Central Government and OMDC are likely to sign an agreement for the development of Brahmani coal blocks.
The Ministry of Coal urges Odisha Government for an agreement between OMDC and the Central government to develop Brahmani Coal Block. The coal ministry has also notified Chandrabila, Tentuloi, Sarapal-Nuapada and Kudanali-Luburi coal blocks, which are located in Odisha.
The Brahmani coal block has estimated geological reserves of 58.9 MnT which was allocated to OMDC under the rule 7 of the ‘Auction by Competitive Bidding of Coal Mines Rules- 2012’. As per this rule, the reserve price has to be paid by the allocatee company as specified in the agreement. If the reserve price is yet to be determined, the allocatee company shall hand over an undertaking for paying the reserve price within the given time or else the allocation will be cancelled. Moreover, all the terms and conditions of allocation of the coal block, according to rule 4 (6) (i) of the ‘Auction by Competitive Bidding of Coal Mines Rules- 2012’ will be applicable to the allocatee company.
The Chandrabila coal block was allocated to NTPC and the Kudanali-Luburi block was allocated jointly to NTPC and Jammu & Kashmir State Power Development Corporation Limited. The Sarapal-Nuapada coal block was won by the Andhra Pradesh Power Generation Corporation Limited. While, the Tentuloi coal block was won by the Odisha Thermal Power Corporation Limited (OTPCL), which is a joint venture of OMC and Odisha Hydro Power Corporation (OHPC).
All the above mentioned five coal blocks were allotted by the Coal Ministry based on the recommendations of an inter-ministerial committee.