Quick nod for PSU cos buying coking mines in Australia

NEW DELHI: The long wait by PSU steel companies for securing coking coal mines abroad may end with Australia. The Australian government has assured India that it would expedite the process of stake buy in coking coal firms and mines by Indian companies including SAIL, RINL and NMDC. These firms are looking at coal properties in other countries to secure raw material linkages crucial for maintaining an edge in a competitive market.

“Australian federal minister for industry, tourism and resources, Ian McFarlane, has assured all possible help in fast-tracking these acquisition ventures, which are critical for India’s capacity-expansion in the steel sector,” steel minister Ram Vilas Paswan said Thursday. He is leading a high-level delegation to Australia.

Mr Paswan also expressed confidence that after this visit, the PSU companies may move ahead and acquire equity in Australian coal mines. In return for the Indian investment in Australian mines, India would also facilitate mining giants like BHP Billiton and Rio Tinto and other mining companies to expand their presence in the country.

The nations also agreed to constitute teams of officials to carry forward the dialogue. The possibility of sourcing key materials like nickel, ferro manganese and silico manganese were also explored. Mr McFarlane also assured his country’s help to enable Indian fertiliser companies begin operations in Australia when LNG supply becomes available in near future, Mr Paswan said.

Mr Paswan met deputy premier of western Australia Eric Ripper at Perth and senior officials of the chambers of mines and minerals and held detailed discussions on enhancing mutual cooperation in the mineral sector. The delegation includes SAIL chairman SK Roongta, NMDC director VK Jain and steel ministry officials.