JSPL secures new order from Coal India, gains 5%

Shares of Jindal Steel & Power (JSPL) surged as much as 5% in early-morning trade in an otherwise flat market, after the company informed BSE that the company has secured long term coal linkage of a total quantity of 0.5 million tonnes per annum for the next 5 years in the recently concluded coal linkage auction under Sponge Iron sub-sector, conducted by Coal India Limited.

 

This sourcing of coal will help the Company to secure fuel requirements and smooth operations of company’s sponge iron units, the company told the bourses.

 

At 10.50 am, JSPL was trading 4.8% higher at Rs 83.25 on BSE. The stock at Rs 79.35 and touched a high and low of Rs 83.50 and Rs 79.10, respectively today.

 

The company had earlier secured 1.18 million tonnes of linkage capacity in captive power plant (CPP) sub-sector and with this linkage in Sponge Iron sub-sector, the total coal linkage capacity of the company will be 1.68 million tonnes per annum. Shares of Coal India were trading 0.71% down at Rs 314.55 around the same time.