After NTPC, now Coal India is mulling exiting International Coal Ventures Ltd (ICVL), the special purpose vehicle formed to acquire coal mines abroad.
"Informally CIL has said that it wants to quit ICVL, but the Coal Ministry has not received any proposal from CIL on the same," a source in the Coal Ministry said. However, he did not give the reasons for the exit.
A source in CIL said, "Coal India Ltd (CIL) was not just mulling exiting ICVL, but is one step ahead."
When asked for the reasons for exit, they said CIL does not find any benefit in the venture.
When contacted, ICVL Chairman C S Verma said, "I have not received any such communication and I don't think that the PSU firm will quit ICVL."
ICVL, a joint venture between companies like SAIL, CIL, and NMDC--incorporated in 2009--was conceptualised by the Steel Ministry for securing much-needed coking coal and thermal coal assets in overseas territories.
Last year, NTPC wished to exit from the consortium. "NTPC had made a presentation to the power ministry stating that the coal requirement of NTPC and steel firms are different. NTPC needs thermal coal and RINL coking coal, there a is clash of interest." an NTPC official had said.
ICVL, which has Rs 10,000 crore authorised capital and Rs 3,500 crore equity capital, has not been able to taste success since its formation.
The consortium aims to be an owner of about 500 million tonnes of met coal reserves by 2019-20.
