Gujarat based Adani Enterprises today announced that it has won to develop and operate a coal mine at Chendipada in Orissa. The block which has a mining potential of 40 million tonnes per annum, has been won by the company through competitive bidding.
The company won the bid for captive mining of coal jointly with utilities in Uttar Pradesh, Chhatisgarh and Maharashtra. A joint venture company called UCM was formed by three utilities for development and mining of the block, which could have total reserves of 1,600 million tonnes.
"Adani will undertake the development and operation of the coal block; which includes land acquisition, R&R, preparation of the mine plan, approvals and clearences, coal mining, setting up of coal washery, establish railway siding, and deliver washed coal to end users at designated power stations in UP, Chhatisgarh and Maharashtra," the company said in a statement to the stock exchanges.
Adani is also required to set-up a power generation project of 2,000 megawatt capacity for gainfully utilising the coal washery rejects. The project would be in joint venture with UCM, with Adani holding 89 per cent stake and UCM holding 11 per cent stake.