Company obtains mining lease of Bhaskarpara commercial coal mine
Team News Riveting
Raipur, November 24
Prakash Industries Limited (PIL) has received the mining lease for Bhaskarpara commercial coal mine located in Chhattisgarh’s Surajpur district.
The production in the mine is likely to start by the new year as the company announced to start mining in the next quarter of the current financial year that will be between January to March.
“The Company is pleased to inform that the Government of Chhattisgarh had executed the Mining Lease, which has been duly registered in favour of the Company for mining of coal over a period of 30 years for its Bhaskarpara Commercial Coal Mine in District Surajpur,” PIL said. Now, the Company will start overburden removal by next month and thereafter the coal extraction is expected to commence in the next quarter, it added.
The supplies of coal from this mine shall provide stability to the Company’s Integrated Steel operations as well as result in significant cost reductions. Additionally, this being a commercial mine, it shall also boost the revenue and the profitability through sale of coal in the open market, it added.
The diversified company having interest in mining, steel and power, Prakash Industries emerged as the highest bidder for Bhaskarpara Coal Mine in Chhattisgarh in the auction conducted by the Ministry of Coal in 2019. The mine has an extractable reserve of 24.06 million tonnes and its coal is highly suitable for use in Prakash Industry’s integrated steel plant at Janjgir-Champa district in Chhattisgarh. Currently, the company is buying coal from CIL and foreign companies.
