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Coal Ministry may soon return forfeited mines of DVC, JSEB

Last Updated: Friday, February 1, 2013 - 14:26

New Delhi: The government which revoked the mining licences of two coal blocks of Damodar Valley Corporation (DVC) and Jharkhand State Electricity Board (JSEB) is likely to return the mines to both the PSUs soon.

This follows state-run NTPC getting back its three forfeited blocks following the approval from the Law Ministry.

"Soon the Coal Ministry would give back the deallocated coal blocks of DVC and JSEB," a source said.

The coal blocks are DVC's Saharpur Jamarpani mine having reserves of 600 million tonne (MT) and JSEB's Banhardih mine having reserves of 400 MT, the source added.

The Coal Ministry had in 2011 deallocated both the mines as the PSUs had failed to develop them within stipulated timeframe. While Saharpur Jamarpani was allocated in 2007, Banhardih was given in 2006.

Last month, three forfeited coal blocks of NTPC were given back by the Coal Ministry to NTPC after getting approval from the Law Ministry.

"The decision to deallocate has been withdrawn and the three coal blocks stand restored to NTPC," Coal Ministry had said in a statement.

"The matter was examined in consultation with the Ministry of Law & Justice in view of the amendment to MMDR Act in 2010 and notification of Rules there under in February, 2012," it said.

The three coal blocks -- Chatti-Bariatu, Kerandari and Chatti-Bariatu (South), all in Jharkhand -- of the state-run company in 2011 were deallocated as it failed to develop them within the stipulated timeframe.

The Coal ministry also said: "NTPC would develop the coal blocks as per the revised schedule submitted by them.

The government plans to sell 9.5 percent of its stake in NTPC and hopes to raise close to Rs 13,000 crore from the offering.


First Published: Friday, February 1, 2013 - 14:26
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