Colombia coal to fulfill captive requirement: Monnet Ispat

Written By Unknown on Jumat, 23 November 2012 | 15.45

Monnet Ispat is close to acquiring a coking coal mine in Colombia and CMD, Sandeep Jajodia expects to use the coal for captive requirement as well as for trading. He further elaborated that domestic steel prices have been rangebound in the recent past and hopes the worst is over.

Jajodia added, the Utkal B2 coal block has made good progress and extraction from the mine can be expected soon.

Also read: Why are private power cos upset with new coal supply pact

Here is the edited transcript of the interview on CNBC-TV18.

Q: Update us on the acquisitions you are making, we understand you are close to a coal mine acquisition in Colombia. Tell us about even the previous mine acquisitions that you have been attempting?

A: We being a mineral and metal company we keep looking out for mineral assets across the world. The last acquisition we had made was in Indonesia, it was a 25,000 hectare mine and it is a very nice coal mine which we got very cheap. We are right now developing the mine and we hope to start commercial production by March 2013. That is one mine which we are looking forward to.
 
The other one we are close to signing up is a coking coal mine in Colombia. Colombia has a very high grade coking coal and this is to feed our new integrated steel mill which we are setting up now. It will play for captive requirements as well as for trading coal. We have been discussing with them for a while and we hope to close that deal in about a month's time.

But, it is difficult to give more details on that right now because you never know unless you actually sign up, there could be a slip or something. We would like to talk about it much later.

More to come.



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