CHENNAI | March 03, 2015: Tamil Nadu Distribution and Generation Company (Tangedco) has applied for two coal mines out of the 43 mines opened for government companies by the union coal ministry.

Tangedco has applied for Mahanadi-Machchhakata mine in Odisha as well as Gare Palma sector 2 and the state is expected to get only one when the allocations are finalised.

The power utility has applied for these two mines apart from its existing stash.

Apart from Tangedco, state-owned NLC (in Tamil Nadu) too has bid for mines to feed some JV plants which are in operation or to be commissioned shortly.

The allotment process for 43 coal mines to government companies started on February 18 with a public notice inviting applications (NIA). As a part of the allotment process, online applications and offline supporting documents were opened on Sunday in the presence of representatives of applicants.

"We have applied for two mines but they will give us only one mine. We have to purchase fuel for our thermal plants from Coal India," said a senior government official. The two mines which Tangedco has applied for are new, the official said.

Apart from Tandeco, NLC Tamil Nadu Power Ltd has applied for 5 mines. "There are two thermal plants which are ready for commissioning in Tuticorin. These two units have a capacity of 500MW each and we need coal for these," said a NLC official. Tangedco consumes more than 20 million tonnes of coal each year.

(Source: http://timesofindia.indiatimes.com/)