NALCO gets mining lease of Utkal-D coal block in Odisha

Kolkata: National Aluminium Company Limited (NALCO), a leading domestic producer of alumina and aluminium has been granted mining lease of Utkal-D coal block by the Odisha government. The permission came through a notification issued on April 16 by the state's department of steel & mines, an official statement said. As per the notification, the mining lease of Utkal-D coal block is over an area of 301.28 hectares in Kosala, Nandichood, Similisahi & Raijharan villages in Angul district.

NALCO is considering to open Utkal-D coal block in the financial year 2020-21 after execution of the mining lease deed. The initial capacity of Utkal-D coal block will be around 2 million tonnes per year with a total mineable reserve of 101.68 million tonnes. The lease granted for Utkal-D will be valid for 30 years, the statement added.

The operationalization of Utkal-D coal block will contribute significantly to the bottom line of the company, according to Sridhar Patra, CMD, NALCO. “For a power intensive industry like aluminium, it is very essential to have a secure supply of coal. I hope with the mining lease in place, it will usher in a new era of development for the company”, he said.


The Utkal-D coal block was allocated to NALCO in May 2016. NALCO is also in the process of obtaining mining lease grant of Utkal- E coal block which had been allocated to NALCO along with Utkal-D coal block in May 2016. Upon Operation of both Utkal-D & E, NALCO will be able to produce 4 million tonnes coal per year.