Coal Ministry issues vesting orders for five coal blocks; Lloyds Metals, Sarda Energy among allottees

The Ministry of Coal has issued vesting orders for five coal blocks under commercial mining, formalising their transfer to private developers
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Coal Ministry issues vesting orders for five coal blocks; Lloyds Metals, Sarda Energy among allotteesEnergy Watch
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New Delhi: The Ministry of Coal on Wednesday announced that it has issued vesting orders for five coal blocks under the government’s commercial coal auction regime, marking a key step in the transition of these mines to operational readiness. The Coal Mine Development and Production Agreements (CMDPAs) for these blocks had been signed on August 21.

The five coal blocks covered under the vesting orders are Tandsi III & Tandsi III Extension, Senduri, West of Tubed, Chitarpur (Revised) and Phutamura. Of these, four are partially explored and one is fully explored. Collectively, the blocks have a Peak Rated Capacity (PRC) of about 3.45 million tonnes per annum and geological reserves of roughly 1,556.31 million tonnes.

According to the Ministry, the blocks are expected to generate annual revenue of around Rs 360 crore, attract capital investment of about Rs 517 crore, and create direct and indirect employment for around 4,664 people. With these additions, a total of 125 coal blocks have now been vested or allocated under the commercial coal auction framework, with a combined PRC of 265.844 million tonnes per annum, expected to yield Rs 37,463 crore in annual revenue and provide employment to about 3.6 lakh people.

Winning bidders and bid outcomes

As per the results of the 12th round of commercial coal auctions announced earlier this year, Chitarpur (Revised) was awarded to Orissa Alloy Steel Private Limited, which offered a final bid premium of 14.75 percent. Phutamura was won by Alom Solar Private Limited with a final offer premium of 65.25 percent, while West of Tubed was awarded to Oriental Quarries and Mines Private Limited with an offer premium of 9.50 percent.

According to the Coal Ministry’s auction records, Senduri coal block was awarded to Sarda Energy and Minerals Limited. In the case of Tandsi III and Tandsi III Extension, Lloyds Metals & Energy Limited was the successful bidder.

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Boosting private participation and energy security

The issuance of vesting orders is a key administrative step that enables developers to begin mine planning, environmental and forest clearances, and infrastructure development for coal evacuation. The ministry said these actions reflect its continued focus on attracting private investment in the coal sector, augmenting domestic supply, and reducing import dependence.

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The inclusion of these five mines — particularly those with substantial geological reserves such as Tandsi III Extension and West of Tubed — underscores the government’s broader strategy to improve self-reliance in coal production. Together, they add to India’s growing portfolio of commercially auctioned mines that are expected to play a vital role in meeting the country’s expanding energy demand while adhering to sustainable mining practices.

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