Government to hold quarterly meetings on coal block buyouts abroad

NEW DELHI: With the gap between demand and supply of coal widening, the government is looking at mines abroad and will hold meetings every three months to monitor acquisition of coal blocks overseas.

The Coal Ministry will be "holding quarterly meetings to monitor acquisition of coal mines abroad," according to an official document.

Coal India (CIL), which accounts for over 80 per cent of the domestic coal production, has put together a war-chest of Rs 6,000 crore for acquisition of mines overseas.

Earlier, the Finance Ministry gave its approval for to public sector firm for buyout of overseas firms that are unlisted.

The company will take up three offers in Australia, Indonesia and the US, a CIL official had said earlier.

CIL is eyeing mines overseas to bridge the demand-supply gap which is likely to touch 200 million tonnes (MT) by 2016-17.

The gap in demand and supply of coal widened to 161.5 MT in the last fiscal.