JSW looks to grab maximum coal blocks in ongoing auction
To secure raw material for its operations, domestic steel giant JSW Steel looks to grab maximum number of coal blocks out of six being auctioned for the iron and steel sector.
The e-auction of six coal blocks, of which five are located in Jharkhand and one in Madhya Pradesh, for iron and steel making companies started on Friday. The e-bidding is scheduled to end on July 14. A JSW Steel official, who did not wish to be quoted, said, "For Jharkhand, we are very aggressive. We have already announced a plant there and in Odisha. In Jharkhand, whatever is put on auction we will participate."
In the fifth tranche of coal block sale for production of iron ore and steel, the government has put under the hammer five mines -- Brahmadiha, Choritand Tiliaya, Jogeshwar & Khas Jogeshwar, Rabodih OCP and Rohne – located in Jharkhand.
JSW Steel has got environment clearance for a 10 million tonnes per annum (MTPA) capacity integrated steel unit and a 900 mw captive power plant to be built at an estimated cost of Rs 35,000 crore in Jharkhand. The company last month said that it was pursuing for various approvals and clearances for setting up the 10 MT project in phases. To enhance its raw material security, the company had participated in the auction of iron ore mines last year too and won five iron ore blocks in Karnataka and one coal mine in Jharkhand.
Its board last month had approved a plan to set up a Rs 2,100 crore slurry pipeline in Karnataka to transport iron ore and coal for its 12 MT integrated steel plant in the state.