Cabinet clears coal enhancement facility at Mahanadi

New Delhi, Apr 18 (UNI) The Cabinet Committee on Economic Affairs (CCEA) at its meeting held here today, approved the enhancement of coal production in two mining projects under Mahanadi Coalfields Limited (MCF) in Orissa.

Briefing newspersons, Union Minister for Science and Technology Kapil Sibal said the Cabinet gave its approval to invite tenders for Kaniah Opencast Coal Mining project for outsourcing coal production and removal of overburden for 10 million tonnes (MT) per year capacity.

He said on completion in 2008-09, the project will produce F grade coal which will also be supplied to the Rajiv Gandhi Super Thermal Power Station (STPS) and National Thermal Power Corporation (NTPC).

Mr Sibal said the Cabinet gave its consent for floating tenders for Bhubaneshwari Opencast Project for outsourcing coal production and removal of overburden and for construction of a 20 MT capacity coal head pit capacity from its present level of 10 MT per year.

The Science Minister said on completion in 2014-15, the project will produce 20 MT of F grade coal per year which will be supplied to NTPC and State Thermal Power Stations.

UNI/BKS PA RS1644