Date:15/06/2005 URL: http://www.thehindubusinessline.com/2005/06/15/stories/2005061503090300.htm

Back ECL's Rajmahal mine expansion nearing completion

Our Bureau

Kolkata , June 14

THE capacity expansion programme of Eastern Coalfields Ltd's Rajmahal opencast project is almost through. This could mean that National Thermal Power Corporation may get an additional quantity of coal from this mine in a year or two.

The Rs 664-crore expansion plan is targeted at augmenting the mine's production capacity from 10.5 million tonnes to 17 mt per annum.

The Inter-Ministerial Group (IMG) is understood to have cleared the project, which is now awaiting clearance from the Union Cabinet Committee of Economic Affairs.

Rajmahal is a linked mine for NTPC's two super thermal power projects, one at Farakka in West Bengal and the other at Kahalgaon in Bihar. The combined coal requirement of these projects has been estimated as 15.8 mt in 2006-07, and about 19.8 mt during 2008-09 with an ultimate requirement of about 23.4 mt by 2010-11. The enhanced coal requirement of these power plants is because of their future expansion plan.

Despite the Rajmahal expansion plan, the fact remains that NTPC may have to arrange for more than 6 mt of coal by 2010-11 from other sources for sustained generation from Farakka and Kahalgaon.