The approval has been received by Barmer Lignite Mining Company Ltd (BLMCL) -- a joint venture between Raj WestPower Ltd (RWPL) and Rajasthan State Mines and Minerals Ltd (RSMML).
RWPL is a wholly-owned subsidiary of JSW Energy.
In a regulatory filing, JSW Energy said BLMCL has received "environmental clearance from the Ministry of Environment, Forests & Climate Change (MoEFCC) to increase the mining capacity of its Kapurdi Lignite Mines from 3.75 MTPA to 7 MTPA for 4 years".
In May 2006, Rajasthan government and RWPL had entered into an implementation agreement for lignite mining cum thermal power plants with associated facilities for 1,080 MW generation capacity. The power plants would be fired by lignite from Kapurdi and Jalipa mines.
BLMCL, where RWPL holds 49 per cent stake, to develop, operate and extract lignite from these two mines. Besides, the entity has an exclusive pact with RWPL to supply lignite to its power project for 30 years.
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