Home >industry >energy >Coal India board directs it to withdraw from ICVL

New Delhi: State-owned Coal India Ltd (CIL) on Tuesday said its board has directed the public sector undertaking (PSU) to withdraw from International Coal Ventures Ltd (ICVL). ICVL is a PSU consortium formed to acquire coal mines overseas.

The company also said that its board gave approval for the first year expenditure of 1,019 crore to start the work for setting up CIL arm Mahanadi Coalfields Ltd’s (MCL) 2x800 mw coal-based super critical thermal power plant in Odisha. “The CIL (Coal India) board, in its meeting held on 13 February, directed that Coal India should withdraw from International Coal Ventures Private Ltd," the company said in a filing to BSE.

CIL had earlier felt that continuing with ICVL involved financial burden without commensurate advantage. Besides CIL, ICVL’s promoters includes PSUs like Steel Authority of India Ltd (SAIL) and Rashtriya Ispat Nigam Ltd (RINL). ICVL was created in 2009 to ensure long-term security of the supply of critical raw material for domestic steel industry. In a separate filing to BSE, CIL said “the board reviewed its decision and accorded its approval for the first year expenditure of 1,019 crore to start the work to set up 2x800 mw coal-based super critical thermal power plant (in Odisha)".

The board also advised that as soon as Coal India has a full board, the proposal will be placed for its consideration for the approval of the Project Report, CIL said. “We have intimated stock exchanges...dated 28 November 2014 about the approval of the project report by CIL board to set up..super-critical thermal power plant (STPP)...with a total investment of 11,368.18 crore," CIL said.

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