Coal India jumps on buzz CCEA to decide on coal price pooling

Meanwhile, the BSE Sensex was up 103.81 points, or 0.55%, to 19,120.27.

On BSE, 1.16 lakh shares were traded in the counter as against an average daily volume of 2.64 lakh shares in the past one quarter.

The stock hit a high of Rs 312.15 and a low of Rs 299.25 so far during the day. The stock had hit a 52-week high of Rs 386 on 17 September 2012. The stock had hit a 52-week low of Rs 291.20 on 19 March 2013.

The stock had outperformed the market over the past one month till 18 April 2013, falling 1.14% compared with the Sensex's 1.43% fall. The scrip had, however, underperformed the market in past one quarter, sliding 15.66% as against Sensex's 5.10% fall.

The large-cap company has an equity capital of Rs 6316.36 crore. Face value per share is Rs 10.

According to reports, the Cabinet Committee on Economic Affairs (CCEA) may take a final decision today, 22 April 2013, on price pooling of coal.

Coal price pooling is the averaging of prices of domestic and imported coal to get a uniform feedstock price.

Finance minister P Chidambaram had earlier said the Cabinet will take a view on price pooling of coal to address the fuel supply issue.

The CCEA in February 2013 had approved in-principle the price-pooling mechanism.

Reports suggest that a final decision on the issue is pending due to differences between the ministries of coal and power on how the impact of higher imported coal prices will be shared between Coal India (CIL) and power companies.

The Prime Minister's Office had earlier reportedly directed CIL and Central Electricity Authority (CEA) to work on pooling coal prices to ensure 80% supplies to power plants.

Coal India's consolidated net profit rose 8.9% to Rs 4395.11 crore on 12.9% growth in net sales to Rs 17325.04 crore in Q3 December 2012 over Q3 December 2011.

Coal India is the largest coal producer in the world.

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