July 25, 2008

NTPC looking to buy coal blocks overseas

UPI reported that National Thermal Power Corp is looking to buy coal blocks in Indonesia, Mozambique and South Africa to bridge the fuel supply shortfall.

Mr Ram Sharan Sharma MD of NTPC said that "We have ambitious capacity addition targets and the priority for me is to secure fuel supplies. We are exploring the possibilities to coal mines in Indonesia, Mozambique and South Africa.” He added that NTPC requires about 5 million tons of coal for its projects.

NTPC imports about 2 million tonnes of coal out of its total requirement of 110 million tonnes to fire its thermal power plants. It is looking at buying coal mines abroad that can give up to 20 million tonnes of coal yearly.

NTPC has formed a joint venture firm Coal Ventures International Ltd, with Steel Authority of India Ltd, Rashtriya Ispat Nigam Ltd, Coal India Ltd and National Mineral Development Corp to acquire coal mines overseas.