JP Associates, JP Power gains on forest clearance for coal mines in MP

MoEF has accorded the final forest clearance for coal block in Madhya Pradesh for diversion of 728.750 hectares of forest land for coal mining.

Shares of Jaipraksh Associates and Jaiprakash Power Ventures are trading higher by more than 2% each on the BSE after getting final forest clearance for coal block in Madhya Pradesh (MP).

“The Government of India, Ministry of Environment and Forest (MoEF) has accorded the second stage (final) forest clearance in respect of the Amelia (North) coal block in Sidhi district of Madhya Pradesh for diversion of 728.750 hectares of forest land for coal mining,” Jaiprakash Associates said in a statement.

Jaiprakash Associates had entered into a joint venture agreement with Madhya Pradesh State Mining Corporation for the said coal block.

“For this purpose, a Special Purpose Vehicle (SPV), namely, Madhya Pradesh Jaypee Minerals Limited had been incorporated who had appointed Jaiprakash Associates as mine developer cum operator for the said mines the produce whereof is committed to be supplied to Jaypee Nigric Super Thermal Power Project being implemented by Jaiprakash Power Ventures Limited,” the company said.

Among the individual stocks, Jaiprakash Power Ventures has rallied 9% to Rs 42.90 on back of two-fold surge in trading volumes. A combined 2.9 million shares have already changed hands on the counter so far.

Jaiprakash Associates, current trading at its 52-week high, is up by 2.2% at Rs 99.50 on the BSE.