NTPC awards Rs24,200-crore mining contract to Australia's Leighton
By By Ravi Kunder | 02 Dec 2010
India's largest power generating company, National Thermal Power Corporation Ltd (NTPC), has awarded Australian contract miner Leighton Holdings a 20-year contract, worth Rs24,200 crore (A$5.5 billion), for mining coal at the Pakri Barwadhi coal field in Jharkhand.
State-owned NTPC has tied up a $300 million credit line with Bank of Tokyo-Mistubishi to fund new projects and renovate existing plants as also mining coal for captive use from the Pakri Barwadhi coal block.
NTPC, which was allotted eight coal blocks between 2004-end and the beginning of 2007, has been critisised by the coal ministry for not developing its captive coalmines.
This is the largest-ever contract awarded by NTPC.
Leighton Holdings' wholly-owned Indian subsidiary, Thiess, won the contract against stiff competition from two other Indian companies. Thiess, the world's largest contract coal miner, however, did not name the other companies involved in the bidding.
Thiess will execute the project through its 90 per cent owned Indian joint venture company Thiess Minecs. The other 10 per cent is held by Kolkata-based Minecs Finvest Private Limited.