https://www.engineeringnews.co.za

India’s SAIL in the dock for failing to complete coal block acquisition

24th February 2016

By: Ajoy K Das

Creamer Media Correspondent

  

Font size: - +

KOLKATA (miningweekly.com) - India’s Coal Ministry has cautioned the country’s largest steel producer Steel Authority of India Limited (SAIL) that coal blocks allocated to it would be withdrawn if the major failed to give a reasonable explanation for its failure to submit a completion notice pertaining to the allotment.

The Coal Ministry in a missive to SAIL warned that the agreement for allotment of the coal block would be terminated if the steel company did not explain why the process of taking over the coal block had not been completed within the timelines laid down in the agreement.

SAIL had been allocated the Parbatpur Central coal block in the eastern Indian province of Jharkhand, last year, under the preferential allotment route as per rules laid down in the Coal Mines Special Provisions Act.

According to a Ministry official, SAIL had been given 30 days to complete all formalities for taking over the coal block, which it failed to do, also failing to deposit the first instalment towards securing the block and not furnishing the required performance guarantee.

The steel producer had been given a further 20 days to provide a reply to show cause as to why the Coal Ministry should not presume that SAIL was not interested in the coal block and why the Ministry should not take appropriate action toward legal termination of the agreement allocating the asset to the steel company.

Edited by Esmarie Iannucci
Creamer Media Senior Deputy Editor: Australasia

Article Enquiry

Email Article

Save Article

Feedback

To advertise email advertising@creamermedia.co.za or click here

Showroom

Alcohol Breathalysers
Alcohol Breathalysers

Supplier & Distributor of the Widest Range of Accurate & Easy-to-Use Alcohol Breathalysers

VISIT SHOWROOM 
M and J Mining
M and J Mining

M and J Mining are leading suppliers of physical support systems as used by the underground mining industry. Our selection of products are not...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







301

sq:0.056 0.421s - 140pq - 2rq
Subscribe Now