Centre approves allocation of coal block in Odisha to Vedanta

New Delhi: The Ministry of Coal, after a long gap of 4 years, has approved the allocation of five Coal Mines. It includes allocation of Jamkhani coal block in Odisha’s Sundargarh district to Vedanta Limited.

This was the result of the electronic auction conducted by Ministry of Coal in first week of November. The Ministry had initiated the auction processes for 27 coal mines for Non-Regulated sectors previously.

The details of the five Coal Mines allocated are:



Name of Coal Mine State Extractable Reserves (Mt) Grade PRC


Successful Bidder
1 Bikram Madhya Pradesh 9.44 G-8 0.36 Birla Corporation Limited
2 Brahampuri Madhya Pradesh 12.343 G-6 0.36 Birla Corporation Limited
3 Bhaskarpara Chhattisgarh 24.06 G-7 1.00 Prakash Industries Limited
4 Jagannathpur B West Bengal 50.02 G-10 0.80 Powerplus Traders Private Limited
5 Jamkhani Odisha 114.98 G-11 2.60 Vedanta Limited


The significant feature of the allocations is that for the first time, the successful bidders shall have the flexibility to sell 25% coal produced in the open market. This will boost the coal production in the country and reduce the dependence of industries on imported coal. It is also envisaged that this step will generate huge revenue for State Governments where the mines are located in the form of Upfront Amount, Royalties and other applicable taxes.



Name of Coal Mine State PRC


Final Price (Rs./tonne) Revenue for 30 years*

(Rs Crore)

1 Bikram Madhya Pradesh 0.36 154 166.32
2 Brahampuri Madhya Pradesh 0.36 156 168.48
3 Bhaskarpara Chhattisgarh 1.00 1100 3,300.00
4 Jagannathpur B West Bengal 0.80 185 444.00
5 Jamkhani Odisha 2.60 1674 13,057.20

*excluding royalties, levies, and applicable taxes

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