Jaypee Cement bags mine in Madhya Pradesh, Ambuja in Chhattisgarh.

In another revenue bonanza from the ongoing auction of coal mines, the government recently garnered Rs. 5,164 crore from sale of two more mines to Jaypee Cement and Ambuja Cements with cumulative proceeds surging to Rs. 1.57 lakh crore. The auction for Ganeshpur mine in Jharkhand, which is meant for power sector, is still on.

On the fourth day of second tranche of ongoing auctions, in fierce biddings that lasted for hours, Ambuja Cement clinched Gare-Palma Sector-IV/8 block in Chhattisgarh while Jaypee Cement CorporationBSE 0.13 % grabbed Mandla-South block in Madhya Pradesh.

'Gare Palma IV/8 closes at Rs. 2,291. Ambuja Cements is highest bidder. Jaypee Cement highest bidder at Rs. 1,852 for Mandla South,' Coal Secretary Anil Swarup said. These two mines would contribute a cumulative Rs. 5,164 crore to the state exchequer. The government generated a revenue of Rs. 1.52 lakh crore till Saturday that included over Rs 1 lakh crore from auction of 19 mines in the first round.

Two more coal blocks - Utkal C and Lohari - will be put up for auction when bidding starts on Monday. The amount of proceeds has been calculated based on extractable reserves and highest bid price. 'Auction for Ganeshpur block, which is for power sector, began at 11 am with Rs 100 bid. For Mandla South, the auction began at Rs 1,850 per tonne while for Gare PalmaIV/8, it started at Rs 1,675 per tonne,' an official told PTI.


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