Efforts on to Engage Reputed Mining Developers cum Operators in Coal Mines
The Ministry of Coal wants to engage reputable Mining Developers and Operators (MDOs) in coal mines, through open global tenders, and reduce import reliance. The contract is for 25 years or as long as the mine lasts.
With an investment component of around Rs.20600 crores, the state-owned coal miner has a total of 15 greenfield projects for implementation through MDOs. Most of them involve land acquisition, rehabilitation, and resettlement, as well as railway sidings in some cases.
There are eleven opencast and four underground mines, with a total rated capacity of around 169 million tons (MT). The opencast projects can handle 165 MT, but underground projects can handle the rest.
MDOs excavate and deliver coal to coal companies according to approved mining plans. The MDOs would bring mutually beneficial technology, economically viable operations, and more production. These private companies will also develop allied infrastructure at mine projects since their contracts are long-term. They shall facilitate R&R issues, land acquisition, green clearances, and coordination with the State and Central Pollution Boards.
Coal India Limited (CIL) has signed letters of acceptance for 9 coal projects to be pursued through mine developer and operator engagements. The combined capacity of these projects is close to 127 million tonnes. The remaining six projects are at different stages of tendering.
*News Source: PIB India*