Coal India starts fuel auction for sponge iron sector (moneycontrol.com)

Coal India starts fuel auction for sponge iron sector State-run miner Coal India on June 10 said that auction of coal linkages for the sponge iron sector has started | 1 Comments State-run miner Coal India on June 10 said that auction of coal linkages for the sponge iron sector has started. The PSU has been directed to conduct auction of coal-linkages for the non-regulated sector to ensure fuel supply to end users. In a filing to the BSE, Coal India   said, "Auction for sponge iron sub-sector has commenced from June 10 and auction for cement sub sector will be commenced thereafter." "The scheme document preliminary and tentative draft of model FSA (fuel supply agreement) has already been uploaded on the website of service provider MSTC Ltd," it said. Registration requirements, schedule of dates for submitting applications and other details will be available on the website of service provider MSTC from June 11, the filing said. This is the first sale of the dry fuel for non-regulated industries through bidding route. Sectors included are cement, steel/sponge iron, aluminium, and others (excluding fertiliser, urea). CIL has decided to allocate a total quantity of 23.25 million tonnes per annum (MTPA) in the first tranche of coal linkage auction. Auction of coal via linkage from Singareni Collieries Company will be done subsequently, a source said. "Total quantity of approximately 2 MTPA has been allocated for sponge iron sub-sector under Phase I," the source said. Coal India stock price On June 10, 2016, Coal India closed at Rs 307.15, down Rs 6.2, or 1.98 percent. The 52-week high of the share was Rs 447.25 and the 52-week low was Rs 272.05. The company's trailing 12-month (TTM) EPS was at Rs 25.87 per share as per the quarter ended March 2016. The stock's price-to-earnings (P/E) ratio was 11.87. The latest book value of the company is Rs 52.37 per share. At current value, the price-to-book value of the company is 5.86.