Odisha Coal and Power Ltd seeks to sell surplus coal at discount

According to the coal ministry, India's total domestic coal production rose 7.12% from a year ago to 370 million metric tons between April 1 and August 25.

Odisha Coal and Power Ltd seeks to sell surplus coal at discount

Indian state government-run Odisha Coal and Power Ltd (OCPL) is looking to sell surplus coal from its mine in eastern India at a discount, an auction document showed, indicating lower demand for the fuel in the country.

According to sources, OCPL will auction 3 million tons of its surplus coal via online auctions on Oct. 4 for power plants at a 15% discount to the base price on the national coal index.

According to the coal ministry, India's total domestic coal production rose 7.12% from a year ago to 370 million metric tons between April 1 and August 25.

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The sale indicates high supply and reduced demand, said Riya Vyas, senior analyst at iEnergy Natural Resources Ltd.

"At the moment, electricity demand from coal-fired power plants is limited, while domestic production has increased as the rains subside," Vyas said, referring to the ending of the annual monsoon.

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