The Economic Times daily newspaper is available online now.

    A Rs 1,000 cr company gets Rs 9,300 cr order from Coal India

    Synopsis

    The contract will primarily comprise of mine infrastructure development, removal of overburden and extraction of coking coal, processing, crushing and transportation of coal up to washery of CCL, carrying out R&R activities at Kotre Basantpur Pachmo OCP located in Ramgarh and Bokaro Districts, Jharkhand.

    coalAgencies
    The project has a total coal extraction capacity of approximately 105 million metric tonnes with an annual capacity of 5 million metric tonnes and overburden removal during the project period is over 539 MBCM.
    NEW DELHI: Shares of Power Mech Projects, an infrastructure company based in Hyderabad, surged 10 per cent after the firm bagged a Rs 9, 294 crore mine development and operation (MDO) project from Central Coalfields, a subsidiary of Coal India.

    The contract will primarily comprise of mine infrastructure development, removal of overburden and extraction of coking coal, processing, crushing and transportation of coal up to washery of CCL, carrying out R&R activities at Kotre Basantpur Pachmo OCP located in Ramgarh and Bokaro Districts, Jharkhand.

    The project has a total coal extraction capacity of approximately 105 million metric tonnes with an annual capacity of 5 million metric tonnes and overburden removal during the project period is over 539 MBCM.

    The concession period is 25 years including two years of development period with an option of extending the contract for a period of another 10 years with the consent of both the parties. With this, the total contract period will extend up to 35 years.

    The project has been awarded to a consortium of Power Mech Projects and AMR India wherein Power Mech is the consortium leader with 74 per cent equity stake and AMR India will hold 26 per cent stake.

    “This project is a strategic step forward in the company's journey, utilizing the technical know-how and further establishing the company's position. The material handling expertise of the company in project development combined with the technical expertise of AMR in the field of greenfield mining project development, will greatly help in the overall development of the project, which will result in achieving the targets given by coal mining and service agreement,” said Sajja Kishore Babu, chairman and managing director at Power Mech Projects.

    As of 10.50 am, the stock was up 10.35 per cent at Rs 737.25.



    (What's moving Sensex and Nifty Track latest market news, stock tips and expert advice, on ETMarkets. Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds .)

    Download The Economic Times News App to get Daily Market Updates & Live Business News.

    Subscribe to The Economic Times Prime and read the Economic Times ePaper Online.and Sensex Today.

    Top Trending Stocks: SBI Share Price, Axis Bank Share Price, HDFC Bank Share Price, Infosys Share Price, Wipro Share Price, NTPC Share Price

    ...more


    (What's moving Sensex and Nifty Track latest market news, stock tips and expert advice, on ETMarkets. Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds .)

    Download The Economic Times News App to get Daily Market Updates & Live Business News.

    Subscribe to The Economic Times Prime and read the Economic Times ePaper Online.and Sensex Today.

    Top Trending Stocks: SBI Share Price, Axis Bank Share Price, HDFC Bank Share Price, Infosys Share Price, Wipro Share Price, NTPC Share Price

    ...more
    The Economic Times

    Stories you might be interested in