Govt to launch seventh round of commercial auctions on Wednesday

The government will put on the block 106 coal mines on Wednesday, launching the seventh round of commercial auctions, an official statement said.

In the statement, the coal ministry said it will also be signing the agreements for the 28 coal mines auctioned under the sixth round of auctions, it said.

"The Ministry of Coal will be signing the agreements for 28 coal mines auctioned under the sixth round and launching the seventh round of auction of mines for sale of coal on March 29, 2023," the statement said.

The cumulative PRC (peak rated capacity) of the 28 coal mines auctioned under previous round is 74 million tonne per annum (MTPA) and these mines are expected to generate annual revenue of Rs 14,497 crore calculated at PRC of these coal mines. Upon operationalisation, these mines are expected to generate employment for one lakh people, the ministry said.

Of the 106 coal mines offered under seventh round, 61 mines are partially explored coal mines and 45 are fully explored ones. There are 95 non-coking coal mines, one coking coal mine and 10 lignite mines being offered under the latest round of auctions.

The commencement of sale of tender documents shall start from March 29, 2023. Details of the mines, auction terms, timelines etc. can be accessed on MSTC auction platform. The auction shall be held online through a transparent two-stage process, on the basis of percentage revenue share, it said.

Defence minister Rajnath Singh will be the chief guest and will be launching the next round of auction, while Union Minister of Coal, Mines and Parliamentary Affairs Pralhad Joshi will preside over the event and Minister of State for Coal, Mines and Railways Raosaheb Patil Danve will be the Guest of Honour.