Saturday, 25 Feb 2012
INDIA’S Adani Group plans to spend as much as USD 6 billion in Australia over the next three years to develop coal mines and related infrastructure and is interested in buying a majority stake in a gas company at home as the conglomerate gears up to expand operations.
Mr Ameet H Desai spokesman told a news conference that in Australia, Adani will invest at the Abbot Point coal terminal where it acquired operating rights last year, with funds also going to mining activities and building a railway line connecting the terminal with its coal mines in the Galilee basin.
Mr Desai said the group is arranging the funds through a mix of equity, debt and internal accruals.
The group plans to use coal sourced from Australia to run its own power stations and also for trading, primarily in India where a shortage of the dry fuel is hurting power generation.
Demand for coal is rising in India as many new power stations are coal based, but complicated environmental clearances and problems in land acquisition are delaying domestic mining projects.
The group started mine exploration work at the Galilee basin.
Its Adani Ports and Special Economic Zone unit spent USD 2 billion for a 99 year lease of the Abbot Point terminal in Queensland. The terminal can handle 21 million metric tonnes coal a year.
An executive said the company is refinancing most of the bridge loan taken to fund the Abbot Point deal through another loan of USD 1.8 billion. The loan will be from four Australian banks and the process should be completed in a few weeks.
Meanwhile, chairman Mr Gautam Adani said the group is interested in buying BG Group's 65% stake in India's Gujarat Gas Co. He didn't give details, but spokesman Mr Desai said the group is conducting due diligence before submitting a bid.
(sourced Theaustralian.com.au)
Showing posts with label coal asset. Show all posts
Showing posts with label coal asset. Show all posts
Saturday, February 25, 2012
Saturday, December 17, 2011
Aquila in talks with two bidders for Australian coal asset
Saturday, 17 Dec 2011
Bloomberg reported that Aquila Resources Ltd selling assets to help fund a AUD 5.2 billion iron ore project in Australia is in talks with two bidders for the sale of a coal asset.
Mr Martin Alciaturi general manager finance and corporate of the Perth based company said that “We remain in active dialog with two bidders and expect to announce a transaction in the near future.”
Aquila plans to develop the West Pilbara Iron Ore port, rail and mine project with joint venture partner AMCI Inc as demand for steel in China grows. The company is selling three assets, including the Washpool coking coal project in Australia and the Avontuur manganese project in South Africa.
Mr Alciaturi said that “We remain in active dialog with two bidders and expect to announce a transaction in the near future.”
Washpool is valued at AUD 263 million and Avontuur at AUD 120 million.
(Sourced from Bloomberg)
Bloomberg reported that Aquila Resources Ltd selling assets to help fund a AUD 5.2 billion iron ore project in Australia is in talks with two bidders for the sale of a coal asset.
Mr Martin Alciaturi general manager finance and corporate of the Perth based company said that “We remain in active dialog with two bidders and expect to announce a transaction in the near future.”
Aquila plans to develop the West Pilbara Iron Ore port, rail and mine project with joint venture partner AMCI Inc as demand for steel in China grows. The company is selling three assets, including the Washpool coking coal project in Australia and the Avontuur manganese project in South Africa.
Mr Alciaturi said that “We remain in active dialog with two bidders and expect to announce a transaction in the near future.”
Washpool is valued at AUD 263 million and Avontuur at AUD 120 million.
(Sourced from Bloomberg)
Monday, December 12, 2011
Weak rupee stalls overseas coal mine buys
Monday, 12 Dec 2011
Indian power producers, which were aggressively bidding for coal assets overseas over the past 12 to 18 months, are ‘fighting shy’ in pursuing further acquisitions, courtesy the rising cost of funding such acquisitions after the nearly 19% drop in the rupee since August, near standstill infrastructure sector, recent changes in rules by suppliers such as Indonesia, Australia and Africa, and a fall in their stock valuations, which reduce the ability of promoters to leverage on their, said investment bankers and consultants.
Mr Kameswara Rao leader for energy, utilities and mining at PwC India said that “Companies which have made big coal mine acquisitions in recent times will be very selective from here on as they need time to digest earlier acquisitions.”
According to Mr Sanjay Sakhuja CEO of Ambit Corporate Finance power and infrastructure companies are going through severe stress now. He said that “I am not anticipating any big mining deals by those firms, which have already swallowed big acquisitions.”
There has been tremendous shortage of domestic coal due various problems, including tighter environmental norms, the controversy surrounding mining licences in Karnataka and security threats from Maoist groups near coal mining areas, forcing private power producers to venture outside to source coal for their power projects.
Mr HK Mittal chairman of Mumbai based Mercator told Financial Chronicle that “Indian companies are going slow with their acquisition plans. There are several issues. Power projects are moving at a snail’s pace. Coal prices have also gone through the roof.”
TATA Power, which had been looking at small mines of around 10 million tonnes annual capacity in South Africa, Indonesia and Australia, may be going slow in any new purchase.
Mr S Ramakrishnan executive director of TATA Power recently told FC that the power sector is going through a tough phase in India. He added that “Buying new coal mines will be on hold till such time issues back home are sorted out. High coal prices and issues related to land acquisition have slowed down activities in the power sector. Poor financial health of distribution companies has led to drop in purchase of electricity by them, and merchant power rates have crashed.”
A Deutsche Bank report early this week said that owing to the ongoing and likely persisting coal shortage, India’s power demand-supply gap may not be bridged even in FY15.
(Sourced from www.mydigitalfc.com)
Indian power producers, which were aggressively bidding for coal assets overseas over the past 12 to 18 months, are ‘fighting shy’ in pursuing further acquisitions, courtesy the rising cost of funding such acquisitions after the nearly 19% drop in the rupee since August, near standstill infrastructure sector, recent changes in rules by suppliers such as Indonesia, Australia and Africa, and a fall in their stock valuations, which reduce the ability of promoters to leverage on their, said investment bankers and consultants.
Mr Kameswara Rao leader for energy, utilities and mining at PwC India said that “Companies which have made big coal mine acquisitions in recent times will be very selective from here on as they need time to digest earlier acquisitions.”
According to Mr Sanjay Sakhuja CEO of Ambit Corporate Finance power and infrastructure companies are going through severe stress now. He said that “I am not anticipating any big mining deals by those firms, which have already swallowed big acquisitions.”
There has been tremendous shortage of domestic coal due various problems, including tighter environmental norms, the controversy surrounding mining licences in Karnataka and security threats from Maoist groups near coal mining areas, forcing private power producers to venture outside to source coal for their power projects.
Mr HK Mittal chairman of Mumbai based Mercator told Financial Chronicle that “Indian companies are going slow with their acquisition plans. There are several issues. Power projects are moving at a snail’s pace. Coal prices have also gone through the roof.”
TATA Power, which had been looking at small mines of around 10 million tonnes annual capacity in South Africa, Indonesia and Australia, may be going slow in any new purchase.
Mr S Ramakrishnan executive director of TATA Power recently told FC that the power sector is going through a tough phase in India. He added that “Buying new coal mines will be on hold till such time issues back home are sorted out. High coal prices and issues related to land acquisition have slowed down activities in the power sector. Poor financial health of distribution companies has led to drop in purchase of electricity by them, and merchant power rates have crashed.”
A Deutsche Bank report early this week said that owing to the ongoing and likely persisting coal shortage, India’s power demand-supply gap may not be bridged even in FY15.
(Sourced from www.mydigitalfc.com)
Wednesday, December 7, 2011
Efforts to expedite clearance for coal projects in India
Wed, 07 Dec 2011
At present, 176 Coal projects are awaiting Environment & forestry clearances at different levels. Ministry of Coal has taken up the issue with coal producing States and MOEF for fast tracking the Environment & Forest clearances, land acquisition R& R issues. Further following steps have been taken by the coal companies to expedite the clearances:
1. Vigorous follow up action with land acquisition officials of State Government to expedite acquisition proceedings.
2. Regular meetings with State Authorities viz. Land Revenue Commissioner, LR Secretary are held to resolve the issues.
3. Forest Officials are contacted on regular basis at District & Tehsil level to fulfill the requirement and answer the queries.
4. Periodical contacts are done with the Regional Office of MOEF/ MOEF, New Delhi for expediting clearance of the environmental & forestry proposals.
5. Discussions are held with the land owners/ villagers for selection of rehabilitation site and also to persuade them to shift to the rehabilitation site.
Besides this in order to bridge the demand-supply gap CIL is contemplating to acquire coal assets abroad and import the produces from the acquired coal to India. This foreign venture is being pursued from Coal Videsh Division at CIL Kolkata and several initiatives have been taken which are as follows :
CIL emerged as the successful bidder in the global tender process run by Govt. of Mozambique and acquired prospecting license of two coal blocks in Mozambique, namely A1 and A2, covering an area of 22,400 hectares in Tete Province. The PL entitles CIL to explore and develop the coal blocks over a period of 5 years. A 100% wholly owned subsidiary of CIL namely, Coal India Africana Limitada, has been registered in Mozambique for investment in coal resources.
Coal India Ltd had floated a global Expression of Interest in July 2009 to select Strategic Partner(s) in preferred destination countries like Australia, USA, South Africa and Indonesia to acquire stakes in the existing or Greenfield coal resources under the following deal structures:
1. Equity investment by CIL with long-term off-take contract at a price less than prevailing import price.
2. Only long-term off-take contract on cost plus basis at a price less than prevailing import price, with financial assistance (if required) by way of loan from CIL for production augmentation.
3. Formation of JV for exploration, development and operation of coal assets in any of the destination countries.
Through all the above deal structures, CIL proposes to import coal with the dual objective of ensuring security of supply and insulation from the volatility of global prices. However, the process is still underway and CIL has not yet acquired any mines abroad. In addition to this, Government of India has approved formation of a Special Purpose Vehicle through Joint Venture between CIL/SAIL/RINL/NMDC and NTPC, which has been registered as International Coal Ventures Private Ltd on May 20th 2009. The purpose of ICVL is to invest in coal resources abroad to meet the coal demand of partner companies. The SPV has been approved to have an authorized capital of INR 10,000 Crores and an initial paid up capital of INR 3,500 crores. Initiatives have been taken to primarily acquire coking coal assets in Australia, Mozambique, USA etc.
At present, 176 Coal projects are awaiting Environment & forestry clearances at different levels. Ministry of Coal has taken up the issue with coal producing States and MOEF for fast tracking the Environment & Forest clearances, land acquisition R& R issues. Further following steps have been taken by the coal companies to expedite the clearances:
1. Vigorous follow up action with land acquisition officials of State Government to expedite acquisition proceedings.
2. Regular meetings with State Authorities viz. Land Revenue Commissioner, LR Secretary are held to resolve the issues.
3. Forest Officials are contacted on regular basis at District & Tehsil level to fulfill the requirement and answer the queries.
4. Periodical contacts are done with the Regional Office of MOEF/ MOEF, New Delhi for expediting clearance of the environmental & forestry proposals.
5. Discussions are held with the land owners/ villagers for selection of rehabilitation site and also to persuade them to shift to the rehabilitation site.
Besides this in order to bridge the demand-supply gap CIL is contemplating to acquire coal assets abroad and import the produces from the acquired coal to India. This foreign venture is being pursued from Coal Videsh Division at CIL Kolkata and several initiatives have been taken which are as follows :
CIL emerged as the successful bidder in the global tender process run by Govt. of Mozambique and acquired prospecting license of two coal blocks in Mozambique, namely A1 and A2, covering an area of 22,400 hectares in Tete Province. The PL entitles CIL to explore and develop the coal blocks over a period of 5 years. A 100% wholly owned subsidiary of CIL namely, Coal India Africana Limitada, has been registered in Mozambique for investment in coal resources.
Coal India Ltd had floated a global Expression of Interest in July 2009 to select Strategic Partner(s) in preferred destination countries like Australia, USA, South Africa and Indonesia to acquire stakes in the existing or Greenfield coal resources under the following deal structures:
1. Equity investment by CIL with long-term off-take contract at a price less than prevailing import price.
2. Only long-term off-take contract on cost plus basis at a price less than prevailing import price, with financial assistance (if required) by way of loan from CIL for production augmentation.
3. Formation of JV for exploration, development and operation of coal assets in any of the destination countries.
Through all the above deal structures, CIL proposes to import coal with the dual objective of ensuring security of supply and insulation from the volatility of global prices. However, the process is still underway and CIL has not yet acquired any mines abroad. In addition to this, Government of India has approved formation of a Special Purpose Vehicle through Joint Venture between CIL/SAIL/RINL/NMDC and NTPC, which has been registered as International Coal Ventures Private Ltd on May 20th 2009. The purpose of ICVL is to invest in coal resources abroad to meet the coal demand of partner companies. The SPV has been approved to have an authorized capital of INR 10,000 Crores and an initial paid up capital of INR 3,500 crores. Initiatives have been taken to primarily acquire coking coal assets in Australia, Mozambique, USA etc.
Tuesday, December 6, 2011
India to seek ‘special status’ from Indonesia in allocation of coal blocks
Tue, Dec6, 2011
New Delhi : The Government has said that it will seek Indonesia’s cooperation for the accord of “special status” to Indian companies in the grant of coal blocks, a move aimed at bridging the widening demand-supply gap for the dry fuel at home.
The Ministry of Coal will “... impress upon the provisional government/regional government to allocate blocks under their special status (most favoured nation type) to Indian government coal companies...,” the Coal Ministry has said.
Seeking the allocation of coal blocks on a “nomination basis”, an official document of the Ministry has said it will be sending a team from the Coal Ministry and CIL to Indonesia to pursue the matter.
The decision to approach the Indonesian Government was taken at a meeting of an India-Indonesia Joint Working Group on Coal on November 24 and 25.
Seeking the allocation of large greenfield (new) coal concessions on a nomination basis, the Ministry will also impress upon the Indonesian Government the need for expeditious environmental and forest clearances, besides smooth land acquisition.
Coal India (CIL), which accounts for 81 per cent of domestic coal production, recently said that it has zeroed in on two overseas coal assets, including one in Indonesia, for acquisition and expects to begin a serious dialogue with the owners soon.
The PSU has put together a war-chest of Rs 6,000 crore for the acquisition of the mines.
At present, the country is faced with a coal demand-supply shortfall of 142 million tonnes, with domestic output likely to amount to 554 mt in the current fiscal.
Keywords: Special status, coal blocks, Indonesia, CIL, mines
Sourced Business Line
New Delhi : The Government has said that it will seek Indonesia’s cooperation for the accord of “special status” to Indian companies in the grant of coal blocks, a move aimed at bridging the widening demand-supply gap for the dry fuel at home.
The Ministry of Coal will “... impress upon the provisional government/regional government to allocate blocks under their special status (most favoured nation type) to Indian government coal companies...,” the Coal Ministry has said.
Seeking the allocation of coal blocks on a “nomination basis”, an official document of the Ministry has said it will be sending a team from the Coal Ministry and CIL to Indonesia to pursue the matter.
The decision to approach the Indonesian Government was taken at a meeting of an India-Indonesia Joint Working Group on Coal on November 24 and 25.
Seeking the allocation of large greenfield (new) coal concessions on a nomination basis, the Ministry will also impress upon the Indonesian Government the need for expeditious environmental and forest clearances, besides smooth land acquisition.
Coal India (CIL), which accounts for 81 per cent of domestic coal production, recently said that it has zeroed in on two overseas coal assets, including one in Indonesia, for acquisition and expects to begin a serious dialogue with the owners soon.
The PSU has put together a war-chest of Rs 6,000 crore for the acquisition of the mines.
At present, the country is faced with a coal demand-supply shortfall of 142 million tonnes, with domestic output likely to amount to 554 mt in the current fiscal.
Keywords: Special status, coal blocks, Indonesia, CIL, mines
Sourced Business Line
Saturday, November 5, 2011
Vale SA looking to sell Colombia coal mine and port - Report
Saturday, 05 Nov 2011
Reuters citing potential buyers reported that Brazilian mining company Vale SA is looking to sell its Colombian coal mine and Rio Cordoba port.
Vale acquired the assets in April 2009 for USD 306 million and is looking to unload them as it views the assets as small and high-cost mines. A sales process began more than a month ago and a banker has been appointed by Vale.
A Vale spokesman said the company does not comment on rumors.
(sourced from Reuters)
Reuters citing potential buyers reported that Brazilian mining company Vale SA is looking to sell its Colombian coal mine and Rio Cordoba port.
Vale acquired the assets in April 2009 for USD 306 million and is looking to unload them as it views the assets as small and high-cost mines. A sales process began more than a month ago and a banker has been appointed by Vale.
A Vale spokesman said the company does not comment on rumors.
(sourced from Reuters)
Sunday, October 30, 2011
Now Coal Industry turn on Outsourcing services
October30, 2011
Delhi: Now outsource coal industry monitoring services to India.
The firm Lee Explorer Infosys is an India based outsourcing company is providing coal industry monitoring services. The team is experienced in online data monitoring and experts and individuals are well English spoken guys, supported 24 hours services.
The firm Lee Explorer Infosys is an India based outsourcing company is providing coal industry monitoring services. The team is experienced in online data monitoring and experts and individuals are well English spoken guys, supported 24 hours services.
About Lee Explorer Infosys (LEI)
The principal objective of Lee Explorer Infosys are;
* Outsourcing Company deals in International Coal Policy, Coal Resources,investment opportunity in coal assets, coal demand and supply position, coal prices, physical and spot prices,coal price negotiation for contract, coal news, coal production, coal consumption, coal shortage, coal blocks, coal mines, coal to liquid technology,acquire coal assest.
* Company's team monitors coal industry and updates clients with all
available informations.
* LEI's informations suggest client (country's energy departments, coal investors, coal traders, coal policy makers,power plants, steel plants, industrial coal consumers) to help in make up there mind to take right decision on right time.
* LEI's team saves energy, time and money and give full returs on investment
* To operate an innovative, efficient, effective, competitive services in World wide Coal industry.
Company Vision:
To be the trusted provider of services that protect client's interest.
Who are Lee Explorer Infosys:
An industry owned, workplace focussed organisation providing best practice
occupational coal investment and return.
Contact Details:
Corporate Office
Lee Explorer Infosys
Tel :+91294-2430499
Mobile:+919460352419
Fax :+91294 2430499
B-1 Haridasji ki Magri,
The Oberoi Udai Vilas Road
Udaipur-313001 (Rajasthan) India
E-mail: Leinfosys@gmail.com
Las2010@gmail.com
* Outsourcing Company deals in International Coal Policy, Coal Resources,investment opportunity in coal assets, coal demand and supply position, coal prices, physical and spot prices,coal price negotiation for contract, coal news, coal production, coal consumption, coal shortage, coal blocks, coal mines, coal to liquid technology,acquire coal assest.
* Company's team monitors coal industry and updates clients with all
available informations.
* LEI's informations suggest client (country's energy departments, coal investors, coal traders, coal policy makers,power plants, steel plants, industrial coal consumers) to help in make up there mind to take right decision on right time.
* LEI's team saves energy, time and money and give full returs on investment
* To operate an innovative, efficient, effective, competitive services in World wide Coal industry.
Company Vision:
To be the trusted provider of services that protect client's interest.
Who are Lee Explorer Infosys:
An industry owned, workplace focussed organisation providing best practice
occupational coal investment and return.
Contact Details:
Corporate Office
Lee Explorer Infosys
Tel :+91294-2430499
Mobile:+919460352419
Fax :+91294 2430499
B-1 Haridasji ki Magri,
The Oberoi Udai Vilas Road
Udaipur-313001 (Rajasthan) India
E-mail: Leinfosys@gmail.com
Las2010@gmail.com
Saturday, October 29, 2011
Australian coal assets are overpriced - Mr Mende
Saturday, 29 Oct 2011
Bloomberg quoted AMCI Capital LP a private equity investor in coal, iron ore and base metals said Australia coal assets are expensive making acquisitions challenging.
Mr Hans Mende president of Greenwich, Connecticut based AMCI said “We’re always looking but it’s difficult. Australian assets are overpriced.”
He said “Our business model is basically greenfield development. He added that I believe Aquila will get their funding for their share.”
AMCI owns stakes in Australian resources companies including Aquila Resources Ltd and Whitehaven Coal Ltd. AMCI held shares in Felix Resources Ltd which China Yanzhou Coal Mining Co Ltd bought in 2009 for AUD 3.5 billion.
AMCI isn’t interested in buying Australia New Hope Corp a coal producer with mines in Queensland State that last month said it’s starting a formal process for sale after receiving several offers.
AMCI is an equal partner with Aquila in the AUD 5.2 billion West Pilbara Iron Ore Project that includes a mine and port development to ship the steelmaking ingredient from Western Australia Pilbara region. Aquila is selling two projects and is seeking to raise USD 2 billion in debt to help pay for its share in the venture.
(Sourced from Bloomberg)
Bloomberg quoted AMCI Capital LP a private equity investor in coal, iron ore and base metals said Australia coal assets are expensive making acquisitions challenging.
Mr Hans Mende president of Greenwich, Connecticut based AMCI said “We’re always looking but it’s difficult. Australian assets are overpriced.”
He said “Our business model is basically greenfield development. He added that I believe Aquila will get their funding for their share.”
AMCI owns stakes in Australian resources companies including Aquila Resources Ltd and Whitehaven Coal Ltd. AMCI held shares in Felix Resources Ltd which China Yanzhou Coal Mining Co Ltd bought in 2009 for AUD 3.5 billion.
AMCI isn’t interested in buying Australia New Hope Corp a coal producer with mines in Queensland State that last month said it’s starting a formal process for sale after receiving several offers.
AMCI is an equal partner with Aquila in the AUD 5.2 billion West Pilbara Iron Ore Project that includes a mine and port development to ship the steelmaking ingredient from Western Australia Pilbara region. Aquila is selling two projects and is seeking to raise USD 2 billion in debt to help pay for its share in the venture.
(Sourced from Bloomberg)
Monday, August 22, 2011
Mercator to buy one more coal mine from Kyra Putra
Mon, Aug 21 2011
By Vikas Srivastav
By Vikas Srivastav
Mumbai: Mercator Lines plans to acquire another 25 million tonne coal mine in Indonesia from a local company Karya Putra Borneo in next two months for Rs 250 crore investment.
Atul Agarwal, MD, Mercator Lines, told Financial Chronicle, “We are in talks with Indonesian company Karya Putra Borneo for a coal mine with capacity in excess of 25 million tonne. The discussion is in final stages and we hope to conclude the deal in next one or two months.”
The company aims to take its total mining capacity to more than one million tonne while increasing the trading to around 8 million tonne from current 7 million tonne this financial year, said another senior company official.
The company is concluding the acquisition and expects the production to start from this mine in the fourth quarter of this financial year.
Mercator Lines currently holds 100 per cent in two mines in Petangis with proven reserves of 15 million tonne and 50 per cent in mines in Kalimantan proven reserve of 30 million tonne. This would now include the 45 million tonne acquired recently.
Coal business is expected to play a significant role in the companies overall business growth after it contributed around 45 per cent to the topline and around 50 per cent to the profit before tax in fiscal 2010-11.
Kotak Securities in a report said, “Going forward, Mercator would primarily concentrate on the coal business which would act as a hedge for the company against the cyclical shipping business.” The brokerage firm estimates the company will mine around 1.26 million tonne per annum from the current around 8,50,000 tonnes.
(sourced MyDigitalFC)
Atul Agarwal, MD, Mercator Lines, told Financial Chronicle, “We are in talks with Indonesian company Karya Putra Borneo for a coal mine with capacity in excess of 25 million tonne. The discussion is in final stages and we hope to conclude the deal in next one or two months.”
The company aims to take its total mining capacity to more than one million tonne while increasing the trading to around 8 million tonne from current 7 million tonne this financial year, said another senior company official.
The company is concluding the acquisition and expects the production to start from this mine in the fourth quarter of this financial year.
Mercator Lines currently holds 100 per cent in two mines in Petangis with proven reserves of 15 million tonne and 50 per cent in mines in Kalimantan proven reserve of 30 million tonne. This would now include the 45 million tonne acquired recently.
Coal business is expected to play a significant role in the companies overall business growth after it contributed around 45 per cent to the topline and around 50 per cent to the profit before tax in fiscal 2010-11.
Kotak Securities in a report said, “Going forward, Mercator would primarily concentrate on the coal business which would act as a hedge for the company against the cyclical shipping business.” The brokerage firm estimates the company will mine around 1.26 million tonne per annum from the current around 8,50,000 tonnes.
(sourced MyDigitalFC)
Saturday, August 20, 2011
Evraz starts construction of Yerunakovskaya VIII coking coal mine
Saturday, 20 Aug 2011
Evraz Group SA has launched construction of a new coking coal mine Yerunakovskaya VIII within its existing coal mining division Yuzhkuzbassugol in Kemerovo region of Russia. The total investment in the project will be RUB 17 billion spent over the next three years. The coal mine is planned to start operations by mid 2013. By the end of 2014, the mine is expected to reach a total production capacity of 2 million tonnes of raw coking coal per annum.
Mine development will start from the Yerunakovskiy VIII deposit with the potential for further expansion into the Yerunakovskiy Vostochnyi deposit. Joint development of the two deposits will provide long term stable mining operations and a guaranteed supply of high quality hard coking coal. The estimated reserves of the new areas being developed are in excess of 85 million tonnes.
The mine will be built in accordance with the highest standards of safety, health and environmental protection. It involves preliminary and in seam methane drainage as well as construction of wastewater treatment facilities. Additionally, the Company will build a new handling capacity at Kazankovskaya railway station and a new local motorway for coal transportation.
This project is in line with Evraz's strategy to further develop its coal mining operations. Construction of the new mine will increase the level of vertical integration, providing its steelmaking facilities with high quality coking coal.
Evraz Group SA has launched construction of a new coking coal mine Yerunakovskaya VIII within its existing coal mining division Yuzhkuzbassugol in Kemerovo region of Russia. The total investment in the project will be RUB 17 billion spent over the next three years. The coal mine is planned to start operations by mid 2013. By the end of 2014, the mine is expected to reach a total production capacity of 2 million tonnes of raw coking coal per annum.
Mine development will start from the Yerunakovskiy VIII deposit with the potential for further expansion into the Yerunakovskiy Vostochnyi deposit. Joint development of the two deposits will provide long term stable mining operations and a guaranteed supply of high quality hard coking coal. The estimated reserves of the new areas being developed are in excess of 85 million tonnes.
The mine will be built in accordance with the highest standards of safety, health and environmental protection. It involves preliminary and in seam methane drainage as well as construction of wastewater treatment facilities. Additionally, the Company will build a new handling capacity at Kazankovskaya railway station and a new local motorway for coal transportation.
This project is in line with Evraz's strategy to further develop its coal mining operations. Construction of the new mine will increase the level of vertical integration, providing its steelmaking facilities with high quality coking coal.
Friday, March 4, 2011
GVK, JSW unit may submit fresh bids for Hancock's coal assets
4 Mar,2011
By Sameer Hashmi,ET
By Sameer Hashmi,ET
JSW Energy and GVK Power and Infrastructure will have to submit fresh bids for acquiring two coal assets put on the block by Hancock Coal as the Australian firm now wants joint bids for the assets, sources said.
Hancock Coal is selling Kevin's Corner and Alpha Coal, both located in Australia's Queensland province, as it expects good valuation for the assets.
Some Chinese and Japanese power generation companies are also among the shortlisted bidders.
The two Indian firms, however, declined to comment on the development.
"We have been looking at various assets and Hancock is one of them," GVK's vice chairman Sanjay Reddy told ET NOW. "Unfortunately we are subject to confidentiality with Hancock, so I won't be able to comment."
GVK has been scouting for coal mines for the past two years as it wants to secure fuel for its power projects, but it has so far failed to clinch a single deal due to weak financial bids.
"For us, at this point of time, CIC is the main focus," JSW Energy's joint managing director and chief executive L K Gupta said.
Sajjan Jindal-led JSW Energy is in the process of buying out UK-based power and coal mining firm CIC Energy Corporation. The deal was supposed to close on February 28, but the date for completing the acquisition was extended after CIC announced a dispute with GCL Botswana.
Hancock is expected to finalise one buyer by the end of this month. Kevin's Corner and Alpha Coal are located close to the mine that Adani Enterprises acquired last year from Linc Energy.
"The valuation could go over $4 billion considering the asset size," a source said. "There is a possibility that some players may exit the race since the valuations is so high." The two mines have an estimated 7.9 billion tonnes of thermal coal, according to the company's website.
Tags: Australia Queensland, Chinese power company, Japanese power co., bidders,
Hancock Coal is selling Kevin's Corner and Alpha Coal, both located in Australia's Queensland province, as it expects good valuation for the assets.
Some Chinese and Japanese power generation companies are also among the shortlisted bidders.
The two Indian firms, however, declined to comment on the development.
"We have been looking at various assets and Hancock is one of them," GVK's vice chairman Sanjay Reddy told ET NOW. "Unfortunately we are subject to confidentiality with Hancock, so I won't be able to comment."
GVK has been scouting for coal mines for the past two years as it wants to secure fuel for its power projects, but it has so far failed to clinch a single deal due to weak financial bids.
"For us, at this point of time, CIC is the main focus," JSW Energy's joint managing director and chief executive L K Gupta said.
Sajjan Jindal-led JSW Energy is in the process of buying out UK-based power and coal mining firm CIC Energy Corporation. The deal was supposed to close on February 28, but the date for completing the acquisition was extended after CIC announced a dispute with GCL Botswana.
Hancock is expected to finalise one buyer by the end of this month. Kevin's Corner and Alpha Coal are located close to the mine that Adani Enterprises acquired last year from Linc Energy.
"The valuation could go over $4 billion considering the asset size," a source said. "There is a possibility that some players may exit the race since the valuations is so high." The two mines have an estimated 7.9 billion tonnes of thermal coal, according to the company's website.
Tags: Australia Queensland, Chinese power company, Japanese power co., bidders,
Thursday, February 3, 2011
India state group submits bid for Mongolia coal asset
Thu Feb 3, 2011 8:38 am GMT
NEW DELHI(Reuters) - India's International Coal Ventures (ICVL) consortium has submitted a bid for buying a coal asset in Mongolia, an official said on Thursday, to meet rising demand for the key raw material in Asia's third-largest economy.
Ajay Mathur, nodal officer for ICVL, also told reporters the consortium was hopeful of acquiring two to three coal assets in Australia and Indonesia this year.
The state consortium comprises of utility NTPC (NTPC.BO: Quote), Steel Authority of India Ltd (SAIL.BO: Quote), iron ore miner NMDC (NMDC.BO: Quote), Coal India (COAL.BO: Quote) and Rashtriya Ispat Nigam Ltd.
Last month, it decided not to counter Rio Tinto's $3.9 billion bid for Australian coal miner Riversdale (RIV.AX: Quote). (Reporting by Ruchira Singh, sourced:Reuters)
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