Adani Enterprises gains after unit signs coal mining agreement

Adani Enterprises rose 2.46% to Rs 156.05 at 13:52 IST on BSE after the company said its subsidiary signed a coal mining agreement with NLC India.

The announcement was made durign trading hours today, 26 March 2018.

Meanwhile, the S&P BSE Sensex was up 331.01 points, or 1.02% to 32,927.55.

On the BSE, 3.65 lakh shares were traded in the counter so far compared with average daily volumes of 9.35 lakh shares in the past two weeks. The stock had hit a high of Rs 156.80 and a low of Rs 151 so far during the day. The stock hit a 52-week high of Rs 223.35 on 14 February 2018. The stock hit a 52-week low of Rs 102.95 on 27 March 2017.

Talabira ll and lll coal block is located in IB Valley coalfields in district Sambalpur and Jharsuguda districts of Odisha state. The mine capacity shall be of 20 million tonnes per annum with total minable reserve of about 554 million tonnes. The contract period will be till exhaustion of reserves (i.e. about 35 years) including development period.

Ministry of Coal (MOC) has allocated Talabira ll and lll coal block to NLC India vide allotment order dated 2 May 2016 under Coal Mines (Special Provisions) Act 2015 for the development, mining and captive consumption of coal from Talabira ll and lll coal block in its various end use power plants.

NLC had floated tender for selection of MDO for development and operation of Talabira ll and lll coal block in November 2017 and reverse auction was conducted in January 2018 wherein TOMPL become the L1 bidder. Coal Mining Agreement (CMA) between NLC and TOMPL alongwith AEL for development and operation of Talabira ll & lll coal block has been executed. By this development Contractual Capacity of AEL as an MDO has now become 52 MTPA.

On a consolidated basis, net profit of Adani Enterprises declined 4.64% to Rs 286.97 crore on 15.48% rise in net sales to Rs 9938.37 crore in Q3 December 2017 over Q3 December 2016.

Adani Enterprises is the flagship entity of the Adani Group, one of India's largest business conglomerates. Adani Enterprises is a diversified conglomerates with business interests across - coal trading and mining, renewable energy generation, agri-storage infrastructure and services as well as edible oil and gas distribution.

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