CIL invites global bids for Rs 150-cr proposal

State-run Coal India has floated a global tender inviting financial institutions to advise it on over Rs 150-crore fresh investment proposal for boosting local output.

"Coal India intends to empanel financial institutions/appraisers for appraisal of new investment proposals of more than Rs 150 crore for Coal India and its subsidiaries through expression of interest," it said. The last date for submission of Expression of Interest is July 7.

CIL and its seven subsidiaries operate about 471 mines - both opencast and underground. It had produced 431.33 MT coal last fiscal and aims 520 MT production this fiscal. The firm hopes to achieve 664 MT production by 2016-17.

"Considering the increasing demand of coking and thermal coal, Coal India has planned to either augment the existing low-capacity projects or open new high-capacity mines to meet the future demand," it said.

The scope of the work would be carrying out financial appraisal of new or expansion projects and render "other" advisory services, CIL said.

The panel would review project agreements, do commercial and risk analysis, estimate financial requirements, financing plan, modeling to ascertain the viability of the project and prepare the financial appraisal report.

The bidder could from India and abroad, which has their establishment in India. It has to complete financial appraisal of any least five projects, each with at least Rs 150 crore investment by the end of March 31. The empaneled bidders' tenure would be valid for two years.