5 DEC, 2012, PTI
NEW DELHI: After scrapping its Bolivia plans, private steel firm Jindal Steel and Power is scouting for coal properties in other geographies including South Africa and Mozambique.
"We are also looking at many other parts in the world. We have acquired mines in South Africa, Mozambique and Botswana. We have also got coal mining licenses in Australia and we are looking at resources in many other countries for both coal and iron ore," Sushil Maroo Director and Group CFO Jindal Steel and Power Ltd told reporters at an Assocham event.
In July, the company terminated its $2.1 billion mining and steel venture in Bolivia over fuel supply issues.
"Bolivia was a very ambitious project, it was the largest investment envisaged in Latin America by any Indian company, $2.1 billion," Maroo said.
He added the project could not come through due to issues such as non-availability of raw material etc.
The company's project, signed in 2007, consisted of 40-years mining rights of El-Mutun mines, which is estimated to hold 20 billion tonnes of iron ore reserves.
JSPL is also building a 6,000 MW hydro power project in Arunachal Pradesh, the first unit of which is likely to be commissioned by 2020.
"We are setting up a 6,000 MW plant in Arunachal Pradesh, we are awaiting clearances and then will approach the electricity boards for PPAs (power purchase agreements) and thereafter the financial closure. The first unit is likely by 2020," he said.
On asked whether JSPL is looking at a joint venture in the hydel power generation space, Maroo said, "We are not looking for any equity participation in our hydro projects."
The company is of the view that the proposed coal block auction should commence after addressing certain issues including quality of mines.
"Price (of mines) will depend on the quality of the mine, clearances which are available, the rehabilitation issues, cost of mining etc.," he added.
He also pressed for enhancing domestic production of coal instead of relying on imported fuel as it would put massive pressure on forex reserves.
"If we are also importing coal in a big way after crude...a lot of foreign currency will go away and if it is not matched by the export in this country then there will be pressure on the rupee.
"...and then the rupee will depreciate over a period of time. So, it is all the more important for us that we reduce the dependence on import for the sector where we have the availability in the country," he further said.
However, he admitted that the immediate need is to resort to import of coal.
NEW DELHI: After scrapping its Bolivia plans, private steel firm Jindal Steel and Power is scouting for coal properties in other geographies including South Africa and Mozambique.
"We are also looking at many other parts in the world. We have acquired mines in South Africa, Mozambique and Botswana. We have also got coal mining licenses in Australia and we are looking at resources in many other countries for both coal and iron ore," Sushil Maroo Director and Group CFO Jindal Steel and Power Ltd told reporters at an Assocham event.
In July, the company terminated its $2.1 billion mining and steel venture in Bolivia over fuel supply issues.
"Bolivia was a very ambitious project, it was the largest investment envisaged in Latin America by any Indian company, $2.1 billion," Maroo said.
He added the project could not come through due to issues such as non-availability of raw material etc.
The company's project, signed in 2007, consisted of 40-years mining rights of El-Mutun mines, which is estimated to hold 20 billion tonnes of iron ore reserves.
JSPL is also building a 6,000 MW hydro power project in Arunachal Pradesh, the first unit of which is likely to be commissioned by 2020.
"We are setting up a 6,000 MW plant in Arunachal Pradesh, we are awaiting clearances and then will approach the electricity boards for PPAs (power purchase agreements) and thereafter the financial closure. The first unit is likely by 2020," he said.
On asked whether JSPL is looking at a joint venture in the hydel power generation space, Maroo said, "We are not looking for any equity participation in our hydro projects."
The company is of the view that the proposed coal block auction should commence after addressing certain issues including quality of mines.
"Price (of mines) will depend on the quality of the mine, clearances which are available, the rehabilitation issues, cost of mining etc.," he added.
He also pressed for enhancing domestic production of coal instead of relying on imported fuel as it would put massive pressure on forex reserves.
"If we are also importing coal in a big way after crude...a lot of foreign currency will go away and if it is not matched by the export in this country then there will be pressure on the rupee.
"...and then the rupee will depreciate over a period of time. So, it is all the more important for us that we reduce the dependence on import for the sector where we have the availability in the country," he further said.
However, he admitted that the immediate need is to resort to import of coal.
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