India?s SCCL seeks to acquire coal assets overseas
Wednesday, April 8 2015 - 02:47 AM WIB
SCCL?s Intent
One of SCCL?s missions is to retain the strategic role of a premier coal producing company in the country and excel in a competitive business environment. With the creation of new state of Telangana, SCCL has the responsibility of being the supplier of coal for power, cement, steel and other consumers in the State such that the growth of the new State continues. It is towards the realization of this mission that SCCL targets to acquire coal assets abroad and seeks partnerships and alliances with reputed companies in coal-rich countries such as Australia, Indonesia, South Africa and Mozambique.
SCCL intends to secure its Thermal Coal requirement by acquiring Coal assets abroad by forming Joint Venture with coal mining companies, by acquiring equity stakes in coal mining companies, or by any other acceptable means. SCCL invites Expression of Interest (EoI) from companies interested in offering equity stakes/ ownership interest/ outright sale in coal companies/ mines/ assets/ blocks in Australia, Indonesia, South Africa, and Mozambique.
Specifications of Coal Assets
| Parameter | Values |
| Production Capacity | Not less than 2 MTPA for each mine |
| Reserves ? JORC/SAMREC Compliant | Not less than 50 million tonnes for each mine |
| GCV ? As Received Basis | Not less than 5000 kCal/kg |
| Ash | Not more than 16% by weight |
| Total Moisture | Not more than 30% by weight |
| Minimum Off-take | 1 MTPA for each mine/Proportionate to ownership offered |
| Asset Type | Greenfield or brownfield |
| Licenses/Permits | Prospecting/Exploration/Mining |
| Export Permit | Must have |
| Ownership offered to SCCL | Minimum 51% |
Expression of Interest
All the information requested shall be furnished in English only. All costs and expenses associated with submission of EOI shall be borne by the bidders submitting the EOI and SCCL shall have no liability in any manner in this regard. SCCL may decide to terminate the process of empanelment for any reason whatsoever without any liability to it.
SCCL is likely to do a due diligence study by engaging independent specialist consultants (technical, financial, legal and others) on the short listed bidders offer. Additional information/proofs required if any for doing the same should be furnished by the short listed bidders when called for.
Bidders can participate through their merchant bankers. But SCCL will not be liable to pay any commission or charges to the merchant bankers.
Submission of EOIs must include:
i. Details of their Company Name, Address, Contact Persons, their email-id, website details, Phone and Fax numbers.
ii. The ultimate and proximate analysis of the coal
iii. Reserves and resource statements of the coal asset
iv. Details of the location of the mine along with details of available infrastructure for transport of the coal from the mine to the nearest available port of the country where the resource is available.
v. All relevant company details along with details of previous experience in the field of exploration and mining.
vi. The audited Annual Report for the last 3 years or to the extent possible.
vii. A copy of the production license for the explored mine field indicating the annual production capacity.
viii. All relevant details of the proposed Project including the time required up to starting the coal export.
ix. Estimated pit head price of coal from the mine to be developed and also the estimated FOB price of coal at the nearest available port of the country where the resource is available.
x. Indicative quantum of partnership being offered and the purpose for which partnership is sought.
xi. The rebate which can be offered to the JV Partner in the selling price of coal with respect to a reference international coal price index (HBA or RBCT)
xii. Any other details including technical and financial reports, presentations, synopsis, detailed reports of plants and machineries, and other relevant information may be submitted as additional information.
Expression of Interest Submission
The EOIs must be submitted before Indian Standard Time 1500 hours of 10th June 2015.
The EoI must be submitted in soft format through email and in hard format through a sealed cover in 2 copies (one original and one copy) duly super-scribed ?EXPRESSION OF INTEREST (EOI) FOR COAL ASSET ACQUISITION?, so as to reach the following address. Each copy shall be in separate folders.
The contents of the folder shall be properly indexed. Both the copies i.e., one original and one copy should be put in one envelope and similarly super-scribed as stated above.
The General Manager ? Business Development
The Singareni Collieries Company Ltd.
Kothagudem Collieries
Khammam Dist, (Telangana State) PIN: 507101
INDIA
Tel: 08744-245007
Fax: 08744-243617
Email: sccl-bd@scclmines.com.