NLC India Secures Machhakata Coal Mine in Major Auction Win

On July 15, 2024, NLC India Limited announced in a stock exchange filing that it has emerged as the successful bidder for the Machhakata (Revised) Coal Mine in Angul District, Odisha, in the 8th round of commercial coal block e-auction recently held by the Ministry of Coal, Government of India.

The Machhakata Coal Mine Block boasts an approximate total coal reserve of 1.38 billion tonnes and an operational peak-rated capacity of 30 million tonnes per annum (MTPA).

The company stated that this acquisition marks the second commercial coal mine block won by NLC India, following the North Dhadu Coal Block (Western Part). The company remains committed to expanding its capacity, aiming to surpass 100 MTPA by 2030, up from its current 50 MTPA. The coal produced from the Machhakata block will contribute significantly to India’s energy security, providing an indigenous supply of coal. Additionally, this move supports the exploration of alternative energy production methods from coal, such as gasification, aligning with sustainability goals.

The Coal Mine Development and Production Agreement (CMDPA) for the Machhakata (Revised) Coal Mine (30 MTPA) was executed on July 15, 2024, during a ceremony held at Shastri Bhavan, Ministry of Coal, New Delhi.

The agreement ceremony saw the attendance of several key officials, including Shri M. Nagaraju, Additional Secretary and Nominated Authority, Ministry of Coal, and Shri Prasanna Kumar Motupalli, Chairman and Managing Director, NLCIL. Other notable attendees included Dr. Suresh Chandra Suman, Director (Mines & P&P (AC)), NLCIL, Shri Cheruku Dayanand, CGM, NLCIL, and various officials from NLCIL and the Ministry of Coal.

NLC India’s successful bid and subsequent agreement for the Machhakata Coal Mine Block signify a major step forward in the company’s strategic expansion and capacity addition plans. The development of this coal block is expected to play a crucial role in bolstering the nation’s energy security and exploring sustainable coal utilisation methods, thereby reinforcing NLC India’s commitment to growth and innovation in the energy sector.

About NLC India Limited

NLC India is involved in the business of mining lignite and power generation by utilising lignite as well as renewable energy sources.

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