Kolkata : Coal India will come out with expression of interest for 26 closed and abandoned underground mines in the next one month.
The underground mines are spread across the Eastern, Central and Bharat Coking coalfields, each with a minimum reserves of over 10 million tons.
The coal behemoth would develop these mines through the joint venture route. “We have not yet finalised the modalities of holding pattern in the joint venture,” Coal India Ltd (CIL) Chairman Partha S Bhattacharyya said.
“Since we are focusing on ramping up our production in the underground mines category, we have decided to issue EoIs for the closed and abandoned mines and create opportunities for players to come forward with their best technologies in reviving the mines,” Bhattacharyya said.
Out the 26 mines, at least 10 have coking coal reserves which are highly sought by steel-makers.
Almost 350 million tons of coal is currently locked up in the closed and abandoned mines.
CIL estimates that about 5% of the closed and abandoned mines would require sophisticated and state of the art mine technology to revive.