Gujarat NRE Coke Limited will acquire Australian coal
mine Elouera Colliery from global mining giant BHP Billiton
for an undisclosed amount.
company signed an agreement with Illawarra Coal Holdings
Pty Ltd, a BHP Billiton arm, for the acquisition of
the mine, the company said in a filing with the Bombay
Stock exchange (BSE).
acquisition is being made through its Australian subsidiary,
Gujarat NRE FCGL Pty Ltd.
NRE is delighted with the acquisition. Apart from providing
quality infrastructure and mining equipment for company''s
southern coal fields production strategy, including
a private rail link, it gives the company additional
coking coal reserves," Gujarat NRE Coke chairman
Arun Jagatramka said.
mine is fully operational and it will produce premium
grade hard coking coal. The mine would provide a cheaper
and faster option to access the NRE Avondale Colliery.
NRE, a leading manufacturer of metallurgical coke, had
recently rolled out plans to set-up two 15 MW power
plants at Bhachau in Gujarat and Dharwad in Karnataka.
acquisition also means that Avondale should be able
to come into production much sooner than we had anticipated,
" he added.
iss Gujarat NRE''s third acquisition in Australia after
NRE No 1 Colliery and NRE Avondale Colliery, it said.
the acquisition the company''s production of coal is
to go up to around two million MTPA from one million
MTPA in the short-term, it said.