The Ministry of coal on Saturday has allocated one mine each to National Mineral Development Corporation (NMDC) and Rashtriya Ispat Nigam Ltd (RINL). It also said that the mines, which are located in Jharkhand, will boost coking coal production and reduce the dependence of the steel industry on imported coal. The ministry said that this is a significant step towards reducing the dependence of the steel industry on imported coal.
The Rohne coal mine has been allotted to National Mineral Development Corporation for sale of coal and will cater to the captive use of coking coal for its upcoming steel plant at Nagarnar whereas the Robodih OCP coal mine has been allotted to Rashtriya Ispat Nigam Limited, the corporate entity of Visakhapatnam Steel Plant, for their captive use of iron and steel production.
Both these mines in Jharkhand, allocated under the Coal Mines (Special Provision) Act, 2015, these mines will increase coal production by more than 10 MT (million tonnes) per annum.
These mines will, over their lifetime, generate about Rs.7,000 crore revenue for State Government, apart from royalties and other applicable taxes. Both National Mineral Development Corporation (NMDC) and Rashtriya Ispat Nigam Ltd (RINL) would set up their washeries for washing coal.
This allotment comes in addition to five coal mines that have been allocated to successful bidders and six coal mines which have allotted to Public Sector Undertakings. All these 13 mines will add more than 35 million tonnes per annum coal to domestic production. Besides royalties and applicable taxes, the mines are slated to generate about Rs.31,000 crore revenue over their lifetime for State Governments.
