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Friday, 11 September 09
L&T EYES AUSSIE COAL MINE


Commodity Online reported that, Larsen and Toubro is in talks to buy a thermal coal mine in Australia for about $300 million. Thermal coal is used for generating power.

According to media reports in India, L&T has shown interest in the mine at Queensland in northeastern Australia.

The mine has an estimated coal reserves of 250 million tonne (MT). Australia is known for its high quality coal assets. The deal will cost the Indian company $250-300 million .

The acquisition will help in case the company plans to bid for any ultra mega power project (UMPP) going forward.

L&T is also in talks with some mining firms in Indonesia for possible acquisition.

Early this year, GMR Infrastructure acquired Indonesian coal company PT Barasentosa Lestari to ensure coal supply for its proposed 1,500 MW power plant in the western coast. Last month, Jindal Steel and Power bought a thermal coal mine in South Africa.
Source: Commodity Online



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