Mahanadi Coal output up

Mahanadi Coalfields Ltd (MCL), the second largest subsidiary of Coal India Ltd (CIL), has produced 30.5 million tone of coal in the first half of the current fiscal, recording a 15 per cent growth in production over the corresponding period last year.

The achievement came despite a severe land constraint affecting some of its major mines in Talcher and Ib valley Coalfields, according to MCL chairman and managing director BM Nag.

Nag said, the company is faced with a hefty demand of 72 million tonnes this year, which is 10 million tonne more than the demand of last year. However, with the land constraints coming in the way of opening new mines, it is targeting a production of 66 million tonne, he added.

Nag attributed the demand surge to new buyers including Kahalogaon thermal power plant in Bihar and some power plants in West Bengal.

On non-payment of enhanced coal price by the National Thermal Power Corporation (NTPC), the MCL chief said the company is left with no option but to go for regulation of coal supply to the NTPC plants if the current negotiations fail. He, however, hoped that the issue will be resolved amicably through dialogue.

MCL had effected an upward revision in the coal price to the tune of 14 per cent in June last. However, three NTPC "� Talcher Thermal Power Station, Talcher Super Thermal Power Station and Simhadri Thermal Power Station "� are yet to pay the enhanced rate.