ACC signs pact with MP Govt for coal blocks
ACC has entered an arrangement with the Madhya Pradesh State Mining Corporation Ltd (MPSMC), a Government of Madhya Pradesh undertaking for four coal blocks. Accordingly, the Government will make available four coal blocks for prospecting and mining through joint venture companies to be set up between MPSMC and ACC Mineral Resources Ltd (AMRL), a wholly owned subsidiary of ACC Ltd.
A Joint Venture agreement was signed between AMRL and MPSMC for exploration, development and mining of coal, subject to feasibility, from four coal blocks at Marki Barka, Bicharpur, Semaria Piparia and Morga IV blocks. Together, these blocks have approximate reserves of 200 million tones.
The four mines will be optimally linked to supply coal to the company’s cement plants at Gagal, Kymore, Tikaria and Lakheri, replacing the coal needs of these plants currently sourced through e-auctions and the open market. The mines are expected to become operational in four to five years.