Jindal Power Ltd, a subsidiary of Jindal Steel & Power, has bagged the lucrative Gare Palma coal mine IV/1 in Chhattisgarh, pipping Adani Enterprises and Hindalco Industries by offering the highest revenue share.
The Jindals offered 25 per cent revenue share for the Gare Palma mine with geological coal reserves of 84 million tonnes and peak capacity of six million tonnes per annum, an official statement said.
Total extractable reserves of Gare Palma IV/1 are around 39 million tonnes. Before the coal block deallocation in 2014, this mine was operated by Jindal Steel and Power. When the auction regime was brought in, Vedanta’s Balco and JSPL had emerged as the highest bidders but the government did not consider the bids on account of low valuation.
The mine is close to the Raigarh steel and Tamnar power plant of the firm, which would lower the transportation cost of the dry fuel.
