a major chunk of such reserves allotted so far.
The five cancelled blocks Chatti Bariatu, Chatti Bariatu (South), Kerandari, Brahmani and Chichiro Patsimal have combined geological reserves exceeding 3 billion tonne. The first three blocks are meant to supply fuel to two power plants of 1,320 MW capacity each Barh in Bihar and Tanda stage II in Uttar Pradesh. Both the projects, when commissioned, would require over 10 million tonnes of coal annually. The other two blocks are meant to feed the expansion of Kahalgaon power project in Bihar and Farakka in West Bengal.
Waiting For Approval
Source - NTPC
An NTPC official informed that almost a half of the INR 6,600 crore investment in Barh has already been made. He added that "Also, Tanda stage II is in advanced stage of progress and the first unit is expected to be commissioned in early 2012-13."
NTPC was awarded a total of eight coal blocks over past seven years with reserves of around 5 billion tonnes. All these were expected to come into production between April 2008 and March 2012. However, not a single block has commenced production so far.
The review exercise could be extended to the cancelled blocks of Damodar Valley Corporation, another PSU under the power ministry, and Jharkhand State Electricity Board. The coal ministry had cancelled DVC’s Saharpur Jamarpani block in Jharkhand and Gondulpara coal block in the same state, jointly allocated to DVC and Tenughat Vidyut Nigam.
(sourced from Business-Standard)
BS reported that in a major development for Maharatna power generator NTPC Limited, the coal ministry is set to restore its five captive coal block allotments in a week.
The blocks were cancelled earlier this year on grounds of delays.
The move would boost the plans of the INR 57,000 crore company to more than double generation capacity to 75,000 MW by ramping up in house coal production to 47 million tonnes per annum, one fourth of its coal requirement over the next five years.
The decision has been prompted by a mix of factors including an urgent need to bridge the burgeoning gap in coal demand and supply, firm commitment of rapid development of the blocks from NTPC, the huge investments already made by the company on power projects linked to the blocks, pressure from the power ministry for restoring the blocks and the recent coal supply crisis.
Mr Sriprakash Jaiswal coal minister told Business Standard that "NTPC has assured us of quicker development of blocks now. Also, there have been many requests from the power minister. We are likely to give the blocks back as soon as the report of the review committee is submitted in four to five days." He also added NTPC, being a government company, deserves preference in this matter.
An intra ministerial review committee headed by coal secretary Mr Alok Perti has been reviewing the ministry's decision, taken in May 2011, to cancel 14 coal blocks and one lignite block awarded to six public sector undertakings, including NTPC.
Apart from rejuvenating the company’s fuel securing strategy, the decision would also set at rest months of uncertainty over the progress of the government’s captive coal production plan, as NTPC's blocks account for a major chunk of such reserves allotted so far.
The five cancelled blocks Chatti Bariatu, Chatti Bariatu (South), Kerandari, Brahmani and Chichiro Patsimal have combined geological reserves exceeding 3 billion tonne. The first three blocks are meant to supply fuel to two power plants of 1,320 MW capacity each Barh in Bihar and Tanda stage II in Uttar Pradesh. Both the projects, when commissioned, would require over 10 million tonnes of coal annually. The other two blocks are meant to feed the expansion of Kahalgaon power project in Bihar and Farakka in West Bengal.
Waiting For Approval
| Coal block | Date of allocation | Target date | Status of progress |
| Pakri Barwadih | Oct '04 | Apr '08 | Environmental nod granted, awaited, order for coal handling plant awarded |
| Chatti Bariatu | Jan '06 | Jul '09 | Environmental nod granted, forest clearance awaited |
| Kerandari | Jan '06 | Jul '09 | Environmental nod granted, forest clearance awaited |
| Talaipalli | Jan '06 | Mar '12 | Environmental nod and forest clearance awaited |
| Dulanga | Jan '06 | Sep '11 | Environmental nod and forest clearance awaited |
| Brahman & Chichiro Patsimal | Jan '06 | Oct '11 | JV company with CIL incorporated in April 2010, exploration underway |
| Chatti Bariatu (South) | Jul '07 | Jan '11 | MoU with Mineral Exploration Corp being finalized for exploration, application for land acquisition being submitted |
Source - NTPC
An NTPC official informed that almost a half of the INR 6,600 crore investment in Barh has already been made. He added that "Also, Tanda stage II is in advanced stage of progress and the first unit is expected to be commissioned in early 2012-13."
NTPC was awarded a total of eight coal blocks over past seven years with reserves of around 5 billion tonnes. All these were expected to come into production between April 2008 and March 2012. However, not a single block has commenced production so far.
The review exercise could be extended to the cancelled blocks of Damodar Valley Corporation, another PSU under the power ministry, and Jharkhand State Electricity Board. The coal ministry had cancelled DVC’s Saharpur Jamarpani block in Jharkhand and Gondulpara coal block in the same state, jointly allocated to DVC and Tenughat Vidyut Nigam.
(sourced from Business-Standard)
Monday, August 29, 2011
May hike export duties on iron ore exports: Steel minister
Mon,Aug29, 2011 | Source PTI
Government today said it may further increase duties on iron ore to discourage its export in order to keep it for meeting domestic demands.
"We have increased export duty from five per cent to 20%. We may increase it further," Steel Minister Beni Prasad Verma told the Lok Sabha during Question Hour.
Verma said government was discouraging export of iron ore and trying to keep it for domestic consumption.
Nearly 50% of the iron ore produced in the country has been exported over the last three years, he said.
In 2008-09 212.96 million tonnes (MT) of iron ore was produced of which 105.86 MT (49.7%) was exported and in 2009-10 218.64 MT ore was produced and 117.37 MT (53.7%) was exported, Verma said.
He said in 2010-11 the estimated production was 208.11 MT of which 97.66 MT (46.9%) was marked for export.
"The production of iron ore in the country is about to double the consumption of iron ore by the domestic iron and steel industry and therefore is sufficient to meet the present requirement of iron ore by the steel sector in the country,"
he said.
As regards iron ore supply to PSUs, Steel Authority of India Limited (SAIL) has is own captive mines which cater to its full requirement of iron ore, he said.
Verma said the requirement of iron ore of other PSUs - Rashtriya Ispat Nigam Limited and KIOCL Ltd - is fulfilled by National Mineral Development Corporation.
Government today said it may further increase duties on iron ore to discourage its export in order to keep it for meeting domestic demands.
"We have increased export duty from five per cent to 20%. We may increase it further," Steel Minister Beni Prasad Verma told the Lok Sabha during Question Hour.
Verma said government was discouraging export of iron ore and trying to keep it for domestic consumption.
Nearly 50% of the iron ore produced in the country has been exported over the last three years, he said.
In 2008-09 212.96 million tonnes (MT) of iron ore was produced of which 105.86 MT (49.7%) was exported and in 2009-10 218.64 MT ore was produced and 117.37 MT (53.7%) was exported, Verma said.
He said in 2010-11 the estimated production was 208.11 MT of which 97.66 MT (46.9%) was marked for export.
"The production of iron ore in the country is about to double the consumption of iron ore by the domestic iron and steel industry and therefore is sufficient to meet the present requirement of iron ore by the steel sector in the country,"
he said.
As regards iron ore supply to PSUs, Steel Authority of India Limited (SAIL) has is own captive mines which cater to its full requirement of iron ore, he said.
Verma said the requirement of iron ore of other PSUs - Rashtriya Ispat Nigam Limited and KIOCL Ltd - is fulfilled by National Mineral Development Corporation.
Monday, August 22, 2011
CIL to liquidate 25 million tonne inventory - Mr NC Jha
Monday, 22 Aug 2011 |CNBC-TV18
Coal India the world's biggest coal miner by output, has become India's most valued company after overtaking big daddy Reliance Industries in terms of market capitalization. Its stock touched an intraday high of INR 397.65 and an intraday low of INR 387.50.
Mr NC Jha chairman of Coal India feels delighted to hear that the company has become the most valuable company in India. Speaking to CNBC-TV18’s, Mr Jha said that the company aims to liquidate 25 million tonne coal going forward.
Q - It is a special day for investors in Coal India because that is your stock, your company or its share has become the top market cap company today it beats Reliance which held that position for so long now. What can you tell your investors in terms of growth prospects at this juncture? What kind of Coal off take you can do this year and what kind of profit growth do you see in FY12?
A - I am also delighted to hear that our company has become the most valuable company in India.
As I had promised right from the beginning that this is the year of off take for Coal India and we have a plan to dispatch 454 million tonne of coal during this year compared to 424 million tonne that we did last year. Additional off take of 30 million tonne would mean a lot of revenues.
Coal India the world's biggest coal miner by output, has become India's most valued company after overtaking big daddy Reliance Industries in terms of market capitalization. Its stock touched an intraday high of INR 397.65 and an intraday low of INR 387.50.
Mr NC Jha chairman of Coal India feels delighted to hear that the company has become the most valuable company in India. Speaking to CNBC-TV18’s, Mr Jha said that the company aims to liquidate 25 million tonne coal going forward.
Q - It is a special day for investors in Coal India because that is your stock, your company or its share has become the top market cap company today it beats Reliance which held that position for so long now. What can you tell your investors in terms of growth prospects at this juncture? What kind of Coal off take you can do this year and what kind of profit growth do you see in FY12?
A - I am also delighted to hear that our company has become the most valuable company in India.
As I had promised right from the beginning that this is the year of off take for Coal India and we have a plan to dispatch 454 million tonne of coal during this year compared to 424 million tonne that we did last year. Additional off take of 30 million tonne would mean a lot of revenues.
Thursday, August 18, 2011
CIL now wants to be No 1 in terms of revenue
Thursday, 18 Aug 2011 | By ET
State run Coal India, which toppled Reliance Industries as the country's most valued firm, said it is aiming to become number one company of the country in the near future in terms of revenue as well.
At August 17th 2011, the Maharatna firm had a market capitalisation of INR 251,296 crore on the Bombay Stock Exchange and ahead of erstwhile leader RIL marginally by INR 4,167 crore.
Mr NC Jha chairman of CIL said that "We have already become number one public sector company and now we are working on becoming number one firm in the country, profit and turnover wise as well. It is just a matter of some years.”
Attributing the recognition of the Maharatna firm as the number one company on the bourses to its 0.382 million employees, Mr Jha said that "It has happened due to extensive efforts of all Coal Indians, who have been engaged in coal mining day and night."
The Maharatna company, incorporated in 1973 in Kolkata, had reported a 64% growth in its consolidated net profit at INR 4,143 crore during the first quarter of this fiscal vis a vis INR 2,525 crore reported in the April to June of FY'11.
State run Coal India, which toppled Reliance Industries as the country's most valued firm, said it is aiming to become number one company of the country in the near future in terms of revenue as well.
At August 17th 2011, the Maharatna firm had a market capitalisation of INR 251,296 crore on the Bombay Stock Exchange and ahead of erstwhile leader RIL marginally by INR 4,167 crore.
Mr NC Jha chairman of CIL said that "We have already become number one public sector company and now we are working on becoming number one firm in the country, profit and turnover wise as well. It is just a matter of some years.”
Attributing the recognition of the Maharatna firm as the number one company on the bourses to its 0.382 million employees, Mr Jha said that "It has happened due to extensive efforts of all Coal Indians, who have been engaged in coal mining day and night."
The Maharatna company, incorporated in 1973 in Kolkata, had reported a 64% growth in its consolidated net profit at INR 4,143 crore during the first quarter of this fiscal vis a vis INR 2,525 crore reported in the April to June of FY'11.
Wednesday, August 17, 2011
Coal India overtakes Reliance Industries as most valuable company
Wed, 17 Aug, 2011
MUMBAI: State-run Coal India today toppled billionaire Mukesh Ambani-led Reliance Industries as the country's most valued company, with a slightly higher market valuation around mid-day.
At around 1200 hours on the National Stock Exchange, Coal India Ltd (CIL) commanded a market cap of Rs 250,759.67 crore, with an over 2 per cent rise in its share price. At that time, RIL had a market cap of Rs 250,580.21 crore on the NSE.
A few minutes later, CIL's market valuation exceeded that of RIL on the BSE as well. At around 1206 hrs, RIL's market cap on the BSE stood at Rs 2,50,468 crore, slightly lower than CIL's Rs 2,50,538 crore.
At 1206 hours today, RIL shares were trading 0.82 per cent higher at Rs 765.20, while CIL was up 2.32 per cent at Rs 396.60.
CIL has been closing the gap on RIL in terms of market valuation over the past few days and on August 9, the gap slipped below 1 per cent.
RIL extended its lead by some margin since then, but the PSU coal giant managed to surpass the private sector energy giant's market capitalisation in today's trade at around 1200 hours.
At yesterday's close, RIL had a market cap of Rs 248,504.44 crore, as against CIL's 244,822.28 crore, on the BSE.
At the time of today's market opening also, RIL had a higher market cap of Rs 249,454 crore than CIL's Rs 244,822 crore.
Way back in 2006, RIL had toppled ONGC to emerge as the country's most valued firm and has managed to stay on the top since then.
ONGC had also come very close to toppling RIL as the country's most valued firm last week, but lost ground in the past few trading sessions. The stock was trading 2.4 per cent higher at Rs 279.50, with a market cap of Rs 2,39,125 crore, in today's trade at 1220 hours.
Marketmen would be keenly watching the three stocks to see whether RIL is able to regain its lead or loses further ground in the market-cap charts.
RIL's stock has been under acute pressure in recent past, while ONGC and CIL have managed to outperform in a weak market on several occasions in the past few days. (sourced ET)
MUMBAI: State-run Coal India today toppled billionaire Mukesh Ambani-led Reliance Industries as the country's most valued company, with a slightly higher market valuation around mid-day.
At around 1200 hours on the National Stock Exchange, Coal India Ltd (CIL) commanded a market cap of Rs 250,759.67 crore, with an over 2 per cent rise in its share price. At that time, RIL had a market cap of Rs 250,580.21 crore on the NSE.
A few minutes later, CIL's market valuation exceeded that of RIL on the BSE as well. At around 1206 hrs, RIL's market cap on the BSE stood at Rs 2,50,468 crore, slightly lower than CIL's Rs 2,50,538 crore.
At 1206 hours today, RIL shares were trading 0.82 per cent higher at Rs 765.20, while CIL was up 2.32 per cent at Rs 396.60.
CIL has been closing the gap on RIL in terms of market valuation over the past few days and on August 9, the gap slipped below 1 per cent.
RIL extended its lead by some margin since then, but the PSU coal giant managed to surpass the private sector energy giant's market capitalisation in today's trade at around 1200 hours.
At yesterday's close, RIL had a market cap of Rs 248,504.44 crore, as against CIL's 244,822.28 crore, on the BSE.
At the time of today's market opening also, RIL had a higher market cap of Rs 249,454 crore than CIL's Rs 244,822 crore.
Way back in 2006, RIL had toppled ONGC to emerge as the country's most valued firm and has managed to stay on the top since then.
ONGC had also come very close to toppling RIL as the country's most valued firm last week, but lost ground in the past few trading sessions. The stock was trading 2.4 per cent higher at Rs 279.50, with a market cap of Rs 2,39,125 crore, in today's trade at 1220 hours.
Marketmen would be keenly watching the three stocks to see whether RIL is able to regain its lead or loses further ground in the market-cap charts.
RIL's stock has been under acute pressure in recent past, while ONGC and CIL have managed to outperform in a weak market on several occasions in the past few days. (sourced ET)
Sunday, August 14, 2011
Coal India Ltd wants government to relax investment rules for 2 overseas mines
14 Aug, 2011
KOLKATA: The world's largest coal miner Coal India Ltd has zeroed in on two overseas coal assets, one in Australia and the other in Indonesia, for acquisition and expects to begin serious dialogue with the owners soon.
"At this moment, we have shortlisted two unlisted coal companies, one in Australia and one in Indonesia. We are awaiting some relaxations from the government to go ahead with serious negotiations," a top CIL official, who declined to be named, said.
"Names cannot be divulged for obvious reasons, but both have close to five million tonnes of coal. The Indonesian company has several blocks, while the Australian company has one large block," he said.
The official said there was no major contender for these blocks.
The PSU has put together a war-chest of Rs 6,000 crore for acquisition of the mines.
"The level of stake is yet to be decided, depending on various factors like valuation," the official said.
CIL was likely to take a stake between 30-40 per cent in these coal assets.
In this regard, CIL has approached the Finance Ministry and government for relaxation of PSU guidelines stipulating a minimum 12 per cent internal rate of return on investments. It has also sought to sidestep the rule that only the mines of listed companies should be acquired.
"CIL is expecting to receive the relaxations by August," Coal Secretary Alok Perti said.
Coal India is trying seriously for some coal equity on its own, besides partnering with Coal Videsh, a JV company formed between Indian PSUs, to buy assets overseas.
Besides buying a stake in coal companies, CIL was also at an advanced stage of finalising a long-term coal supply agreement with foreign sources.
India currently faces a coal demand-supply shortfall of 142 million tonnes.
KOLKATA: The world's largest coal miner Coal India Ltd has zeroed in on two overseas coal assets, one in Australia and the other in Indonesia, for acquisition and expects to begin serious dialogue with the owners soon.
"At this moment, we have shortlisted two unlisted coal companies, one in Australia and one in Indonesia. We are awaiting some relaxations from the government to go ahead with serious negotiations," a top CIL official, who declined to be named, said.
"Names cannot be divulged for obvious reasons, but both have close to five million tonnes of coal. The Indonesian company has several blocks, while the Australian company has one large block," he said.
The official said there was no major contender for these blocks.
The PSU has put together a war-chest of Rs 6,000 crore for acquisition of the mines.
"The level of stake is yet to be decided, depending on various factors like valuation," the official said.
CIL was likely to take a stake between 30-40 per cent in these coal assets.
In this regard, CIL has approached the Finance Ministry and government for relaxation of PSU guidelines stipulating a minimum 12 per cent internal rate of return on investments. It has also sought to sidestep the rule that only the mines of listed companies should be acquired.
"CIL is expecting to receive the relaxations by August," Coal Secretary Alok Perti said.
Coal India is trying seriously for some coal equity on its own, besides partnering with Coal Videsh, a JV company formed between Indian PSUs, to buy assets overseas.
Besides buying a stake in coal companies, CIL was also at an advanced stage of finalising a long-term coal supply agreement with foreign sources.
India currently faces a coal demand-supply shortfall of 142 million tonnes.
Friday, February 25, 2011
Coal India pays Rs1,989.65 crore interim dividend news
25 February 2011State-owned mining giant Coal India Limited (CIL) today paid Rs1,989.65 crore as interim dividend for fiscal 2010-11 to the government. This works out to Rs3.50 per RS10 share or 35 per cent return on the Government of India's holding in the PSU.
CIL chairman and managing director Partha S Bhattcharyya handed over the dividend cheque, constituting 90 per cent of the total dividend payout, to coal minister Sriprakash Jaiswal.
CIL distributed the remaining 10 per cent of the dividend amount to other shareholders.
In 2009-10, CIL paid Rs2,210 crore as final dividend, which was 35 per cent of the paid-up equity. The interim dividend paid this fiscal to GoI and other shareholders is equivalent to the final dividend that was paid for the whole of last year.
The final dividend for 2010-11 would be paid after the finalisation of accounts of the fiscal.
CIL chairman and managing director Partha S Bhattcharyya handed over the dividend cheque, constituting 90 per cent of the total dividend payout, to coal minister Sriprakash Jaiswal.
CIL distributed the remaining 10 per cent of the dividend amount to other shareholders.
In 2009-10, CIL paid Rs2,210 crore as final dividend, which was 35 per cent of the paid-up equity. The interim dividend paid this fiscal to GoI and other shareholders is equivalent to the final dividend that was paid for the whole of last year.
The final dividend for 2010-11 would be paid after the finalisation of accounts of the fiscal.
Tuesday, February 15, 2011
SAIL gets management control of Steel Complex in Kerala
Tuesday, 15 Feb 2011
Maharatna Steel Authority of India Limited has formally acquired 50% of the shares of Steel Complex Limited in Kozhikode held by the Government of Kerala and taken over the operations of SCL on 13th February 2011.
SAIL-SCL Limited, the joint venture company resulting from the acquisition, will work towards the revival of SCL by setting up a new rolling mill of 65,000 tonnes per annum capacity for producing high grade TMT bars at an estimated investment of INR 45 crore. The JV is expected to be a milestone in the government’s policy of bringing together synergies of PSUs and strengthening them to be competitive in the market.
On the request of the government of Kerala, SAIL had signed a MoU in May 2008 for revival of SCL, owned by the state government. Subsequently, a JV agreement was signed between government of Kerala and SCL in December 2008 to enable acquisition of shareholding by SAIL, development of SCL by setting up a rolling mill and fulfillment of certain terms & conditions by the state government. Subsequent to fulfillment of conditions of the agreement, the JV became operational in December 2010. Operations of the JV will be synergized with SAIL’s core strengths by installation of billet conversion facility, raw material tie-ups and marketing of SCL products by SAIL.
SAIL-SCL Ltd presently has the capacity to produce 55,000 tonnes of liquid steel per annum through the electric arc furnace route and 50,000 tonnes of concast billets per year. The JV aims to tackle issues such as shortage of working capital and non-availability of good quality scrap by ensuring uninterrupted supply of scrap to maintain efficiency of operations and adding value to its products by converting billets into TMT bars. The possibility of marketing SCL products by harnessing SAIL’s nationwide dealer network is being explored.
Tags:SAIL, management control, Steel Complex, Kerala, shares, take over, Acquisitions, JV, PSUs, India steel industry,
Maharatna Steel Authority of India Limited has formally acquired 50% of the shares of Steel Complex Limited in Kozhikode held by the Government of Kerala and taken over the operations of SCL on 13th February 2011.
SAIL-SCL Limited, the joint venture company resulting from the acquisition, will work towards the revival of SCL by setting up a new rolling mill of 65,000 tonnes per annum capacity for producing high grade TMT bars at an estimated investment of INR 45 crore. The JV is expected to be a milestone in the government’s policy of bringing together synergies of PSUs and strengthening them to be competitive in the market.
On the request of the government of Kerala, SAIL had signed a MoU in May 2008 for revival of SCL, owned by the state government. Subsequently, a JV agreement was signed between government of Kerala and SCL in December 2008 to enable acquisition of shareholding by SAIL, development of SCL by setting up a rolling mill and fulfillment of certain terms & conditions by the state government. Subsequent to fulfillment of conditions of the agreement, the JV became operational in December 2010. Operations of the JV will be synergized with SAIL’s core strengths by installation of billet conversion facility, raw material tie-ups and marketing of SCL products by SAIL.
SAIL-SCL Ltd presently has the capacity to produce 55,000 tonnes of liquid steel per annum through the electric arc furnace route and 50,000 tonnes of concast billets per year. The JV aims to tackle issues such as shortage of working capital and non-availability of good quality scrap by ensuring uninterrupted supply of scrap to maintain efficiency of operations and adding value to its products by converting billets into TMT bars. The possibility of marketing SCL products by harnessing SAIL’s nationwide dealer network is being explored.
Tags:SAIL, management control, Steel Complex, Kerala, shares, take over, Acquisitions, JV, PSUs, India steel industry,
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