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The Inter-Ministerial Group (IMG) on coal blocks is likely to meet this next week to decide the fate of around 30 coal blocks.
Allottees of these 30 blocks were earlier issued show cause notices for delaying production from the mines.
"The IMG is likely to meet this week. During the meeting we will examine the replies of allocatees of around 30 coal blocks which were issued show-cause notices," a source close to the development said.
"After examining their replies, we will take a call on whether to go for deallocation or deduction of bank guarantee," the source added.
The Coal Ministry is also likely to issue show-cause notices soon to allottees of seven mines, including ArcelorMittal, Sterlite Energy, Lanco and Reliance Energy which were jointly given one block, for not developing them on time, sources had earlier said.
The government had formed the IMG last year to review the progress of coal blocks allocated to firms for captive use and recommend action, including deallocation.
The panel under the chairmanship of additional secretary in the coal ministry has members from other ministries including steel and power.
