SL considers investments in foreign coal mines
View(s):Sri Lanka is exploring the possibility of investing in coal mines overseas to beat an anticipated price hike in foreign markets, official sources said.
A high-powered committee headed by a top official at a government development agency has been appointed to scout for potential deals in coal producing countries.
The committee is currently focusing attention on Australia, China and Russia, looking at investing in a coal mine to supply coal to the Norochcholai coal power plant and upcoming Sampur power plant.
The sources said the chairman of this committee has some links in these countries and that was the reason he was appointed. The move has been made amidst the extension to supply coal given to Nobel Resources owned by casino businessman Ravi Wijeratne who is a major partner of billionaire casino baron James Packer’s Colombo Crown casino.
The Power and Energy Ministry initiated a tender for the purchase of coal for the Norochcholai Power plant where the annual requirement is 600,000 mt.
The lowest price came from Holcim but the tender was offered to Nobel Resources which has raised issues.
In these circumstances, the government has decided to streamline the coal procurement procedure by investing in a coal mine overseas, the sources disclosed.
comments powered by Disqus