Coalgate: Himachal EMTA, JSW Steel mine de-allocated

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The Coal Ministry has de-allocated the coal block allocated to the joint venture company of Himachal EMTA Power Corporation Limited and JSW Steel Limited. It also deducts 50 per cent of their bank guarantee (BG).

Earlier inter-ministerial group (IMG) had recommended de-allocation of Gourangdih ABC block in Raniganj, West Bengal, which was allotted to JSW Steel and Himachal EMTA Power Ltd on July 10, 2009. In its report IMG had found that the progress on the Gourangdih ABC coal block in West Bengal was unsatisfactory.

In a letter, the Coal Ministry informed Himachal EMTA and JSW Steel that it had decided to accept the recommendations of the IMG and would not only de-allocate the coal block, but also deduct 50 per cent of the BG, which amounted to Rs 6.67 crore.