Reported By:
| Edited By: Alok Sharma |Source: Reuters |Updated: Apr 14, 2018, 02:07 AM IST
GVK Power & Infrastructure has submitted a $2 billion preliminary bid for a controlling stake in a coal mine owned by Australia's Hancock Coal, a report in the Economic Times newspaper said on Saturday.
The firm, which focuses on energy and transportation projects, is among six bidders shortlisted in an auction process conducted by privately held Hancock Coal for the sale of its Kevin Corner mine in Queensland state, the paper quoted three sources close to the development as saying.
Kevin Corner is estimated to have coal reserves of around 4.3 billion tonnes, according to Hancock Coal's website.
The mine currently has a capacity to produce 30 million tonnes a year and is likely to be productive for the next 30 years, the paper said.
GVK is the only Indian company that has been short-listed. The other bidders include Chinese and Japanese power companies, according to one of the sources.
The auction, which is currently at a preliminary stage, could see an outcome within a month's time, a banker close to the deal was quoted as saying.
GVK has been scouting for coal mines for the past two years as it plans to secure its fuel supply for the power projects it currently operates but has so far failed to clinch any deal.
The spokesperson from GVK and an official from Hancock declined to comment on the newspaper report.
