India’s International Coal Ventures Limited (ICVL) is to invest some funds to enable its newly acquired coal blocks have improved logistics and infrastructure.
ICVL is intending to start making the investments in a period of two to three years, so that the mining production in the region may be able to go higher, and help the country’s economy further.
A senior official confirmed the reports and said that ICVL’s coal blocks would need supporting infrastructure for optimal mining production, including construction of a 500km railway network connecting pitheads to ports and roads for evacuation of production from the mines. Completion of the planned infrastructure will be very helpful in increasing production to around 12 million a year, with the company only having just one coal blocks in production in the country.
He also pointed out that, ICVL also has coal assets in Australia and the US, with reserves ranging between 30-million and 150-million tones and out of the coal blocks acquired, only one was in operation and it has brought home an estimated five-million tonnes a year.
ICVL was specifically set up with intention of ensuring security for domestic raw material production facilities by acquiring overseas assets.
It is formed by Coal India Limited, the country’s largest steel producer Steel Authority of India Limited, steel producer Rashtriya Ispat Nigam Limited, iron-ore miner NMDC Limited and power producer NTPC Limited.