February, 22 2006
TATA Steel decides on Seraikela for new steel complex
It is reported that TATA Steel has identified Seraikela area in Jharkhand for setting up 12 million tonne per annum Greenfield plant. Seraikela area is close to the iron ore belt and about 35 kilometers from Jamshedpur. The company had sought roughly 6000 acres for setting up its second plant in Jharkhand while an additional 4000 acres would be required for a township and waste disposal.
TATA Steel MD Mr B Muthuraman told reporters that suitable land for the proposed plant has been identified in Jharkhand following a survey undertaken by the company. He said once the survey was over, the company would apply to the Jharkhand government for land. Mr Muthuraman said the construction of the plant would take nearly four years and that the work was progressing as per schedule.
JSW in talks to buy coking coal mines overseas
JSW Steel Ltd is in talks to acquire stakes in coal mines in Australia and Canada to meet its future energy needs, said a senior company official. "We have identified seven mines for potential acquisitions. We have a sum of $30 million for this purpose," Mr Seshagiri Rao MVS, the company's finance director told Dow Jones Newswires in an interview.
Mr Rao said JSW Steel will likely buy a 5% to 20% stake in each of possibly two mines which would provide the Indian company with about 3.5 million tons of coking coal per year.
JSW needs the additional coal as it undertakes an expansion plan to increase steel capacity to 7 million tons by fiscal 2008-09 from 2.5 million tons currently. While the additional coal from Australia will be used by the company, any Canadian acquisition would act as a hedge against possibly higher coal prices in the future.
Arcelor to tie up with JBM for an auto unit in India
It is reported that Arcelor is teaming up with auto part manufacturer JBM group. The companys spokesman said that with its abundant natural resources, India is a "strategic priority" for Arcelor. The spokesman said, To complete this partnership, Arcelor is in discussion with an Indian partner, car component manufacturer JBM group, with the aim of creating a car welding plant together in Delhi or Puna.
Arcelors Chief, Guy Dolle had said, We would continue to grow in countries where its presence is now minimal or non existent, especially China, India, Russia and eastern European states. India is one of the first countries on Arcelor's strategic agenda especially because of the country's wealth of natural resources, notably iron ore.
Steel wire rope makers ask higher import duty
The Steel Wire Manufacturers Association of India has urged the Union government to raise the import duty on steel wire and wire rope to 15% and to treat steel wire as a manufactured item.
The association said net import of steel wires and wire ropes between April and September 2005 crossed 21,090 tonnes against 31,690 tonnes for the full year April 2004 to March 2005. It expects the imports to top 40,000 tonnes during the full financial year 2005-06, which would be an increase of 27% on the figure for the preceding year.
The association said that its members have been severely impacted by the import of cheaper ACSR core and PC wire via Nepal. It said many international wire manufacturers are routing their products to India via Nepal to take advantage of the MFN treaty between India and Nepal. Chinese wire rope prices are up to 30% less than those of Indian wire rope. Also, users do not have to bear the cost of sales tax and VAT on these imports.
Chhattisgarh government refuses to make TATA MoU public
The Chhattisgarh government refused to make public a MoU of TATA Steel for setting up an integrated steel plant in tribal Bastar region. State Finance Minister Mr Amar Agrawal said the deal contained a clause stipulating that details could not be provided to a ''third party'' without consent of both parties concerned. The minister maintained that there was no violation of the industrial policy. Whenever any concession was granted to TATA Steel, it would be notified.
However, Mr Agrawal agreed to show the deal to opposition leaders. ''We are ready to show it to the leader of the opposition and the questioner in the speaker's chamber but it cannot be made public,'' he added.
Industry in Punjab seeks cut in import duty on alloy steel
Engineering industry in Punjab has asked the government to reduce import duty on alloy steel and tax concessions for a reduction in input costs, which they feel is pertinent to remaining competitive in domestic as well as global market.
"We want the government to reduce duty on alloy steel by 5% in the coming budget as it is a key input for auto parts, hand tools and other light engineering industry," Engineering Export Promotion Council Regional Chairman Mr SC Ralhan said.
Orissa government reports loss of 64 crores in MCL blockage
It is reported that Orissa government has suffered a loss of Rs 64 crore because of the blockade of Mahanadi Coalfields Limited mines for several days in January when residents of Kalamchhuin village stopped work in the Hingula and Kalinga open cast mines demanding acquisition of their village by MCL. Besides, work in all mines of MCL was stopped due to a two day bandh call from January 27.
Minister for Steel and Mines Padmanabha Behera said that MCL had provided all benefits to the displaced persons as per the State Governments R&R policy of 1989, the agitators stopped work in mines by placing exaggerated demands.
BJP member opposes setting up steel plant at Bastar
BJP government in Chhattisgarh today faced an embarrassment in the Assembly when a party legislator opposed the setting up of a steel plant at Tata at Bastar and demanded change in site. "People of Bastar are angry that the TATA is planning to set up its proposed steel plant in a place which is not only prosperous but also having high density of population, tribal MLA from Bastar Mr Lachchuram Kashyap told the state assembly.
Opposing the statement of Finance Minister Amar Agrawal that the steel plant was proposed in Bastar so as to remove underdevelopment from that area, Mr Kashyap said when the local people are opposing the plant to be set up in that area, why it was not being moved to a place which is underdeveloped and more poorer.
Arcelor acquires 88.38% of Dofasco's Common Shares
Arcelor SA and Dofasco Inc announced that 69,563,143 common shares of Dofasco including shares deposited by guaranteed delivery, representing 88.38% of the Dofasco common shares outstanding on a fully-diluted basis, were deposited to Arcelor's offer to acquire all of the outstanding common shares of Dofasco for CAD$71.00 in cash per Dofasco common share by the expiry time of the offer on February 20, 2006.
All of the conditions of the offer now being satisfied, Arcelor's wholly-owned subsidiary, 4313267 Canada Inc, has taken up all of the Dofasco common shares that were deposited to the offer. Payment for such Dofasco common shares is expected to be made on or prior to February 23, 2006.
In order to provide Dofasco shareholders who have not yet accepted the offer with more time to do so, Arcelor has extended the expiry time of the offer to 8 PM Toronto time on March 7, 2006.
"Today, Dofasco becomes the centre of Arcelor's growth strategy in North America, and cornerstone of our continued worldwide leadership in the market for automotive steel" said Mr Guy DollCEO of Arcelor. "I am delighted to welcome the employees of Dofasco into the Arcelor family and to reinforce our commitment to the community of Hamilton."
"The coming together of our two companies is a partnership that will create significant, long-term opportunities for growth in an increasingly competitive global industry," said Mr Don Pether, President and CEO Dofasco. "We will be positioned to offer our customers an enhanced range of solutions in steel, and thereby to create significant value", he continued.
Mittal Steel SA will not renew assistance deal with parent
Mittal Steel SA will not renew its earlier business-assistance agreement with its parent group, closing the book on a year of shareholder uncertainty over the controversial scheme. Mittal Steel SA CEO Mr Davinder Chugh said for the first time publicly last week that the steel maker and its global parent had decided against renewing the scheme or introducing a similar one. The proposed renewal of the program terminated in 2004.
Mittal Steel SA has paid its global parent for assistance in achieving savings under the agreement. The original deal saw Mittal Steel SA paying R1.34 billion to the Mittal group in exchange for assistance that effected savings worth R1.98 billion.
However Mr Chugh expected the global parent to continue providing assistance to the South African steel maker, regardless of the fact that it was now not receiving direct remuneration for this.
BlueScope rules out Port Kembla sell-off
BlueScope Steel has ruled out any chance its Port Kembla steelworks, on the NSW south coast, could be sold off. BlueScope Steel MD Mr Kirby Adams says surging iron ore and coal prices have added an extra $120 million in input costs. Mr Adams said that this has reduced significantly margins in the Port Kembla steel making operations.
But he said that the long term viability of the steelworks is not in question. "We're obviously looking forward to potentially re-lining the number five blast furnace in the next couple of years and we're also comforted by the fact that the latest data that was presented relative to calendar year 2004, the Port Kembla steelworks as well as our New Zealand steel operation were named in the lowest cost terms of the global steel industries," he said.
Poison pill strategy may breach EU rules
It is reported that France is preparing to push European Union takeover rules to their limits again by giving companies the right to use so-called poison pill defenses to rebuff hostile takeover bids. The new rules allow companies subjected to a hostile bid, or expecting a possible raid, to issue warrants convertible into shares at a discounted price to existing shareholders, making any offer more expensive and encouraging friendly talks. But by letting companies use poison pills to ward off bidders, that do not have access to similar measures, the French government seems to be going against the spirit.
Mr Thierry Breton, finance minister, told the senate "To think we can keep economic activities in France by opposing any change in their ownership would be a great mistake." Instead, he said he aimed to "give French companies the ability to defend themselves on equal terms".
Mr Charlie McCreevy, the European Union internal market commissioner, hit out at countries such as France and Luxembourg that are preparing to grant companies generous use of poison pill defenses. EU intended any poison pill measures to be reciprocal, applying only if the bidder also had access to similar defense strategies. Mr McCreevy said: "While these measures may be in line with the EU takeover directive, I believe they are contrary to the spirit of the movement of capital," he said in a reference to EU laws guaranteeing the free movement of capital across the 25 member states. The commissioner said: "I believe it's looking backwards instead of forwards," adding that such moves was "the wrong message to be sending about the openness of the EU to new investment".
SMT to open a SS tube mill in Mexico
Samuel Manu Tech Inc has announced a strategic expansion into Mexico. The new entity will be known as Samuel Tube of Mexico (Tubos Samuel de Mexico SA de CV) and will be a subsidiary of Associated Tube Industries Division. The new facility will allow SMTs company ATI to partner with key regional customers and will generally expand the geographic reach of ATI's products.
Samuel Tube of Mexico will consist of a production facility in Saltillo. The new plant will produce specialty engineered stainless steel tubing for a broad range of customers including automotive accounts. The plant is expected to be fully operational by July 2006.
Samuel Manu Tech Inc. is a leading North American industrial products company producing and distributing a wide range of steel, plastic and related industrial products and services from locations in Canada and the United States.
Mittal Steel confirms iron ore MoU with Senegal
Mittal Steel has confirmed a MoU between the Senegalese government and itself for the development and production of iron ore in that country. Mittal Steels corporate communications manager Mr Paul Weigh said that the MoU gives the company access to around 700 million t of iron ore in the Faleme region in south-eastern Senegal.
In addition to exploration in the region, Mr Weigh reported that the deal between the Senegalese government and Mittal Steel also covers the construction of new railway lines between Faleme and Tambacounda, and between Faleme and Dakar. A new port is also to be constructed at a mutually-agreed site near state capital Dakar. However, he said that Mittal Steel could not give any further specifics, as it is currently preparing a detailed feasibility study, which will be completed before the end of the year.
Meanwhile, South African miner Kumba Resources is also involved in some early stage prospecting work on the Faleme resource as part of plans to advance the project to a bankable feasibility study stage. Last week, CEO Mr Con Fauconnier told journalists that Kumba is concerned that the agreement between the Senegalese government and Mittal might infringe its rights in that country and said that a legal and technical team had been appointed to assess whether or not the companys rights had been affected. Kumba spokesperson Mr Trevor Arran said that Kumba had not yet accessed the MoU and that it would only be able to comment further once it had established what the exact situation was.
Samarco plans to export 14 million tonnes pallets in 2006
BNAmericas has reported that Brazilian iron ore pellet maker Samarco plans to export 14.1 million tonnes of pellets in 2006, the same level as last year citing company president Mr Jos Tadeu de Moraes. Samarco, which exports all of its output, already has made deals to sell this year's production and "is producing at capacity," Mr Moraes said.
"The Asian market last year accounted for 50% of our sales, while China alone was responsible for 31%," Mr Moraes said. "Around 24% of our production went to the Middle East and Africa, 17% to Europe and 10% to Argentina."
This year's sales destinations will look similar to 2005. "For 2006 our distribution trend is expected to remain the same as in 2005, maybe with some minor changes with no major impact, since we have long-term contracts with our customers - we do not have one-year contracts," Mr Moraes said.
Samarco is a 50:50 JV of CVRD and BHPB.
Rescue worker loosing hope for survivors in Mexican Mine
Mexican rescue workers have failed to make contact with 65 miners trapped in a coal mine for more than two days, diminishing the chances that there will be any survivors, government officials said. They only had oxygen for a few hours and we are now at practically two and a half days,'' said Mr Raul Rivera Palacios, director of emergency administration at the Interior Ministry.
Grupo Mexico SA, the company that runs the mine near the US border, has brought in US experts to assist in the rescue. Rescuers had progressed about 500 meters into the mine and may have to travel at least double the distance to reach the miners. They are working with picks and shovels,'' said Mr Javier Montoya, a spokesman for the local miners union in Coahuila. Everything is progressing very slowly.''
NLMK completes the acquisition of 25% stake in KMA Ruda
Novolipetsk Steel has completed the acquisition of an additional 25.37% stake in KMA Ruda from companies affiliated to the shareholders of Lebedinsky GOK. As a result of this transaction NLMK now has a controlling stake of 58.26% in KMA Ruda.
This acquisition goes in line with NLMK's strategy of developing and consolidating the vertical integration of the Group.
S&P cuts Dofasco ratings on Arcelor purchase
Standard & Poor's cut Canadian steelmaker Dofasco Inc's debt ratings after Arcelor SA said it had acquired more than 88% of Dofasco shares. Downgrades usually raise a company's borrowing costs. S&P cut Dofasco's investment-grade rating one notch to "BBB" from "A-minus," making it equal to Arcelor's current rating.
S&P also said it revised Dofasco's outlook to developing from negative pending the outcome of the unsolicited bid by Mittal Steel for Arcelor and the possible subsequent sale of Dofasco to ThyssenKrupp AG. "The outcome for the ratings on Dofasco depends entirely on the as-yet-unknown sequence of events and ultimate rating outcomes for Mittal, Arcelor, and ThyssenKrupp," S&P said in a statement. If ultimately acquired by ThyssenKrupp, Dofasco's ratings would be cut to "BBB-minus," equal to the new parent, S&P said.
Coal miners in Liaoning survive two days in collapsed shaft
Seven coal miners trapped for more than two days in a collapsed shaft have been hauled out alive. The miners were trapped on Saturday night after sections of the mine in the northwestern province of Liaoning collapsed.
Rescuers built a 29-metre tunnel through the rubble to reach the trapped miners early on Tuesday morning.
The cause of the accident is still being investigated.
SA gold miners challenge Mittal Steel SAs pricing mechanism
It is reported in a mining journal that lawyers for gold miners Harmony and DRD Gold are finalizing their arguments ahead of a Competition Tribunal hearing into their allegations that South Africa's leading steel producer, Mittal Steel SA, is engaging in excessive pricing in the domestic market. The hearings, which will take place in Tshwane from March 15 to April 5, arose after the two gold miners directly referred the case to the tribunal, after an extensive Competition Commission investigation failed to prove abuse of dominance by Mittal, then Iscor.
Harmony CEO Mr Bernard Swanepoel said yesterday that it raised the appeal as it felt the commission had erred. It was also keen to proceed on appeal given that Harmony's and DRDGold's costs were being materially affected by what he saw as unacceptably high domestic steel prices. As Harmony, we spend between R400 million to R500 million a year on steel and, over the last five years, we have spent R1.5 billion on steel alone, Mr Swanepoel reported. He also said that, while the case was likely to cost about R3 million to R5 million, there was a significant cost in leaving the status quo. He revealed, for instance, that an internal calculation, based on price increases of the last three years, showed that, by excluding what Harmony perceived to be excessive pricing and applying a 6% inflation to the 20 year plus remainder of its life of operations, it would be paying R1.7 billion more on steel than was necessary.
Mr Cliff Dekker advocate revealed that he would argue that Mittal Steel's use of excessive prices stems from its exercise of 'market power', arising from its 'super dominant' position in the flat-steel market, where it has an 84% market share. And that this dominance does not arise from innovation or risk-taking but from State support, including infrastructure, and access to input materials at cost. Evidence would also be led to show that that Mittal Steel regulates the market through a series of complex and nontransparent arrangements, particularly its joint venture with Macsteel, Macsteel International, which ringfences steel destined for export so as to prevent 'arbitrage'.
Mittal Steel South Africa spokesperson MrTami Didiza refused to comment on the case, saying only that it respected the Competition Tribunal and its processes. With that respect, we cannot comment on any issue that is before it, Mr Didiza said.
KKB to buy Sarawak Enterprise steel operations
Malaysian KKB Engineering Bhd plans to acquire the entire steel manufacturing operations of Sarawak Enterprise Corp Bhd SECB and has signed a MoU with SECB to buy the entire issued and paid-up capital of Sarwaja Timur Sdn Bhd. The proposed acquisition is subject to the approval of the Securities Commission and other relevant authorities.
KKB's board of directors believed that Sarwajas operations would provide synergies with KKB groups existing and expanding operations, the company said in a statement. During the tenure of the MoU, which is valid for six months, both parties will negotiate to enter into a share sale agreement for the proposed acquisition, it added.
Sarwaja is involved in the manufacture, fabrication, galvanizing of steel structures.
KKBs subsidiaries, Harum Bidang Sdn Bhd and KKB Industries (Sabah) Sdn Bhd, are both involved in the manufacture of mild steel cement lined pipes and pipe specials.
Iluka posts net loss in 2005
Iluka Resources Ltd says its underlying business will fare better in 2006 than in 2005 after the company booked an annual net loss. Iluka posted a net loss of $85.9 million after including asset write downs and provisioning costs of $217.8 million. This compared to 2004's annual net profit of $89.3 million. If the one off charges were excluded, the net profit of $131.9 million was a 39.1% improvement.
MD Mr Mike Folwell said despite the disappointing financial results the company's underlying businesses were in good condition. "The good news is that without the write downs we have a very strong profit result," he said. "The underlying business performed very well and we are looking to do better in 2006 than 2005."
The company said it expected a net profit for 2006 ranging between $115 million and $125 million, assuming a $A/$US spot exchange rate of 76 US cents and assuming third quarter commissioning of the Murray Basin.
Territory Iron gets approval for Frances Creek iron ore project
Perth based Territory Iron has announced approval of the development of its Frances Creek iron ore mine in the Northern Territory following a preliminary feasibility study, which highlighted the strong economic viability of the project.
Territory Iron MD Mr Doug Stewart said that the company was reviewing its options for funding the mine and that direct capital costs were estimated to be $10 million. "Our aim now is to firm up the numbers in the feasibility study, finalize negotiations with contractors and construction engineers, and commence mining operations as quickly as possible." Mr Stewart said that the decision to mine at Frances Creek also reflected the strong market demand for iron ore and current high iron ore prices. He said the proximity to existing road and rail infrastructure, and soon to be completed port facilities at Darwin were important commercial advantages for the project.
Chinese thermal coal miners & buyers facing pricing dispute
Disagreements over coal prices between Chinese coal producers and power generators are still going on, and more than 80% of China's power-coal contracts have not yet been secured for this year.
So far, power producers in China have been able to secure less than 20% of this year's coal contracts, said Mr Yang Linjun, general engineer with Zhongneng Power Industry Fuel Co, which helps arrange coal supplies for the nation's top five electricity producers such as Huaneng and Datang. "These finished contracts, totaling 110 million tons of coal, were inked at the same price as in the fourth quarter of last year," Yang yesterday told China Daily.
At the annual coal-ordering conference hosted to secure coal supplies for electricity generators at the beginning of last month, only 6 per cent of the coal supply contracts required by the country's power generators were finalized, said Mr Wang Yonggan, secretary-general of the industry association of China's electricity producers. Almost two months later, the country's top five power producers still haven't reached agreements with the giant coal firms like Shenhua and China Coal for the bulk of their coal supplies, said Yang. "Most of the 20% contracts were signed between the small power generators and the small coal producers in the local areas," Yang said yesterday.
The unparalleled pricing mechanisms of the market based coal and government-controlled electricity are at the source of coal price disputes between the coal power sectors. Most coal producers are demanding at least 20 yuan ($2.5) more for a ton of coal contracted to power firms, Mr Yang said.
Coal mine cave in kills two in Shaanxi province
Two miners were confirmed dead in a coal mine collapse Monday in northwest China's Shaanxi Province, and five others remained trapped, the local government said Tuesday. The accident occurred at 11AM Monday at Shuimogou mine in Zhenba County of the Hanzhong city, trapping all the five miners working in the pit, a spokesman with the county government said, adding that rescue work is going on.
Shuimogou mine is properly licensed and has just finished a safety overhaul said the local workplace safety watchdog.
S&P lowers Megasteel rating
Standard & Poor's Ratings Services has lowered its corporate credit rating on Megasteel Sdn Bhd to SD (selective default) from B+/Stable/--. The corporate credit rating on Megasteel is subsequently withdrawn at the request of the company, S&P said in a statement.
At the same time, the preliminary rating on the proposed US$600 million (RM2.2 billion) senior secured notes to be issued by Megasteel Harta (Labuan) Ltd, a special purpose financing vehicle that is wholly owned by Megasteel is also withdrawn as the bond did not materialize.
S&P said the move follows Megasteels failure to make principal repayment of RM296 million ($80 million) when it was due on December 31 2005, as part of its $400 million (RM1.5 billion) equivalent syndicated facility. The payment default was not cured after the specified remedial period and remains outstanding. The company could not make the required payment because of the deferment of the proposed US$600 million (RM2.2 billion) senior secured notes and the weaker performance resulting from a softer steel market and product prices, S&P added.
It said Megasteel stated that it is current in interest payments of the syndicated facility and in all scheduled payments of other debts.
AK Steel to raise aluminum coating prices
AK Steel Holding Corp said that it will raise its prices for aluminum coatings by 50% due to high aluminum costs. AK Steel said the price hikes take effect April 1 and will be added to the company's current pricing extras for all aluminized carbon and stainless steel products.
TopAztec Resources agrees Koolan Island Mining Pact
Aztec Resources said that an agreement in principle has been reached with the Dambimangari People's negotiation committee represented by the Kimberley Land Council, the Native Title Claimants to Koolan Island. Under the terms of the co-existence agreement, the Dambimangari People representatives have agreed to the conduct of mining operations and infrastructure works and the grant of Mining Leases and Miscellaneous Licenses for the establishment of the Koolan Island Iron Ore Project.
Final sign-off on the agreement remains subject to the authorization process under the Native Title Act by the Dambimangari People, which is expected to occur in early March 2006.
The chairman of Aztec, Mr Ian Burston said "that shortly after the signing of the Agreement and receipt of environmental approvals, we expect the necessary Mining Leases and Works Approvals to be granted to enable Aztec to commence construction and development work on Koolan Island."
Metso to Supply Separation Equipment to LKAB in Sweden
Metso Minerals will supply flotation machines and magnetic separators to the concentrating plant of the KK4 system expansion project at LKAB Kiruna Sweden. The value of the order is Euro 9.2 million. The estimated start-up of operation is the first quarter of 2008.
The Metso Minerals delivery comprises low intensity magnetic separators (LIMS), flotation machines, pumps and auxiliary equipment. The system will be used to upgrade the iron ore and reduce the phosphor content.
The delivery is part of LKAB's overall expansion of the mine and production facility in Kiruna. Earlier this year Metso announced an order worth EUR 65 million for a Grate Kiln system to the same Kiruna plant.
Headquartered in Lulea, Sweden, LKAB is the leading European producer of upgraded iron ore products for steelmaking and had net sales of Euro 975 million in 2004.
Metso is a global engineering and technology corporation with 2005 net sales of approximately Euro 4.2 billion.
Shangdong reports great achievements in coal mine safety
East China's Shandong Province reported remarkable achievements in coal mine production safety last year with sharply decreasing accidents and deaths. The aggregate raw coal output in Shandong amounted to 131 million tons last year without any serious coal mine accidents, said Mr Wang Ziqi, head of the provincial bureau of coal mine safety supervision.
The official said the death toll of coal mine accidents in Shandong dropped to 33 in 2005 and no accidents involved more than three deaths. The death rate for every one million tons of coal was already reduced to 0.25, compared with the country's average of 2.81.
Farmers worried about BHP Billiton coal exploration plans
Farmers on the Liverpool Plains in New South Wales say they are worried about their future with BHP Billiton granted a new coal exploration license. BHPB has a 5 year license to search for coal in the Caroona region near Gunnedah.
But David Walker from the Liverpool Plains Land Management Committee says aquifers in the valley could be destroyed if mining goes ahead. He says irrigators are already struggling to cope with cutbacks to water allocations and a dispute over compensation. "The irrigators have already had a pretty big hit over this and the type of coal mining which I think they're proposing is long wall coal mining where they take a five meter slice out from way down under the ground and then let the land subside behind it," he said. "We're very worried that the shattering of the rock that'll happen when this strata subsides will basically wreck the aquifers and we'll lose the water which will have an impact all the way down the Namoi Valley."
BHP Billiton will hold community consultation in an attempt to ease the concerns of landholders.
US Company shows interest in coal mining in Thar
It is reported in a local daily that a US Benoy Corporation has showed interest in coal mining in Thar region of Pakistan and installing 2000 MW coal power plant. A delegation of US Benoy Corporation met the Provincial Minister for Minerals Mr Irfanullah Khan Marwat and said that their company will complete any formality as would be required in this regard.
Mr Marwat said that the Sindh Government will extend all help in their project because installation of power plant will greatly help increase power generation. He told them to complete the required formalities, visit the site, finalize the feasibility report, and submit bank feasibility and this will be followed by signing of MoU.
