Cash-rich Coal India (CIL) is unlikely to be affected by World Bank's decision to limit investment. The miner has been funding projects from internal accruals and is confident of doing so in the future.

World Bank, which in the late 1990's had announced to lend $1.03 billion to Coal India along with a Japanese lending agency, recently announced that it would not be funding the sector, as such companies "have pushed back efforts to fight climate change by arguing fossil fuels are a cure to energy poverty, which is holding back developing countries".

In an effort to ensure a uniform model for engaging private players in mining to boost output, the coal ministry would be coming up with a model mine development operator (MDO) agreement. Apart from Coal India Ltd (CIL), which would engage private players according to the new MDO model, this would also serve as a guideline for state government-run miners as well, for selecting private operators.

Markets have recovered from the lower levels and are trading marginally positive led by pharma shares. However, the upside is capped due to selling among index heavyweights like Tata Motors, RIL and HDFC.

At 10:40AM, the 30-share Sensex was up 11 points at 27,972 and the 50-share Nifty was up 2 points at 8,462.

Dependence on coal imports will reduce to up to eight per cent only if Coal India (CIL) meets the production of 1,000 million tonnes (mt) by 2020 and if auctioned coal mines are able to achieve their peak capacity in a timely manner, says an ICRA survey.

“Measures are taken by CIL to double output to 1,000 mt by 2020. If CIL is able to sustain seven per cent annual growth in production during FY16 till FY20 and both the schedule II and schedule III coal mines are able to achieve their peak-rated capacity in a timely manner.

Coal India, Bajaj Finance, Bharat Petroleum Corporation (BPCL), Hindustan Petroleum Corporation (HPCL), Indian Oil Corporation (IOC), Dabur India, Britannia Industries, BEML and SRF are among 143 stocks that have touched their respective 52-week highs on the Bombay Stock Exchange (BSE) in this session.

Bajaj Finserv, Emami, Essar Oil, Karnataka Bank, Oracle Financial Services Software, TV18 Broadcast and Welspun Corp are prominent stocks from the A group to hit 52-week highs.

“Recover the coal sector for me, the entire economy will rebound.”

This was Prime minister Narendra Modi's first message to union coal secretary Anil Swarup last October after appointing him as a Of?cer on Special Duty (OSD) in the coal ministry. Recalling the conversation, Swarup now believes, with the successful auctioning coal blocks to captive miners and state-owned Coal India Ltd (CIL) recording double digit production growth, he and the CIL mangement are on course to deliver on the PM's mission.

State-owned Coal India Ltd (CIL) may see a surge in its bottom line in the coming quarters, as the miner for the first time will start selling coal through e-auction windows to power plants not having fuel supply agreements (FSA).

There will be two e-auction windows, apart from the existing one. The first e-auction window will be for plants having power purchase agreements (PPAs) and the floor price in this case will be 20 per cent more than CIL's notified price at the time of bidding. Power price under PPAs with the distribution companies are arrived after rate-based bidding and approved by the regulator.

Shares of Coal India have moved higher by 2% at Rs 429, also their record high on the National Stock Exchange (NSE). In the past two trading sessions, the stock was up 5% compared to a 1% rise in the CNX Nifty.

Sanjay Jain & Dhruv Muchhal, analysts at Motilal Oswal Securities, have recommended a ‘buy’ rating on the stock with a target price of Rs 448.

NEW DELHI: The government will put on the block eight more mines after 10 mines are auctioned in the third phase, for which the process has already begun, a top official said on Wednesday.

"After these 10 mines (to be auctioned in third round in August), eight more mines are in the queue," coal secretary Anil Swarup told reporters here on the sidelines of minerals and metals conference.

In a bid to facilitate supply of coal to medium and small scale enterprise (MSME) sector, Coal India Ltd. (CIL) held a meeting with the State Governments recently at its headquarters in Kolkata. This was the first time that such a meeting was held. CIL earmarks about 8 million tonnes of coal annually, sold at notified prices, to MSME sector which constitutes brick kilns, food processing industry, lime factories, smokeless fuel plants, coke oven units and other small industries that rely on coal for their manufacturing process.

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