NTPC seeks fresh bids for coal

Friday, 02 Dec 2011

India’s biggest power producer NTPC is seeking fresh bids for 4 million metric tonnes of coal from overseas after scrapping a previous tender.

Mr Arup Roy Choudhury chairman of NTPC said that the utility has taken steps to promote competition this time after a disappointing response to the previous invitation.

Mr Choudhury said that NTPC previously invited bids by May 26 for a single contract to supply 4 million tonnes of coal needed at 14 of its power plants. This time, orders may be awarded to as many as five suppliers.

Coal production growth in India has slowed after delays in environmental approvals and land acquisition for mines. The commodity is used to fire more than half of the electricity generation capacity in Asia’s second-biggest energy consumer.

(Sourced from Bloomberg)

MMTC to buy 3.73 Million tons of Coal for 2011- 2013

Wednesday, 02 November 11

India’s state-owned coal and mineral trader MMTC looking for 3.73 million tons of power plant coal for the period 2011 - 2012/ 2012- 2013. According to MMTC tender document, the coal that MMTC to buy 5800-6500 kcal/kg gad coal for its client’s power plants.

1.50 Mmt for Thermal power station Koderma Thermal Power Station (KTPP), 1.5 Mmt for Durgapur Steel Thermal Power Station (DSTPS) and 730,000 Mt for Mejia Thermal Power Station (MTPS).

MMTC is willing to accept any coal withthin the following range of quality.

Total Moisture (ARB) 10-20% Max, Ash (ADB) 8-20%, Fixed Carbon (ADB) 30-50% Typical, Volatile Matter (ADB) 25-45%, Sulphur (ADB) 0.70-0.90% Maximum, HGI 45-60 and IDT under reducing atom Deg.Centigrade 1100-1250.

However the price basis for paymnet settlement will be based on the following terms:

Total Moisture (ARB) : 16%, Ash(ADB) : 10%, Sulphur (ADB) : 0.80% and Gross Calorific Value (ADB) : 6300 Kcal/Kg

Bids close on November 16.

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(sourced coalspot.com)

Talbot to sell stake in Mozambique coal venture

Thursday, 15 Sept 2011

Argus reported that Australia Talbot Group is selling its 58.9% stake in the 1.4 billion tonne Revuboe thermal and coking coal project in Mozambique that has the potential to produce up to 17 million tonne per year of coal.

The Revuboe joint venture partners, Japan Nippon Steel with 33.3% and South Korean steel maker POSCO with 7.8% have the first right of refusal for the project once bids are submitted next month.

The project sits to the south of the Riversdale projects in Mozambique, which was bought by Rio Tinto earlier this year for USD 3.9 billion and has little supporting infrastructure.

(sourced from ArgusMedia)

CSN bids for major stake in Usiminas

Sunday, Sept11, 2011

Companhia Siderurgica Nacional SA (CSN) continues to grow its stake in Usinas Siderurgicas de Minas Gerais SA (Usiminas), its flat-rolled steelmaking rival in Brazil.

On Thursday, Brazilian newspaper O Estado de Sao Paulo reported that CSN has made an offer to the other shareholders in Usiminas--which include Camargo Corraa, Votorantim and Nippon Steel--to acquire a 26 percent stake in Usiminas. CSN is bidding for Camargo Corraa's and Votorantim's shares in the company. Camargo Corraa and Votorantim own a combined 13 percent stake in Usiminas, while CSN owns 10.84 of Usiminas' voting shares after buying added Usiminas stock in late July. However, the reports have been confirmed by either CSN or Usiminas.

Based on the shareholders agreement, Nippon Steel, which holds a 27.8 percent stake in Usiminas has the first right to refuse CSN's bid.

Also according to Thursday's report in the newspaper, Nippon Steel has approached Gerdau SA about becoming a possible shareholder in Usiminas as well.

Tags: flats , Brazil , Japan , Far East , South America , investments , M&A , steelmaking , Gerdau , Nippon Steel , East Asia and Pacific

CIL may extend CBM tender deadline

Wednesday, 17 Aug 2011

BL reported that Coal India Ltd may extend the August 17 deadline for receiving bids for extraction and commercial utilization of coal bed methane from five mining assets.

According to sources, a turf battle between the key union ministries of coal and, petroleum and natural gas has already forced the company to extend the tender deadline, twice, from June.

The tender was slated to pave way for extraction of nearly 25 billion cubic metres of CBM and ensure safe underground mining of over 100 million tonnes of medium-grade coking coal in Jharkhand. High concentration of gas has made underground mining unsafe in the identified assets.

According to sources, while the coal ministry has extended its tacit approval to CIL on the issue, the company was yet to receive any formal clarification on closure of the tender and awarding the same as per schedule.

According to the tender, issued in April, CIL invited private players to invest in extraction of gas and sell the same in the open market to ensure returns. CIL was slated to get a share of the profit from sale of gas.

The ministry of petroleum and natural gas felt that the tender was overlapping in nature with CBM Policy and, should not be awarded without the requisite approval from the upstream regulator. The coal ministry was also urged to take cabinet approval on the issue.

The coal ministry, however, felt that the ambit of the CBM Policy does not include the CIL leasehold area. Also, according to the Mining Act there was no space for a second licensee in a particular mining leasehold area. It is understood that the coal ministry was yet to submit any proposal for cabinet committee's consideration in this regard.

(Sourced from BL)

NALCO issues 30,000T alumina export tender-source

Fri Mar 4, 2011 4:42am GMT

BHUBANESWAR, India, March 4 (Reuters) - Indian state-run National Aluminium Co Ltd (NALCO) (NALU.BO: Quote) has issued a tender to export 30,000 tonnes of alumina for delivery this month, a company source said on Friday.

The last date for submission of bids is March 9, said the official, who has direct knowledge of the tender process but could not be named due to company policy.

NALCO, whose tenders serve as an international benchmark, last sold 30,000 tonnes of alumina in December to Hong Kong-based Noble Resources for $371.88 per tonne free-on-board. (Reporting by Jatindra Dash,sourced:Thomson Reuters)

Deals of the day -- mergers and acquisitions

Wed Feb 23, 2011 2:32pm GMT

Feb 23 (Reuters) - The following bids, mergers, acquisitions and disposals involving European, U.S. and Asian companies were reported by 1430 GMT on Wednesday.

** Enterprise Products Partners L.P. has offered to buy its majority-owned midstream energy firm Duncan Energy Partners L.P. for about $2.42 billion in units to ramp up its pipeline services amid higher North American gas production.

** Mitsubishi UFJ Financial Group and Norinchukin Bank are planning to invest an additional 100 billion yen ($1.2 billion) in credit card firm Mitsubishi UFJ Nicos, two sources familiar with the matter said.

** Rio Tinto , the world's third-largest miner by market value, said it received a binding $340 million offer from industrial materials group Imerys for its talc business.

** Belgian holding company RHJ International will sell its 77.9 percent stake in Japanese car switches maker Niles Co. Ltd for 15.5 billion yen ($187.5 million) in cash, it said.

** Cable & Wireless Communications said it would sell its operating business in Bermuda to Canada's Bragg Group for $70 million, as it remodels its Caribbean operations to battle a weak economy and strong competition.

** Nasdaq OMX Group Inc could launch a rival bid for NYSE Euronext to avoid being left out of a global merger frenzy among exchanges, a source said.

** Rotork PLC said it is to buy Rotork Servo Controles De Mexico, its Mexican sales and service agent.

** Lockheed Martin Corp is selling its Pacific Architects and Engineers Inc military services business to private equity firm Lindsay Goldberg LLC.

** Tesco , Britain's biggest retailer, is not the leading contender for Polish retail chain Zabka, put on the block by private equity firm Penta Investments, several sources told Reuters.

** Hong Kong's CLP Holdings Ltd is likely to sell a 24 percent stake in Thailand's Electricity Generating Pcl (EGCO) to Tokyo Electric Power Co , a source close to the deal said.

** Danish shipping and oil group A.P. Moller-Maersk expects to finalise the sale of supermarket chain Netto in the UK "some time in 2011", Chief Executive Nils Andersen told a teleconference.

** Natixis SA is still interested in UniCredit SpA's asset manager Pioneer, the French bank's chairman said and UniCredit said bids should be made by the end of March.

** Dutch food and chemicals group CSM unveiled plans a for a new bio plastics joint venture and said it was in talks to set up the new factory with Thai-based Indorama Ventures .

** Qatar is open to buying stakes in part state-owned UK lenders RBS and Lloyds Banking Group and has discussed investing in the UK, Prime Minister Sheikh Hamad bin Jassim bin Jabr al-Thani said.

** Spanish infrastructure firm Abertis is studying a plan to spin off its car parking and logistics units, the latest indication of the influence its new, dividend-hungry private equity shareholder is exerting.
(Compiled by Swetha Gopinath and Rachel Chitra in Bangalore, sourced:Thomson Reuters)

ArcelorMittal and Nunavut now own 93 percent of Baffinland, offer expires

Friday,Feb18,2011 16:38:38 (GMT+2)

Luxembourg-based steelmaking goliath ArcelorMittal and Canada-based Nunavut Iron Ore Acquisition Inc. (Nunavut Iron), a subsidiary of US-based Iron Ore Holdings LP, have announced the expiration of their joint offer to takeover Canadian miner Baffinland Iron Mines Corporation (Baffinland) as of February 17. The companies now own 93 percent of Baffinland through their C$590 million ($593 million) joint offer.

The offer sought all shares of the company for C$1.50 (US$1.51) in cash per common share. Under the joint offer, ArcelorMittal and Nunavut Iron would own 70 percent and 30 percent share of Baffinland respectively.

The companies decided to cooperate on January 14, following various rival bids to acquire Baffinland.

C$4 billion project

Baffinland's Mary River project has proven reserves of about 365 million metric tons of ore, grading an average of 65 percent iron, and about 500 million mt of ore resources. For some months now Baffinland has been looking for partners for the C$4 billion (US$4.02 billion) project, which is expected to produce 18 million mt per year.

ArcelorMittal has already received the necessary approvals for acquisition from local authorities, also valid for the joint offer.

(sourced:steelorbis)

Tags: iron ore , raw material , USA , Luxembourg , Canada , Europe , European Union , North America , mining , M&A , ArcelorMittal , Pellets , Lump ore , Fine ore

POSCO selects Halligudi in Karnataka for steel plant

Friday, 04 Feb 2011

Just a day after the environment ministry granted conditional clearance to POSCO for its USD 12 billion Orissa steel project, the South Korean steel major has reaffirmed its India plans with a second proposal.

According to Mr VP Baligar Karnataka principal secretary (commerce and industries), POSCO has selected Halligudi in Gadag district of Karnataka to build its proposed 6 million tonnes plant at an estimated investment of about 32,000 crore.

Mr Baligar said that POSCO has sought 3,000 acres for setting up the plant and has already made the initial deposit with the Karnataka Industrial Development Board towards acquisition of land. The state government will now begin the land acquisition process.

POSCO has already applied for a captive iron ore mining lease with the state government inviting bids for fresh licenses.(sourced:ET)