ICVL examining various coal blocks abroad for buyout: govt

The government today said International Coal Ventures (IVCL), a consortium of five state- run firms, is examining various proposals for acquiring coal assets in Australia, besides participating in auctions for acquisition of stake in underdeveloped coal assets overseas.

"ICVL is reviewing several proposals for acquiring coal properties in Australia with a view to examine their suitability and viability. Due diligence is in the progress," State Minister for Coal Pratik Prakash Bapu Patil said in a reply to the Lok Sabha.

The minister said the company has also identified several nations like Indonesia, Mozambique, USA and Colombia for acquisition of coal properties.

"Proposals received from these countries are also under review," the minister said, adding that the coal to be sourced from these assets, once acquired, would be primarily used by the promoter firms of ICVL.

Earlier, ICVL had said that it was optimistic of acquiring two to three coal assets in Australia and Indonesia this year.

In addition, ICVL -- a special purpose vehicle of Steel Authority of India, Coal India, NMDC, NTPC and RINL formed for overseas acquisitions -- is also eyeing assets in Mozambique and the US.

The company had said it would farm in to the properties either through acquisition of the asset as a whole or equity participation.

The consortium had last month submitted a bid for buying a coal asset in Mongolia, which contains about 750 million tonne of reserves.

Since its incorporation in 2009, the grouping of five companies has not been able to acquire any assets abroad.

The ICVL board has a mandate to make acquisitions of overseas properties worth up to $300 million and in case it exceeds this limit, it will require Cabinet approval.

SAIL and CIL both have a 28% stake in company, while RINL, NMDC and NTPC have a 14% stake each.