AUCTION OF COAL MINES FOR SALE OF COAL

AUCTION OF COAL MINES FOR SALE OF COAL (11th TRANCHE OF AUCTION UNDER THE COAL MINES (SPECIAL PROVISIONS) ACT, 2015)

(1st TRANCHE OF AUCTION UNDER THE MINES AND MINERAL (DEVELOPMENT AND REGULATIONS) ACT, 1957)

Queries & Responses

to

Standard Tender Document

dated June 18, 2020

Part – III

Nominated Authority

Ministry of Coal

Government of India

New Delhi

September 10, 2020

Auction of Coal Mines for Sale of Coal – Queries & Responses

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A. Queries and Responses to Standard Tender Document dated June 18, 2020

The following clarifications are applicable to the Standard Tender Document dated 18 June, 2020 as well as to i) mine-specific Tender Documents dated 18 June, 2020, under 11th Tranche of auction under the CMSP Act & 1st Tranche of auction under the MMDR Act and ii) mine-specific Tender Documents dated 01 September, 2020, under 1st Tranche of auction under the MMDR Act.

S. No Query Response

1. Tender Document Clause 1.1.3 Affiliates Is there any quantified criteria/ ownership in case of Joint Venture and Partnership?

As per Clause 1.1.3 of the Standard Tender Document

2. Tender Document Clause 1.1.5 Base Year How “Base Year” context is used in the tender document?


3. Tender Document Clause 3.2.1 A. There are few mines which are clubbed. Do we need to purchase both tender documents and submit two Bid Security? For e.g. Machhakata and Mahanadi coal mine. B. Can the bid document be transferred to the JV, when the document purchased by a single entity, who is a part of the JV? C. Should tender document fee to be paid for each mine if a bidder quotes for more than one block?

A. Following coal mines have been offered as combined Coal Mines for the purpose of auction process: 1. Chendipada & Chendiapda-II 2. Machhakata & Mahanadi 3. Gotitoria East & Gotitoria West However, for each of the combined set of mines, only one Tender Document is available. Therefore, Bidders need to purchase one Tender Document and submit a single Bid Security as per the terms of the Tender Document. B. As per Clause 3.2.1 of the Tender Document, in order to participate in the tender process, each Bidder shall be required to make a non-refundable payment of INR 5,00,000 with respect to each Bid. Accordingly, the Tender Document is required to be purchased by the Bidder. In case the joint venture company is the bidder, the Tender Document is required to be


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purchased by the joint venture company. C. Yes, as per Clause 3.2.1 of the Standard Tender Document.

4. Tender Document Clause 3.3 Description of the Tender Process The bid process should be kept as a simple two-stage bid process. No Initial Price Offer should be required during the Technical Bid submission stage. It is recommended that instead of 1/3rd bidders being eliminated, all the technically qualified bidders should be allowed to participate in the auction on the electronic platform.

As per Clause 3.3.2(b) of the Standard Tender Document.

5. Tender Document Clause 3.3.2(a) - Technical Qualification A. Floor Price is 4%. At IPO stage, can the bid be 4.05%, 4.1%, etc. or it has to be in multiple of 0.5% for IPO stage also apart from FPO stage. B. In the Initial Offer, can the bidder quote Initial Offer equal to Floor Price i.e. 4% or minimum Initial Offer should be 4.5%?

As per Clause 3.3.2 (a) of the Tender Document, the Initial Offer should be higher than the Floor Price in multiples of 0.5% of revenue share till Initial Offer reaches 10% and thereafter in multiples of 0.25% revenue share. Accordingly, the minimum Initial Offer would be 4.5%.

6. Tender Document Clause 3.3.2 (b) II - Ranking and Qualification It is understood that no Technically Qualified Bidder shall be eliminated in the event the number of Qualified Bidders after elimination pursuant to this Clause is less than 3 is valid for all cases i.e. valid in case of 4-6 Technically Qualified Bidders as well as in case of more than 7 Technically Qualified Bidder. Please confirm.

Yes. As per Clause 3.3.2 (b) II of the Standard Tender Document, no Technically Qualified Bidder shall be eliminated in the event the number of Qualified Bidders after elimination pursuant to this Clause is less than 3.

7. Tender Document Clause 3.3.2(b) - Determination of Qualified Bidders The provision should be deleted and all the parties should be allowed to participate in electronic auction. To encourage competitive bidding in the spirit of e auctions, all the Eligible Bidders should be qualified for participating in electronic auctions and shall be eligible to submit Final Offer.

As per Clause 3.3.2(b) of the Tender Document.

8. Tender Document Clause 3.3.2 (b) II(ii) Determination of Qualified Bidders How many lowest rank Technically Qualified Bidder(s) shall be eliminated in determination of qualified bidders?

As per Clause 3.3.2(b)II(ii) of the Tender Document, all the bidders at the last rank, subject to the provisions of Standard Tender Document, shall be eliminated.

9. Tender Document Clause 3.3.2(c) - Final Offer A situation might arise where in the subsequent Final Price Offer stage, the Bidders other than the Bidder who quoted the highest Initial Offer, are unwilling to further participate.

As per Clause 3.3.2 (c) of the Tender Document.


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The current provisions entail that the Bidder who quoted the highest Initial Offer places another bid in the auction to become the preferred bidder – because otherwise the Bid Security is forfeited. This actually restricts a Bidder to place its best possible quote in the Initial Offer itself as the Bidder may have to necessarily raise its Offer in the auction – due to the provisions provided in the tender document. It is requested that the Bidder with highest Initial Offer be declared as the Preferred Bidder in the event no Final Offers are received in the auction.

10. Tender Document Clause 3.3.2 (e) - Preferred Bidder not to become Successful Bidder in certain cases A. The reasons for not selecting a Preferred Bidder as a Successful Bidder should be clearly mentioned this should not be left open as “on account of any reason whatsoever”. Such a clause defeats the purpose of the bidding process, this might be relevant for Allotment Process to government entities however when a Preferred Bidder is chosen by a bid process this cannot be left open, any reason as may be applicable should be mentioned clearly. B. As per the current interpretation of the Clause, it seems that Central Government/ Nominated Authority don’t need any valid reason for termination of the process for a particular Bidder and prevention of the Preferred Bidder being selected as Successful Bidder. This can cause investor confidence reduction as well as lead to additional legal tussles between parties. In such a case, the Preferred Bidder also faces a challenge of being left out from rest of the mines in the Tranche as the Bidder has tied up the mine under the current round. Clear rationale should be a pre-requisite for such steps by Central Government/ Nominated Authority with provision of notice period wherein the successful bidder is allowed to understand and provide necessary clarifications if any. Any rationale of price discovery being fair should be excluded from the clause. The price discovery is a market driven element and Nominated Authority’s / Central Government envisaged intervention in a fair market based mechanism should be avoided.

As per clause 3.3.2(e) of the Tender Document.

11. Tender Document Clause 3.3.2 (f) Issue of order providing exception to Section 6(1)(b) of the [Act/ MMDR Act, 1957] How Central Govt. are going to increase the area limit without affecting the seamless development of coal blocks in such cases? Although CMDPA provides for provision of increasing the maximum lease area, however the modality to this effect, as to which blocks it shall be applicable for, modality of its application (automatic basis / application basis), the designated authority for the purpose of application and benchmarks etc. is not clear.

Please refer to Section 6(1)(b) of the MMDR Act, 1957, as may be amended. As per Clause 3.3.2(f) of the Tender Document, in the interest of the development of the coal mining sector, the Central Government shall increase the maximum area limits in respect of prospecting license or mining lease in accordance with Section 6(1)(b) of the


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MMDR Act,1957.

12. Tender Document Clause 3.3.2 (h) - Payments by the Successful Bidder What are the acceptable modes that can be utilised by the Successful Bidder to furnish performance security, payment of fixed amount and payment of upfront amount?

Performance Security shall be submitted in the form of an irrevocable and unconditional guarantee from an Acceptable Bank in accordance with Clause 7.1 of the Tender Document. Fixed Amount is required to be deposited by the Successful Bidder in the Designated Bank Account as provided in the Agreement. First instalment of Upfront Amount is required to be deposited by the Successful Bidder in the Designated Bank Account. The remaining instalments of Upfront Amount shall be paid to the State Government in the manner as may be prescribed by the State Government.

13. Tender Document Clause 3.3.2 (h)(ii) - Fixed Amount A. Cost of GR is a considerable amount which needs to be deposited by the Successful Bidder as a part of the Fixed Amount within a very short span of time, after reverse auction. So total cost of GR must be communicated prior to submission of the bid.As per the breakup given for Fixed Amount, bidders are required to pay for the cost incurred by CMPDIL for preparation of the mine dossier including block boundary and financial valuation along with applicable taxes. Kindly provide these details along with excel working sheet used for financial valuation. B. Updated Fixed Amount must be communicated to the bidders as it has a great implication in calculation of project finance and kindly share the breakup of the Fixed Cost corresponding to different particular of the block.So, we request the Nominated Authority to make a maximum mark upto 5% of the present published value of the Fixed Asset. It also will be helpful to the bidders in property evaluation. C. In case of any revision in Fixed Amount after submission of Bid, the same should be considered as Change in Law and adjusted in Upfront Amount. Is there any limit to the upward revision? D. When Mining Plan is approved of explored block, what about value of Land, cost of obtaining statutory

Fixed Amount shall be payable as per Clause 3.3.2 (h)(ii) of the Tender Document. The Fixed Amount is based on the available information and the assessment made by the Competent Authority and is subject to final settlement. Any upward revision in the Fixed Amount on a subsequent date by the Government or the Nominated Authority consequent upon any process or on the orders of any competent court of law, shall also be payable by the Successful Bidder. Additionally, in case of any downward revision in the Fixed Amount on a subsequent date by the Government or the Nominated Authority, the same would be refunded by the Nominated Authority to the Successful Bidder.


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licence like Mining Plan, cost of preparation of GR? For number of blocks in the columns for value of land, mine infrastructure, cost of permits and approvals, GR is shown as Nil. Can it be construed that the bidder does not have to factor any cost towards this? What if any claim related to Prior allottee comes after allocation where such investment is shown Zero? E. In case of mismatch of payment of fixed cost towards land etc. how bidder shall quote the price for the block. There is no clarity whether fixed cost mentioned in the document shall be considered or any future revision by any court of law shall be considered. F. If prior allottee was under process of setting up a washery , but the Successful Bidder does not intend to setup such infrastructure as it does not intend to beneficiate. We understand that in that case it should not be mandatory for acquisition of such infrastructures by the Successful Bidder and the same should not be considered while calculation of Fixed Amount G. How cost components would be estimated/calculated for the compensation for land and mine infrastructure; cost borne by the Prior Allottee for “Fixed Amount”?What are the ways to validate the quotations made by the Prior Allottee? Please clarify if there are any mechanisms to pay the prior allottee the acquisition cost of land, which is not falling under the ML area, however important to carry out various support activities. What if the assets claimed by prior allottee are not existing at site or not in usable condition? H. In case of both Marki Mangli II and Gotitoria East & West the Value of Land for calculation of Fixed Amount is mentioned as “to be provided”. Would these figures be provided before commencement of the online auction? As this would have a bearing on the calculation of the Financial viability of the project a clarity on this would be helpful. I. The Successful Bidder will need to pay out substantial amount to the prior allottee for mine infrastructure, land acquisition and statutory approvals. This is likely to expose the Successful to significant risks in case such infrastructure, land or approvals (as claimed by the prior allottee) are not in usable conditions. The bid documents do not provide for a mechanism that will allow the Successful Bidder to recover such costs. Therefore, it is requested to provide for a mechanism that would enable the Successful Bidder to receive compensation/ refund in such instances.

The Fixed Amount for each Coal Mine has been provided in the Mine Dossier for respective Coal Mine. It has also been uploaded in the Notifications Tab of MSTC Portal.


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14. Tender Document Clause 3.3.2 (h)(ii) - Fixed Amount A. Prior Allottee may have established various mine infrastructure. However, Successful Bidder shall be required to pay for only those which it deems fit to procure from the Prior Allottee. It shall not be mandatory for Successful Bidder to buy out all the mine infrastructure established by Prior Allottee.Hence, the Fixed Amount of mine infrastructure shall be made available item-wise along with the status of infrastructure so that Successful Bidder can take judicious call to select the mine infrastructure it so wishes to procure from Prior Allottee. B. The detailed cost breakup & justification of each component must be provided with the tender document. C. We understand that the Fixed Amount cleared by Ministry of Coal for payment by Successful Bidder to Prior Allottee covers only such amount equal to the cost incurred by the Prior Allottee for works / activities undertaken regarding approvals / clearances for the project which stand valid in today's date. Please clarify. E.g. Prior Allottee may has incurred expenses for grant of ToR for EC, but as the ToR has validity of 3 years and coal mines where de-allocated way back in 2014, such ToR would be no longer valid in today's date. Hence, the Successful Bidder shall not be asked to compensate the Prior Allottee for such ToR, which is of no use to the Successful Bidder.

The land details, details of the mine infrastructure and claims submitted by Prior Allottee has beenuploaded. It may however be noted that these details are for the purpose of bidders’ information only and the Fixed Amount shall be payable as per Clause 3.3.2 (h)(ii) of the Tender Document.

15. Tender Document Clause 3.3.2 (h)(ii) - Fixed Amount Will the successful bidder be allotted all land (private, government, tribal & forest) by the nominated authority or any other individual upon the fixed asset payment?

For mines being auctioned under CM(SP) Act, 2015, vesting of land shall be in accordance with CM(SP) Act, 2015.

16. Tender Document Clause 3.3.2 (h)(ii) - Fixed Amount In accordance with the said judgement, the value of mine infrastructure and freehold land may undergo a revision based on actual date of issuance of Vesting Order.” It is certainly reasonable that leasehold rights in the land or surface rights, have a value and need to be paid to the prior allottee. However it has to be appreciated that land forms a major component in the capital expenditure and if the values can be quantified then only an assessment can be made for bidding. If there is any further litigation on this issue, then how will the interests of the new allottee be safeguarded. In such a scenario what happens to debt servicing by the new allocate with no revenue incoming? In such a scenario will revenue sharing be still payable during the period of litigation and mine not operating due to this reason? Also, any delay in milestone for commencement of production due to litigation by prior allottee should not be accounted on new allocatee.

Fixed Amount shall be payable as per Clause 3.3.2(h)(ii) of the Standard Tender Document. The conduct of mining operations at the Coal Mine shall be subject to the Efficiency Parameters and other provisions in the Agreement.

17. Tender Document Clause 3.3.2 (h)(ii) Fixed Amount Yes. On signing the Agreement, the


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Whether Successful Bidder needs to deposit this fixed cost before issue of vesting order. Successful Bidder, within such period as prescribed in Clause 3.8 of the Tender Document, shall make the payments in accordance with Clause 3.3.2 (h) of the Tender Document.

18. Tender Document - Clause 3.3.2 (h)(ii) Fixed Amount: A. From where do we get the details of value of land? How much money do we need to pay for the land already acquired by the previous allocatee and do we have any thumb rule for payment of land to previous allocatee? B. Will anything need to be paid to prior allottee or does fixed cost take care of that? C. Why do we need to purchase land and pay the land value where the previous allocatee has already mined the coal? D. By when we can expect Land Values to be given as the same has not been given in Fixed amount? Whether it will be given including 12% interest p.a. and/or the claim by prior allottee for current market value to be higher? E. New allottee should not be charged for the land already utilised in excavation and extraction of coal by the prior allottee. Also Cost of additional land which was not the part of project as per approved mining plan but purchased by prior allottee should not be included in the Fixed Amount payable by new allottee. F. In case of Schedule II coal block the fixed amount in respect of land cost has been asked to be paid in full. But there are instances that coal has already been extracted from part of land. The quantum land in which coal has already been extracted should be excluded from the payment against land value. G. If the erstwhile owner has excavated X MT of coal, proportionate GR & cost of land acquired should be reduced. H. Bidder should be given option to assess the Fixed Cost pertaining to Mine Infra, Land cost and Statutory cost and accordingly decide whether Bidder wants to own these infra.

A-B. As per Clause 3.3.2(h) of the Tender Document, Fixed Amount is the payment towards compensation to prior allottee for land and mine infrastructure, for the preparation of geological report, for obtaining all statutory licenses, permits, permissions, approvals, clearances or consents relevant to the mining operations; cost incurred by CMPDIL and other agencies for preparation of the mine dossier including block boundary and financial valuation along with applicable taxes, in deriving detailed geographical boundary coordinates and in preparing geological report, if any. However, bidders may choose to negotiate directly with the Prior Allottee for adoption of any of the contracts entered into by the Prior Allottee or moveable infrastructure set up the Prior Allottee. Fixed Amount has been uploaded on the MSTC Portal. The compensation for mine infrastructure of prior allottee for 30 coal mines is uploaded on MSTC Portal. For the remaining coal mines, the compensation for mine infrastructure will be uploaded expeditiously. C. The Fixed Amount shall be payable in


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I. In case of partially explored block like bandha, when fixed cost shall be deposited.

accordance with Clause 3.3.2 (h)(ii) of the Tender Document. D-G. The value of land has been provided. The value of land shall be estimated in accordance with the provisions of the CM(SP) Act, 2015 and as per the judgement dated March 9, 2017, delivered by Hon’ble High Court of Delhi in W.P. (C) 973/2015. H. Fixed Amount shall be payable as per Clause 3.3.2(h)(ii) of the Tender Document. The documents submitted by the prior allottee including the land documents have been uploaded in the Mine Dossier. Details of Fixed Amount have also been provided on the MSTC Portal. I. On signing the Agreement, the Successful Bidder, within such period as prescribed in Clause 3.8 of the Tender Document, shall make the payments in accordance with Clause 3.3.2 (h) of the Tender Document.

19. Clause 3.3.2 (h)(ii) Fixed Amount A. Payment of Tax in accordance with which year? B. The upfront payment and fixed fee are exclusive or inclusive of GST.

Upfront Amount and Fixed Amount shall be payable as provided in the Tender Document.

20. Tender Document Clause 3.3.2 (h)(ii) Fixed Amount Request you to also provide land rates/ circle rates/ Govt notified rates for different states for purpose of knowing rates upfront. The project affected persons (PAPs) mentioned in the mine dossier are quite old and is not reflective of the present scenario. Please provide updated information regarding the same

The land rates/ circle rates shall be as per Applicable Laws.


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21. Tender Document Clause 3.3.2(h) - Payments by the Successful Bidder The amounts of upfront payment, bid security, fixed payment and performance security may be provided for each of the mines for preliminary financial assessment. Although the calculation methodology has been provided, there still remains scope of ambiguity in terms of arriving at the actual values. Request to provide the following details 1) Upfront payment 2) Bid security 3) Fixed payment 4) Performance security The Bidder may be allowed to access these information prior to purchasing the actual tender documents on MSTC website. This would allow all potential bidders to evaluate coal blocks on same set of financial parameters.

Upfront Amount, Bid Security, Fixed Amount and Estimated Exploration Expenses have been uploaded on the MSTC website under the Notifications Tab. The Performance Security for Partially Explored Mines is 25% of Estimated Exploration Expense as per Clause 7 of the Tender Document. Performance Security of Fully Explored Mines would be calculated after determination of Successful Bidder based on the Final Offer, in accordance with Clause 7 of the Tender Document.

22. Tender Document Clause 3.3.2 (i) Issuance of Vesting Order A. Request the Nominated Authority to clarify who will be the Mine Owner after issuance of Vesting order. B. Request the Nominated Authority to clarify the difference between Allocation Order & Vesting Order

A. Upon issuance of Vesting/ Allocation Order, all rights, title and interest for the mine shall be vested in the Successful Bidder in accordance with the Act. B. Vesting Order shall be issued for mines being auctioned under CM(SP) Act and Allocation Order shall be issued for mines being auctioned under MMDR Act.

23. Tender Document Clause 3.4 Tests of Responsiveness Bidder should be asked for an explanation and make the bid responsive failing which he should be rejected. Considering the short timelines of the process, the bidder should be allowed to provide an explanation for the non-responsiveness of the bid. In case it still fails after one chance, the bid can be rejected. In either case, the bid security needs to be returned to the bidder as per standard contracting rules in prevalent power and telecom sector.

As per Clause 3.4 of the Standard Tender Document.

24. Tender Document Clause 3.6 Site Visits and Information A. Who is the responsible authority to provide the Geological reports, Mine plan, Environment and Forest

A. Please refer to the mine dossiers for a copy of available documents in relation to


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clearances copies, and land deed etc.? How would competent authority ensure seamless transfer of all necessary documents to bidder? B. What is the method of coordination with government officials for site visit of coal blocks/mines is required to be in place. Request for site visit was sent through email. Name and contact details of the person required to be contacted for enabling the site visit may be provided. Please nominate a coordinator in each coalfield where these blocks lie for coordinating visits and interactions with other agencies in the area. C. It is understood that the site visit is an essential component of the bidding process where a bidder gets an opportunity to get acquainted with topography as well as other demographics of the block. Further, a fair idea on the land and forest status including the available documents also reviewed/verified by the bidder which gives enough strength and support to take part in the bidding process.The standard tender document was floated for auctioning of commercial coal blocks on 18th. June 2020 and by that time the entire country was suffering from Corona pandemic. Since the crisis is still continuing the site visit may kindly be postponed till a suitable environment is reached for undertaking travel to different states in connection with the proposed site visit. D. As per the schedule, it is expected that the Technical Round for the Auction of Coal Blocks for sale of coal will take place on 18.08.2020. Our members are preparing themselves to submit their bids as per the stipulated timelines. However, the schedule for Mine visit is yet to be declared. As per our conversation with the concerned officer at the regional office of CCO for respective mines, due to the threat of COVID’19 pandemic and difference in guidelines and rules of various state governments, the former are facing difficulties in conducting the mine visit. In absence of physical inspection of the mine/block, it will be difficult to undertake technical due diligence & do justice to the process. Hence, it is requested that a decision regarding the conduction of mine visit is taken at the earliest. E. In the wake of Covid it is difficult to undertake site visit and it may not be possible to assess the real mine condition through Google earth view. How can we visit the mines safely? Do we get any letter from Ministry of Coal or Nominated Authority allowing our entry to any particular state/ district without facing any quarantine issues? Therefore it is requested to provide a video image of the blocks using drones along with the information dossier of each block for better understanding. It is requested to extend the last date at least by one month to help the bidder to carry out study properly. Without site visit, one cannot assess PAP and PAF

the Coal Mine. Getting the necessary clearances/ consents/ approvals shall be the responsibility of the Successful Bidder. B - F. Site visits are being conducted through Coal Controllers Organisation. Details of the contact person from Regional CCO Offices for each mine has been uploaded on the MSTC Website under Notifications Tab. Detailed schedule shall be shared shortly with the bidders who have requested for site visits. In case of revision in the timelines, the updated schedule shall be uploaded on the MSTC website.


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and land rate. CMPDI can assess locally and feed to all bidders. F. As Coal Blocks are located in different States there are bidders who have purchased multiple bid docs. How are you planning to organize site visits of the multiple coal blocks in present situation?

25. Tender Document Clause 3.8 Schedule of the Tender Process A. It is difficult to inspect the site under the current scenario with intermittent lockdown and forced quarantine at arriving destinations in different States / towns / municipalities and curbs on movement. Site inspection is very important before Bidding for the block. Hence, it is requested to re-schedule various activities of the bidding process by two months for the time being. B. The time available for mine evaluation / visit / quality analysis is too short considering the bid due date of 18th Aug. What is the view of nominated authority on this and is there any possibility of date extension? C. In case of withdrawal of coal block from auction process, the bid submission date for all other blocks should be suitably extended, so that the bidder affected by such withdrawal gets time to evaluate other blocks.

In case of revision in the timelines, the updated schedule has been uploaded on the MSTC website.

26. Tender Document Clause 3.8 - Schedule of the Tender Process A. We request you to provide the date, time and mode of Pre-bid meeting. B. We request you to extend the Bid Due Date and related prior activities by Three Weeks.

A. The pre-bid meeting has been conducted on 10th July 2020 from 11 AM - 2 PM. B. The updated schedule has been uploaded on the MSTC website.

27. Tender Document Clause 3.8 - Schedule of the Tender Process Kindly clarify the tentative timelines for issuance of corrigendum & addendums

The necessary Corrigendum/ Addendums shall be issued as and when they are required and would be uploaded on the MSTC Portal. Bidders are advised to regularly check the MSTC Portal for updated information.

28. Tender Document Clause 3.8 - Schedule of the Tender Process Request the Nominated Authority to publish the Schedule of the activities from Sl No. 9 to 18. Without proper planning and scheduling it will be very much challenging for a Successful Bidder to evaluate the upcoming activities, particularly arranging funds, submission of performance security, mobilizing man & material etc. So it is utmost important to declare the schedule of the activities from Sl No 9 to 18 mentioned in the table.

The complete schedule for all the activities related to tender process have been provided.


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29. Tender Document Clause 3.9 Value of Estimated Geological Reserves and Upfront Amount There are substantial difference between Geological Reserve and Extractable Reserve in some of the blocks...while the revenues are determined on the basis of Geological Reserves...how will the excess payment be adjusted?

Adjustment of Upfront Amount shall be in accordance with Clause 3.9.3 of the Tender Document.

30. Tender Document - Clause 3.9 Value of Estimated Geological Reserves and Upfront Amount A. Both Upfront Amount &Performance Security are huge amounts running into Crores of rupees. In order to reduce the financial burden on the bidder Kindly consider upfront amount on the basis of Extractable reserves only. B. Payment of upfront amount should be linked to the Schedule D efficiency parameters (i.e. w.r.t each milestone activity). This would put lower burden on bidder’s finances especially during this COVID 19 scenario C. Upfront Amount shall not exceed 50% of aggregate Monthly Payments for the year shall be removed. Early adjustment of upfront amount will reduce bidder’s liability and encourage higher participation

A & B. Upfront Amount and Performance Security shall be payable in accordance with Clause 3.9 and Clause 7 of the Tender Document, respectively. C. As per Clause 3.9.3 of the Tender Document.

31. Tender Document - Clause 3.9 Value of Estimated Geological Reserves and Upfront Amount A. It is observed that the Estimated Geological reserves are significantly higher than the estimated balance reserves for mines which have been operational in the past /still operating under a custodian. This is clearly evident from the respective mine dossiers available at the MSTC website.For these mines, the tender parameters such as upfront payment and bid security amounts are significantly higher, as they are linked to Geological reserves, and not to the balance reserves.It is requested that balance reserves are considered for the purpose of estimating “Value of Estimated Geological Reserves”. For this purpose, the coal extracted by Prior Allottee and/or Custodian till 31-Mar-2020 must be mentioned in the Mine Dossier. This information will also be useful for Bidders in their respective mine assessments. B. There is no clarity on available reserve given in tender document in case of Schedule II coal mines. In case variation is observed after thorough scrutiny whether Ministry of Coal shall reduce the reserve for calculation of cost associated with it. For the mines which have been operating in past how is the Geological Reserves for the purpose of upfront Payment being calculated? Is it on the basis of Balance reserves or total reserves? C. Value of Resources and accordingly upfront amount should be done based on Mineable reserves and not on Geological reserves. As in many coal blocks (specifically in Underground mines) actual mineable reserves will be significantly less than Geological reserves.

Value of Upfront Amount shall be calculated in accordance with the provisions of the Standard Tender Document. Production schedule for each mine including that of Schedule II mines have been provided. Remaining extractable reserves can be estimated from the Production Schedule. The balance extractable reserves for the Schedule II mines as on 31.03.2020 are given below: 1. Gare Palma IV/1 – 38.98 Mt 2. Gare Palma IV/7 – 31.05Mt 3. Marki Mangli II – 6.53 Mt 4. Gotitoria East &Gotitoria West – 4.92

Mt Note: The figures have been arrived at by subtracting the coal produced by prior


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D. Upfront Payment should be calculated on Extractable Reserves only. This is important for Schedule-II mines where chunk of reserves have already been extracted. Please consider only Extractable Reserves for all mines. E. In case of partially explored block, grade & quantity of geological reserves will be as per the explored data or as indicated in the tender document?

allottee / Custodian of the Block till 2019-20 from the extractable reserves as given in the respective Mining Plans.

32. Tender Document - Clause 3.9 Value of Estimated Geological Reserves and Upfront Amount Can the Upfront Amount be paid in the form of bank guarantee?

No. First instalment of Upfront Amount is required to be deposited by the Successful Bidder in the Designated Bank Account. The remaining instalments of Upfront Amount shall be paid to the State Government in the manner as may be prescribed by the State Government.

33. Tender Document - Clause 3.9 Value of Estimated Geological Reserves and Upfront Amount The geological estimation has been carried out based on borehole assumptions and it is at specific grid interval. Now, during mining activities because of various geological conditions there may be chances in reduction of coal reserves. Under such conditions it will be difficult to achieve PRC and to follow approved mine plan. It is proposed that under such conditions there should be revision in mine plan, upfront amount, Security deposit and PBG based on actual mine condition.

Upfront Amount, Bid Security and Performance Security shall be payable in accordance with Clause 3.9, Clause 6.1 and Clause 7 of the Standard Tender Document, respectively.

34. Tender Document - Clause 3.9 Value of Estimated Geological Reserves and Upfront Amount The Upfront amount is calculated on the basis of GR mentioned in the Mining Plan. Suppose after execution of Mining Lease, the lessee explores the area and the GR is amended. Then, whether, the upfront amount will be revised after computation of new GR?

For Fully Explored Mines, Upfront Amount shall be payable in accordance with Clause 3.9 of the Tender Document and would not be revised on further exploration activity carried out by the Successful Bidder.

35. Tender Document Clause 3.9 Value of Estimated Geological Reserves and Upfront Amount A. The payment of Upfront Payment should be removed/ withdrawn. Upfront amount as provided by MSTC is~30% of 0.25% of the Value of Estimated Geological Reserves of the Coal Mine B. The "Upfront Payment" should be tied up with the start of revenues for the bidder. Instead of linking these

Upfront Amount shall be payable in accordance with Clause 3.9 of the Standard Tender Document and in accordance with Clause 3.9.2 of the Standard Tender Document.


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milestones with the Vesting order, it should be linked to the start of commercial operations for the bidders. Suggested Amendment: Modification in the time from which Upfront payment is due for bidders: - (a) 25% of the Upfront Amount shall be payable post start of commercial operations by Allottee (b) 25% of the Upfront Amount shall be payable within 12 months from the date of commercial operations by Allottee (d) 25% of the Upfront Amount would be payable within 18months from the date of commercial operations by the Allottee (c) Remaining 25% of the Upfront Amount would be payable within 24 months from the date of commercial operations by the Allottee

36. Tender Document Clause 3.9 Value of Estimated Geological Reserves and Upfront Amount A. How to calculate upfront payment for partially explored coal blocks?

Upon preparation of Geological Report, the Upfront Amount for Partially Explored mines shall be calculated in accordance with the Clause 3.9.1 of the Tender Document and the 1st instalment shall be payable within 40 business days from the in-principle approval of the Mining Plan.

37. Tender Document Clause 3.9.1 Value of Estimated Geological Reserves and Upfront Amount A. For calculation purpose “Where the Value of Estimated Geological…Representative Price of relevant grade(s) of coal, where the relevant grade of coal is….. Suggested Amendment: “Where the Value of Estimated Geological……Representative Price of relevant grade(s) of coal, where the relevant grade of coal is weighted average grade of coal” B. The Upfront amount shall be estimated on the basis of estimated geological reserves of the coal mine. What grade to be considered while estimating the value of the block when the geological reserve has various grades? C. Where can we find the average grade details? Kindly consider average grade of coal in block because in tender document we found that you consider higher grade of coal. D. As per the Notification issued by the Nominated Authority dated 03.07.2020 the basis for assuming the 'Grade of Coal' is not provided. Kindly provide the basis of calculating the grades of coal in the notification dated 03.07.2020.

The Upfront Amount shall be calculated as per the weighted average grade of non-coking coal and/or weighted average grade of coking coal, as the case may be, for the Coal Mine, as per the Geological Report of the Coal Mine. The relevant grade of coal shall be as per Clause 3.9.1 of the Tender Document of respective mines.


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38. Tender Document Clause 3.9.1 Value of Estimated Geological Reserves and Upfront Amount The upfront amount for partially explored coal blocks is based on the Geological Reserve and Grade which are not proved reserves but indicated ones. So the methodology for determination of upfront amount for both explored coal blocks & partially explored coal blocks should not be same.

The Upfront Amount has been provided only for the Fully Explored mines and shall be payable in accordance with Clause 3.9.2 of the Tender Document. Upon preparation of Geological Report, the Upfront Amount for Partially Explored mines shall be calculated in accordance with the Clause 3.9.1 of the Standard Tender Document and the 1st instalment shall be payable within 40 business days in-principle approval of the Mining Plan.

39. Tender Document - Clause 3.9.2 Value of Estimated Geological Reserves and Upfront Amount Monthly payment to state Govt shall start after the commencement of coal production. As per clause 3.9.2, in case of Fully explored & partially explored coal blocks under MMDR Act 1957 & CMSP Act 2015, payment of all the four instalment is scheduled, prior to commencement of coal production. Therefore, the successful bidders of these coal blocks should be given the relaxation of payment of the upfront amount for adjustment of the upfront amount against Monthly Payment, after the commencement of production.

The Upfront Amount shall be payable by the Successful Bidder in four equal instalments of 25% each in accordance with Clause 3.9.2 of the Standard Tender Document.

40. Tender Document Clause 3.10 Periodic Payment by the Successful Bidder A. If coal is used in end use plant of the successful bidder then how shall the Monthly Payments be calculated? B. If extracted coal is used partially in end use plant and partially sale to open market then how calculate the Monthly Payment?

As per Clause 3.10.1 of the Tender Document, Monthly Payments shall be determined on the basis of higher of Notional Price or Actual Price. In case coal is utilized for captive consumption and thus, the Actual Price is not available, the Monthly Payments shall be made on the basis of Notional Price for such quantity being utilised for captive consumption.

41. Tender Document Clause 3.10 - Periodic Payment by the Successful Bidder a. Can we have the National Coal Index excel working developed by Indian Statistical Institute for understanding how it is determined? b. Please provide the NCI working excels developed by ISI; important to understand future movement.

Please refer to the following Office Memorandum: 1. Roll out of National Coal Index - OM No. NA-102/3/2017-NA dated June 4, 2020 2. Operational Methodology for Computation of National Coal Index - F. No.


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c. How are you going to factor import prices in NCI? What is the basis for the same? Can you explain in bit details?

102/3/2017/NA dated June 17, 2020

42. Tender Document Clause 3.10 Periodic Payments by the Successful Bidder At the time of issue of NIT (18 June 2020), the Representative Price available were of March 2020 which are also provided in Specific Tender Document however subsequently Ministry of Coal has published Representative Price for April 2020. So which would be considered latest – March 2020 or April 2020 (published on 27 July 2020).

Applicable Representative Price would be for March 2020 and has been provided in the Annexure II of Standard Tender Document. However, for Dolesara, Jarekela and Jharpalam-Tangarghat Coal Mines, Representative Price would be for April 2020,as provided in the Annexure II of the mine-specific Tender Document for these mines.

43. Tender Document Clause 3.10 Periodic Payments by the Successful Bidder Notified price is not defined in the tender document. Clarification required if the definition is same as provided in tranche IX document i.e. “CIL Notified Price” shall mean the prevailing notified price of relevant grade(s) of coal by CIL or any of its subsidiaries, as may be territorially relevant to the Coal Mine, as on the date of sale of coal?

Please refer the MoC’s OM NA-102/3/2017-NA dated June 4, 2020 regarding notification of representative prices.

44. Tender Document Clause 3.10 Periodic Payments by the Successful Bidder What is the methodology to calculate the royalty payable and linkage to Notional Price/Actual Price/ any other way? Also in the case of captive usage / mix usage (captive + merchant) of coal, what would be prevailing prices for royalty calculation?

The royalty payable shall be as per extant gazette notification on royalty of coal.

45. Tender Document Clause 3.10 - Periodic Payments by the Successful Bidder A. As per the public consultation notice on NCI (dated 17.02.2020), "the objective is to develop a National Coal Index to reflect the movement of price of coal in the domestic coal market."The monthly payments to be made to the Nominated Authority (Ministry of Coal) is thus based on the assumption that the Central Government would continue to receive monthly payments based on a market determined price of coal, and not on the actual transactional value of coal (which may be higher or lower).Thus, if the successful bidder sells the coal in the market at a price lower than the notional price, then the downside risk is with the successful bidder as the payment to the Nominated Authority is higher (linked to the notional price). Similar logic should be followed when the successful bidder is able to sell at a price higher than the market price, i.e., the benefits of the upside should also accrue to the successful bidder who has displayed business acumen to sell coal at a higher price than the market price.To be fair & equitable, if the downside risk is with the successful bidder,

A. The terms of the Tender Document are in accordance with order F. No. 13011/2/2020-CBA2-Part(2) dated May 28, 2020 of Ministry of Coal. Accordingly, the periodic payments by the Successful Bidder shall be in accordance with Clause 3.10 of the Tender Document.


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then the upside benefits should also accrue to the same bidder.Monthly payments should be linked to Notional Prices only.

46. Tender Document Clause 3.10 - Periodic Payments by the Successful Bidder A. We understand that obligation of Monthly Payments would end with exhaustion of Reserves in case the reserves exhaust prior to mine life. B. Different seams of coal mines are having different grades of coal, will the revenue share will be different for each seam. C. Please clarify whether revenue Sharing will be on Pit Mouth Value after removing logistic cost element? D. Revenue sharing is payable on Production or dispatch of Coal?

A-C. Yes. As per Clause 3.10.1 of the Tender Document, the Monthly Payment shall be determined as a product of a) Final Offer, b) Total quantity of coal on which the statutory royalty is payable during the month; and c) Notional Price or Actual Price, whichever is higher. D. As per Clause 3.10.1 of the Tender Document, Monthly Payments shall be made for the total quantity of coal on which the statutory royalty is payable during the month.

47. Tender Document Clause 3.10.1 Periodic Payments by the Successful Bidder Regarding NCI: A. Imported coal should not be considered for computation of NCI. B. Middle grade should be further sub-categorised or divided into two grades for calculation of index and Representative Price C. Also, Please provide illustrative calculation for computation of Notional Price, based on the Representative Price and relevant sub-Index of NCI published by Government for the month of March 2020, which seems on a very higher side for grades mostly used by Power Sectors. Current adopted methodology for NCI sub divides 17 grades of coal into just three grades. GCV value in top grade non coking coal ranges for 1500 Kcal / kg (G1:7000 GCV – G6:5500 to 5800 GCV) and middle grade non-coking coal range as far as 2400 Kcal / kg (which is mostly used by Indian Power plants). Entire Indonesian import is part of middle grade NCI and weight of imported coal price in middle grade NCI at 35.57%. This would unnecessarily inflate the NCI as compared to other existing domestic coal sources and increase the fuel cost at the Power Plants. Subsequently this would lead to Power Genco's to load the inflated cost on

A & B. NCI shall be as per the following OM:. (i) Roll out of National Coal Index - OM No. NA-102/3/2017-NA dated June 4, 2020 (ii) Operational Methodology for Computation of National Coal Index - F. No. 102/3/2017/NA dated June 17, 2020 C. Illustration for computation of Notional Price has been provided at Table 1 & 2 under Clause 3.10.1 of the Tender Document


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consumers making it expensive.

48. Tender Document Clause 3.10.1 (c) - Periodic Payments by the Successful Bidder A. We understand that the ‘relevant coal grade’ considered in the mentioned clause corresponds to the grade of coal extracted in the particular month/ duration. Please confirm. B. If we can have an illustration of calculation of a suggestive premium and cost to be paid to Govt and share of premium to govt. How would it be calculated?

A. For the purpose of Monthly Payments, the relevant grade of coal shall be the grade of coal for which the statutory royalty is payable during the month. B. Please refer to the illustration provided in Clause 3.10 of the Tender Document.

49. Tender Document Clause 3.10.1 - Periodic Payments by the Successful Bidder For clarification, as per our understanding of the tender clause, actual price will take into consideration the ex-mines coal value and will be exclusive of the transportation component in the invoice, if any. Also, please clarify if the royalty payable on coal will be on the price of coal, as reflected in the invoice, excluding taxes, levies and other charges or on the Notional Price.

As per Clause 3.10.1 of the Tender Document, Actual Price shall mean the sale invoice value of coal, net of statutory dues including taxes, levies, royalty, contribution to NMET and DMF etc. Accordingly, the actual price shall be excluding the transportation cost. Royalty and all other statutory duties, levies etc shall be as per Applicable Laws.

50. Tender Document Clause 3.10.2 - Periodic Payments by the Successful Bidder A. We understand that the govt. will refund the adjustable amount annually to the Successful Bidders. Please confirm the intervals for adjustments to the monthly payments. B. As per our understanding, the GST compensation cess was applicable for 5 (five) year from the introduction of GST (in 2016); therefore, please clarify if GST compensation cess will be applicable after 2021. C. What will be the liability of coal block auctioneer on monthly payment if the block does not get cleared all the clearances from Govt.

A. As per Clause 3.9.3 of the Tender Document, Upfront Amount shall be adjusted in full, against the Monthly Payments to be made to the State Government. Provided however, such adjustment of Upfront Amount shall not exceed 50% of aggregate Monthly Payments for the year. The Upfront Amount is not refundable. The Upfront Amount shall be adjusted on a monthly basis from the Monthly Payments to be made by the Successful Bidderand would be reconciled at the end of the year. B. Statutory dues including taxes, levies,


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royalty, contribution to NMET and DMF, etc. shall be payable as per Applicable Law. C. Please refer to Clause 10 of the Agreement.

51. Tender Document Clause 3.11 Incentive for Early Commencement of Coal Production A. As per tender document “the scheduled date of production shall be the scheduled date of production given in the approved Mining Plan.” How the calculation for early production will work for blocks where Mining Plan is not prepared?Which timelines are taken as reference? B. Would faster ramp up than scheduled rate will also qualify for early production incentive? Illustration: Scheduled production year: Year 4 Case 1 as per schedule production: Particulars Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Schedule production- - - 1 1.5 2 Case 2 as per Actual production: Particulars Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Production - 1 4 4 5 5 Based on the above illustrative, will the additional 2.5 MTPA in Year 3 qualify for rebate under the clause 3.11 Incentive for early commencement of coal production?

A. As per Clause 3.11 of the Tender Document, for Fully Explored Mines, the scheduled date of production shall be as given in the mine-specific tender document. For Partially Explored Mines, the scheduled date of production shall be thescheduled date of production given in the approved Mining Plan B. As per Clause 3.11 of the Tender Document, incentive shall be applicable on quantity of coal produced earlier than the Scheduled Date of Production

52. Tender Document Clause 3.11.1(a) A. Production Schedule mentioned in the Tender Document (63 months) and time period provided at Schedule D(51 months) in the Standard Agreement for Fully Explored mines are different. Request the Nominated Authority to inform the proposed production schedule for the mine. B. Request Nominated Authority to clarify on the Production Schedule (Y1), as mentioned in the Annexure 1 vis a vis the schedule of 63 months as mentioned in the Cl 3.11.1(a). How are these two connected?

In Annexure I of the Tender Document, the timeline starts from the date of grant of mine opening permission. Clause 3.11.1(a) of the Tender Document provides the time frame in months for schedule start date of coal production (“Scheduled Date of Production”) from the


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date of issuance of Vesting/Allocation Order. The Scheduled Date of Production for Fully Explored Mines has been determined as: 1. For Schedule II coal mines under CM(SP) Act, 2015 – 9 months from the date of issuance of Vesting Order as per the timeline given in the Efficiency Parameters. 2. For mines other than Schedule II coal mines under CM(SP) Act, 2015 – aggregate of a) 51 months from the date of issuance of Vesting/ Allocation Order as per the timeline given in the Efficiency Parameters and b) number of months for coal production from the date of grant of mine opening permission, as given in Annexure I of the Tender Document.

53. Tender Document Clause 3.11 Incentive for Early Commencement of Coal Production Criteria for achieving the scheduled date of production? It is not clear if there is a requirement for any minimum land to be acquired for achieving the scheduled date of production

Bidder should commence coal production as per Applicable Laws.

54. Tender Document Clause 3.11.1 Schedule date of Production Suggested Amendment: In case of Fully Explored Mines, the scheduled date of production shall be the date of Grant of Consent to Operate (CTO).

As per Clause 3.11.1 of the Standard Tender Document.

55. Tender Document Clause 3.12 Incentive for Coal Gasification or Coal Liquefaction A. For coal gasification, please clarify how the royalty or monthly payments would be applicable especially in case of in-situ gasification. Further, would the extraction and sale be subject to rules and regulations of hydrocarbons sector?

As per Clause 3.10.1 of the Tender Document, Monthly Payments shall be determined on the basis of higher of Notional Price or Actual Price. In case coal is utilized for captive consumption and thus, the Actual Price is not available, the Monthly Payments shall be made on the basis of Notional Price for such quantity being utilised for captive consumption. In case the


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Successful Bidder undertakes coal gasification prior to sale and/or utilisation of such coal, then coal gasification shall be considered as captive consumption of coal and accordingly, the Monthly Payments shall be made on the basis of Notional Price for such quantity being utilised for captive consumption. Sale of the gas generated shall be subject to applicable laws.

56. Tender Document Clause 3.12 Incentive for Coal Gasification or Coal Liquefaction Whether this rebate is applicable if the coal is consumed in Plant of bidder/affiliate directly ? (i.e without coal gasification)

No. Asper Clause 3.12 of the Tender Document, the rebate will be applicable if the Successful Bidder consumes the coal produced from the Coal Mine either in its own plant(s) or plant of its holding, Subsidiary Company, Affiliate, Associate Company or sells the coal for Coal Gasification or Coal Liquefaction.

57. Tender Document Clause 3.12 - Incentive for Coal Gasification or Coal Liquefaction A. The modus operandi for obtaining certification from Coal Controller's Organization is not clear. The Standard operating procedure (SOP) to be used by the Coal Controller's Organization (CCO) for the grant of such certification may be issued for providing clarity on incentive for Coal Gasification or Liquefaction. B. Information on when the CCO’s certificate will have to be sought may be provided – for example, before OR after the referred quantity of coal is consumed OR sold OR both. C. Information on frequency/ validity period of the CCO’s certification may be provided.

Guidelines in this regard have been issued and have been uploaded on MSTC website as well as CCO’s website.

58. Tender Document Clause 3.12.1 - Incentive for Coal Gasification or Coal Liquefaction Further clarifications are required on the rebate payment on sale to coal gasification or liquefaction. Please confirm, the rebate will be provided on yearly basis based on the actual production of coal or as per the production schedule prescribed in the mining plan. In order to assess the viability of sale/ utilization of coal for gasification or liquefaction, clarification is requested on the rebate terms, specifically rebate payment and timelines.

As per Clause 3.12.1 of the Tender Document, a rebate of 20% on Final Offer will be provided on the total quantity of coal consumed or sold or both for Coal Gasification or Coal Liquefaction on an yearly basis, provided at least 10% of scheduled coal production as per approved Mining Plan for that year shall be consumed and/or sold


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for Coal Gasification or Coal Liquefaction.

59. Tender Document Clause 4 Eligibility Conditions A. Can a Partnership Firm participate in auction of coal mines for sale? B. Whether a joint venture duly formed based on joint bidding agreement solely for the purpose of participating in the current bidding process ,with a condition in case of becoming Successful Bidder after the end of forward auction process a Joint Venture Company based on the above said JV agreement will be formed, is eligible to bid? C. As per eligibility condition prior allottee who has not deposited additional levy shall not be able to submit bid for block. Please clarify whether prior allottee shall be prohibited from the auction of the block for which it has not paid additional levy or he shall be prohibited for all the blocks earmarked for allocation.

A & B. No. As per Clause 4.1.1. of the Tender Document, following entities shall be eligible to participate in the auction of the Coal Mine: • a Government company or corporation or a joint venture company formed by such company or corporation or between the Central Government or the State Government, as the case may be, or any other company incorporated in India; or • a company or a joint venture company formed by two or more companies. C. In case a Prior Allottee doesn’t meet the conditions stipulated in Clause 4.1.2 of the Tender Document, then the Prior Allottee would not be eligible to participate in the tender process of any of the coal mines being auctioned in the current tranches of auction.

60. Clause 4 Eligibility Conditions A. It is requested to clarify, if a Special Purpose Vehicle (SPV) is eligible to participate in the auction of coal mine. Further, it is requested to clarify whether a Successful bidder can form a Special Purpose Vehicle (SPV) for developing and operating the coal mining project and get the mining done by appointing a Mine Developer cum Operator (MDO). Can the Bidding Company transfer the asset to SPV formed for the Project? B. Request the Nominated Authority to allow unincorporated joint venture (2 or more companies) for participation in the bid. After the unincorporated JV becomes the preferred bidder, the same may be asked to form a JV Company within a specified time limit. C. There should not be any restriction on participation as JV partner or affiliate for prior allottee who failed to

Eligibility Conditions shall be as per Clause 4 of the Standard Tender Document.


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pay additional levy under rule 18. The provision under tender document is discriminatory in nature. D. The technical qualification requirement does not consider the financial strength of the Bidder. In order to qualify a Bidder as an ‘Eligible Company’, a minimum net-worth requirement should be stated upfront.

61. Tender Document - Clause 4.1.1 Eligibility Conditions A. Request the Nominated Authority to allow unincorporated joint venture (2 or more companies) for participation in the bid. Formation of a company under the Companies Act, 2013 is a time taking process and lot of compliances are required for incorporation and running the company. B. Eligibility Conditions - Point (b) states " a company or a joint venture company formed by two or more companies" - Pls explain "Joint Venture Company" as whether a new entity should be formed, a new bank account will be opened as because generally J.V is formed on the basis of MOU between two or more companies and work accordingly. Or separate entity is must ??

A. No. Eligibility conditions shall be as per Clause 4 of the Tender Document. B. A joint venture should be a company incorporated as per Applicable Law.

62. Tender Document Clause 5.2 Change in Control and transfer a. Transfer of the coal mine to a wholly owned subsidiary should not be considered as Change in ownership. Hence, we understand that the transfer of the coal mine is permissible to a wholly owned subsidiary of the Successful bidder during the lock-in period. Please confirm. b. Can you please clarify whether the Bidding Company may incorporate a SPV for the development of the Block and transferred the asset to such project company? C. Whether any transfer fee is applicable on transfer of block or change in control?

Any change in control of the Successful Bidder or transfer of the Coal Mine shall be in accordance with Clause 5.2 of the Standard Tender Document. Transfer fee, if any, shall be payable as per Applicable Law.

63. Tender Document Clause 5.2 Change in Control and transfer A. Provision for partial stake sale or partial dilution of the asset may be considered in addition to provision for change in control or transfer of ownership. B. Provision for sale of part of the stake or partial dilution of the asset may be considered in addition to provision for change in control or transfer of ownership. Sale of partial stake may allow the successful bidder to maintain their operations without taking a hit to their operation in case of any unforeseeable circumstances

Change in control of the Successful Bidder or transfer of the Coal Mine shall be in accordance with Clause 5.2 of the Standard Tender Document.

64. Tender Document Clause 5.2.1.1 Change in Control or transfer subsequent to determination of Successful Bidder



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What is the need of “lockin period” for any change in Control of the Successful Bidder or any transfer of the Coal Mine by the Successful Bidder? In view Merger and Acquisition (M&A) activities, such lock-in period would delay M&A deals leading to economic slowdown in the county. Additionally, delay in transfer may delay mineral development of the coal mine/block.

65. Tender Document Clause 5.2.2 Change in Control prior to determination of Successful Bidder A. Suggested Amendment: The change in control or transfer of the coal mine shall be permitted after the issue of LOI and before grant of Mining Lease if such change in control is pursuant to an insolvency proceeding against the Bidder under the Insolvency and Bankruptcy Code, 2016 or Applicable Laws. However, such change shall be based on NCLT orders against the Bidder. B. There should be a Definite time line for granting approval by Nominated Authority. It is suggested that the Deemed approval beyond certain time period should be given.


66. Tender Document - Clause 5.5.1 Verification by the Nominated Authority It is understood that the bidders will be given adequate time (more than 14 (fourteen) business days) for responding to any such queries/ information. A time period of at least 14 (fourteen) business days should be provided to the bidders for submitting the information or the documents requested for verification to the Nominated Authority.

As per Clause 5.5.1 of the Tender Document. The timeline may be as decided by the Technical Evaluation Committee.

67. Tender Document Clause 5.6 Sale of Coal, Coal Bed Methane and Minor Minerals A. Following Clarification are needed in relation to the Captive Consumption: 1) Captive consumption’ is not defined. Will consumption in power plant owned by an affiliate be deemed as ‘captive consumption’ or ‘sale’ of coal? 2) How is revenue to be computed in case coal is utilized for captive consumption? B. Generally, the Minor Mineral Concession Rules provides for competitive Bidding based grant of ML for Minor Minerals, although it is implicit, but not explicitly mentioned that the Successful Bidder shall also become automatically entitled to such minor mineral lease as well. Modality of related payments of various payments which are generally discovered out of auction process? Minor Mineral concession Rules have well-defined procedures for revenue stream from commercial Bidding of Minor Mineral assets. Clarity on these terms is needed in case companies are forming strategies to monetise OB through stowing-sand, in case of blocks with large SR.

A. Captive consumption shall be consumption of coal by the Successful Bidder. As per Clause 3.10.1 of the Tender Document, Monthly Payments shall be determined on the basis of higher of Notional Price or Actual Price. In case of coal is utilized for captive consumption and thus, the Actual Price is not available, the Monthly Payments shall be made on the basis of Notional Price for such quantity being utilised for captive consumption. B. As per Clause 5.6.3.1 of the Tender Document, Mining of Minor Minerals by the


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Successful Bidder shall be subject to the requirements of the Minor Mineral Concession Rules of the State Government.

68. Tender Document Clause 5.6.1 Sale of Coal What are benchmarked prices for market price discovery for sale of coal? For the free price discovery, there is requirement of coal benchmarked prices, trading platform and coal exchange in the country for the free coal trade.

Bidder is free to decide the sale price of coal.

69. Tender Document Clause 5.6.2 Exploitation of Coal Bed Methane A. How different CBM Mining lease would be from the mining lease? How would mining lease and CBM mining lease co-exist together? What are the modalities involved in such a scenario between Notified Authority and State Govt.? B. Are successful bidder going to pay revenue both for amount of coal and amount of CBM extracted from the coal block?

A. Both CBM mining lease and coal mining lease would be issued as per Applicable Law. B. Yes, the revenue share shall be payable for both.

70. Tender Document Clause 5.6.2 Exploitation of Coal Bed Methane In case the Successful Bidder intends to extract CBM, the coal extraction will not be possible in line with the timeline given under the efficiency parameters. Hence, the efficiency parameters for coal extraction in case of CBM extraction shall be accordingly revised.

All the mining operations shall be as per Applicable Law and the timelines for development shall be as per the Efficiency Parameters provided in the Standard Agreement.

71. Tender Document Clause 5.6.2 Exploitation of Coal Bed Methane A. We understand that in case of presence of CBM in the lease area, it is not mandatory for the Bidder to exploit CBM. Not all blocks put up for auctions are fully explored. Also the Bidder would be unaware of any presence of CBM in the area and CBM extraction potential. Hence it shall not be mandatory for the Bidder to exploit CBM B. If the presence of CBM in the Coal Mine is established but due to any reasons whatsoever, the successful bidder chooses not to exploit the same, then would that lead to any implications regarding the allotment/ vesting of the block?

As per the Clause 5.6.2 of the Tender Document, in case there is presence of CBM in the Coal Mine, the Successful Bidder may choose to commercially exploit the CBM present in the mining lease area.Accordingly, it is not mandatory for the Successful Bidder to commercially exploit the CBM. The lease/license in respect of CBM operations shall be governed by Applicable Law.

72. Tender Document Clause 5.6.2 Exploitation of Coal Bed Methane A. Any specific procedure that needs to be followed and what will be its impact (if any) on the successful bidder's mine development plan for coal extraction. The Standard operating procedure (SOP) to be followed by successful bidder in case the presence of CBM is established in Coal Mine may be provided - for both the

A-B. In case of presence of CBM, the relevant guidelines of MoPNG shall be followed. As per Clause 5.6.2.1 of the Tender Document, the Successful Bidder shall report the


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cases where the successful bidder i) chooses to exploit the CBM ii) chooses not to exploit the CBM. B. Information on 'The other relevant authority' may be provided C. Is the successful bidder at full freedom to decide the methodology/ procedures adopted for exploration of the coal block to ascertain presence of coal bed methane (CBM)? In cases there are any specific guidelines/ norms/ methods/ procedures to be followed, the same may be provided.

existence of CBM to the Nominated Authority and other relevant authority i.e. MoPNG. Bidder will also state whether or not they want to commercially exploit CBM. C. The Successful Bidder may decide the methodology/ procedure for exploration of coal block to ascertain the presence of CBM in accordance with Applicable Law. However, the Successful Bidder shall have to submit the methodology to Nominated Authority for approval.

73. Tender Document Clause 5.6.2.1 Exploitation of Coal Bed Methane If CBM is found, in the coal mine, please clarify whether gas extraction can be done only after the exhaustion of coal reserves through mining or simultaneously coal extraction and CBM exploitation in parallel may take place. May be in different patches

CBM extraction shall be in accordance with Applicable Law.It is the responsibility of the Successful Bidder to adhere to the Production Schedule as provided in Annexure I of the Tender Document & Efficiency Parameters as given in the Agreement.

74. Tender Document Clause 5.12 Rejection of Bids, Appropriation of Bid Security and Disqualification The disqualification clause doesn’t mention anything with respect to an existing act or applicability of law or any retrospective discovery of a fact existing before submission of bid which can disqualify a bidder. Disqualification clause should be explicit and not be subject to different interpretation after submission of bid.

As per Clause 5.12 of the Tender Document.

75. Tender Document - Clause 5.12.3 (j) Rejection of Bids, Appropriation of Bid Security and Disqualification As Nominated Authority reserves the right to reject any bid on any criteria specified in this Tender Document. It is therefore requested to limit the appropriation of the Bid Security in certain case like non-responsiveness of the bids. Appropriation of bid security for the reasons beyond the control of the bidder will not bring competitive participation.

Rejection of Bids, Appropriation of Bid Security and Disqualification shall be as per Clause 5.12 of the Tender Document.

76. Tender Document Clause 6 Bid Security A. Can we avoid Bid Security shall be issued in paper form in view of physical activities involved in view of current COVID-19 Pandemic.

A. As per Annexure III.3(ii) of the Standard Tender Document, the Bid Security needs to be submitted in original.


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B. Please clarify that whether BG of multiple banks may be provided? B. Yes.

77. Tender Document - Clause 6 Bid Security and Clause 7 Performance Security Bid Security and Perf Security for Un-explored blocks: Estimated Exploration Expenses should not be fixed as bidders might bring in better program.

For Partially Explored Mines, estimated exploration expense shall be as provided in Annexure I of the Tender Document.

78. Tender Document Clause 6 Bid Security and Clause 7 Performance Security The estimation of exploration expenses for partially explored mines is as per the Mandatory Work Program. The details of this program are not specified at this point in time. Thus, based on the methodology/ procedure adopted for exploration as mentioned in the Mandatory Work Program, the estimate may vary significantly. It is understood that there are various methods of exploration based on modern techniques such as 2D/ 3D seismic surveys which can reduce the estimated exploration expense as compared to CMPDIL estimates which are fully dependent upon the drilling meterage. With the introduction of latest exploration techniques which a bidder can bring through its technology partner, the expenses under mandatory work programme can be optimized and values of Bid Security & Performance Security will be much lower than CMPDI’s estimates.

For Partially Explored Mines, estimated exploration expense shall be as provided in Annexure I of the Tender Document. Bid Security and Performance Security shall be submitted in accordance with Clause 6 & 7 of the Tender Document, respectively.

79. Tender Document - Clause 6.1.1 Bid Security A. Request the Nominated Authority to provide the Bank details for sending the SFMS from the issuing bank of the bank guarantee. The bank who will issue the bank guarantee will send the Structural Financial message to the bank of the tender issuing authority/company. B. For fully explored mines it should be 15% of Upfront amount in view of current financial strain in market. C. Bid Security should be calculated on extractable reserve basis.

A. The bank account details have been provided on the MSTC website under Notifications Tab. B-C. Bid Security shall be as per Clause 6 of the Tender Document.

80. Tender Document - Clause 7 Performance Security A. The Performance Security should be an amount which is 50% of aggregate of: (a) one year royalty computed on the basis of peak rated capacity of the Coal Mine as per the approved Mining Plan and (b) one year revenue (in accordance with Clause 3.10), payable to the State Government with respect to the Coal Mine computed on the basis of peak rated capacity of the Coal Mine as per the approved Mining Plan. B. “For Fully Explored Mine…… The Performance Security shall be an amount which is 50% of aggregate of: (a) one-year royalty computed on the basis of production schedule mine capacity of particular year rated capacity of the Coal Mine as per the approved Mining Plan and (b) one-year revenue (in accordance with Clause 3.10), payable to the State Government with respect to the Coal Mine computed on the basis of production schedule mine capacity of particular year rated capacity of the Coal Mine as per the approved

Performance Security shall be payable in accordance with Clause 7 of the Tender Document. The Performance Security shall be calculated as per the weighted average grade of non-coking coal and/or weighted average grade of coking coal, as the case may be, for the Coal Mine, as per the Geological Report of the Coal Mine.


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Mining Plan. As the Performance Security needs to be submitted every year, linking it with actual production instead of Peak rated capacity will reduce the burden of adjustment and reconciliation. Also, this will reduce the financial burden on the Successful Bidder and banking system which is already stressed in post Covid-19 scenario. C. If the grade of individual seam changes in grade declaration process, will the performance security be revised accordingly based on declared grade? D. If difference in geological reserves is found between data given with tender document and actual scrutiny by bidder and CMPDI, whether Ministry of Coal shall reduce the PBG and other cost associated to it. It is requested to share reconciliation mechanism in such dependencies. E. Will the yearly revision of Performance Security be based on grade declaration by CCO? If there is revision in grade of coal mine as per grade declaration, will the revenue share, performance security etc. be revised as per the declared grade?

81. Tender Document - Clause 7 Performance Security What about the Performance BG if bidder is forced to leave the mines in between the agreement period due to conditions beyond their control (force majeure) or secondly due to his own reasons.

As per Clause 26.3 of the Agreement.

82. Tender Document Clause 7 Performance Security What is time from execution of agreement to submission of Performance BG. As the amount of BG may be high, need adequate time for arrangement, therefore advance knowledge will help us to be prepared for the same

The Performance Security shall be submitted within the time duration as mentioned in Clause 3.3.2(h)(i) and 3.8 of the Tender Document.

83. Tender Document Clause 7.1 Performance Security Kindly furnish the time schedule for depositing the Performance Security in the form of BG.

As per Clause 3.3.2(h)(i) and 3.8 of the Tender Document.

84. Tender Document - Clause 7.1.3 Performance Security A. The upward revision of performance security can be significant, especially for large blocks like Machhakata-Mahanadi or Chhendipada I-II. Since performance security is to be provided for the entire life of mine, this upward revision can prove to be significant financial burden for the successful bidder.We request that no upward revision of Performance security is done in case mining plan is revised upwards B. There should be capping in performance security based on geological reserves because it is difficult to arrange such a huge amount of bank guarantee.

A-B. Performance Security shall be as per Clause 7 of the Tender Document. C. Please refer to Clause 7 of the Tender Document and the illustration provided therein.


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C. Kindly clarify the NCI calculation for performance security.

85. Tender Document - Clause 7.1.4 Performance Security The period of validity is understandably the life of mine which is invariable more than 20 - 25 years for most of the blocks. Cost of Bank Guarantee grows enormously in 20-25 years time. Even at 3% Bank Charges, total bank charge becomes more than the amount of Performance Security in 25 years time which is to the tune more than 100 Cr for many blocks. This is a non-productive use of financial resource. Government should devise different form of security such as Provision for maintaining a fixed deposit with banks instead of providing Bank Guarantee for that amount. Interest is earned on Fixed Deposit whereas Bank Guarantees cost 2.5 - 3% of the amount BG value.


86. Tender Document - Clause 7.1.4 Performance Security The tenure of the performance security to be issued to the state government will overlap with that of submitted to the Nominated Authority. Successful Bidder has to bear the cost for preparation of performance security for the overlapping period. This clause explains that for a particular tenure 02 numbers of performance security are in place. It must be avoided. Tenure of performance security to be submitted to the state govt. will be effective immediately after the expiry date of the performance security submitted to the Nominated Authority Suggested Amendment: The Performance Security should remain valid for such duration as specified in the Agreement. Upon grant of mine opening permission under rule 9 of the Colliery Control Rules, 2004, the Successful Bidder shall submit a separate Performance Security (in the form of an unconditional and irrevocable performance bank guarantee) in favour of the State Government for the amount calculated in accordance with Clause 7.1.1 above for ensuring the production of coal as per the Mining Plan with validity from the day immediately after expiry of the performance security submitted to the Nominated Authority

Please refer to Corrigendum No 3 to the Tender Document in this regard.

87. Tender Document - Clause 9.1 Mandatory Work Program for Partially Explored Mines The estimation of exploration expenses for partially explored mines is as per the Mandatory Work Program. The details of this program are not specified at this point in time. Thus, based on the methodology/ procedure adopted for exploration as mentioned in the Mandatory Work Program, the estimate may vary significantly. It is understood that there are various methods of exploration based on modern techniques such as 2D/ 3D seismic surveys. Please provide details of the exploration methodology in the mandatory work program so that budgeted

For the Mandatory Work Program for Partially Explored Mines, number of boreholes and meterage to be drilled have been arrived at by considering the target seam and borehole density as specified in the “Modified Indian Standard Procedure for Coal Resource Estimation: 2017”. The


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expenses are in line with the best practices available and applicable for that particular block to keep the expenses within justified limits.

requirement of tests and number of samples for such tests will have to be carried out in accordance with the same standards or subsequent modifications thereof.

88. Clause 9.1 Mandatory Work Program for Partially Explored Mines A. What is Mandatory Work Program?What is the methodology to calculate/ estimated exploration expenses based on Mandatory Work Program?

A. Mandatory Work Program shall be as mentioned in Clause 9.1 of the Standard Tender Document. For the Mandatory Work Program for Partially Explored Mines, number of boreholes and meterage to be drilled have been arrived at by considering the target seam and borehole density as specified in the “Modified Indian Standard Procedure for Coal Resource Estimation: 2017” . The requirement of tests and number of samples for such tests will have to be carried out in accordance with the same standards or subsequent modifications thereof.

89. Tender Document - Clause 9.3 Revision in Mining Plan upon allocation A. Commercial mining condition stipulated that Mining has to be carried out as per peak rated capacity proposed in present mine plan. As the present mine plan prepared by previous allottee based on their proposed end use plant. Now, the authority insisting to continue with same PRC, this will create mismatching for selling of coal in the market. It is proposed that mine plan should be modified by successful bidder based on available market not as specified in present mine plan. In modified mine plan there will be all chances for enhancing and reducing PRC. B. Flexibility of Revision of the PRC, either downward or upward for a Coal Block should be allowed to improve the bidding attractiveness for a block. C. As per Ministry of Coal guidelines dated 29.5.2020, all mining plan need to be reviewed in every five years’

A-B. As per Clause 9.3 of the Tender Document C. Please refer to Para 1.2 of the Guidelines dated May 29, 2020 which states that the Mining Plan approved prior to issue of this Guideline will qualify for submission of such report/ information at least 180 days prior to expiry of 5 year from the date of notification of the Mineral Concession Amendment Rules, 2020.


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time span. Please clarify if the Mining Plan needs to be modified as soon as the Successful Bidder takes over the coal block. D. Whether Bidder would be allowed to reduce PRC of partially explored blocks while preparing Mine Plan?

D. PRC has not been stipulated for Partially Explored Mines in the Tender Document. For Partially Explored Mines, the Mining Plan shall be prepared by the Bidder after preparation of the Geological Report. However, the approval of the Mining Plan and any revision in the Mining Plan shall be as per Applicable Laws.

90. Tender Document Clause 9.3 Revision in Mining Plan upon allocation a. Whether UG mine can be converted to Open Cast mine and what shall be the procedure for the same? Whether it is permissible to extract coal through open cast even if it is earmarked for underground to extract more coal? b. If Mining Plan could be revised to reduce from PRC due to geology and operational criticalities? Bi-directional revision of PRC should be allowed while revision; flexibility of Mining Plan by the new Successful Bidder. c. The modification to the Mine Plan shall be permitted and PRC should be allowed to be reduced in case the successful bidder witness issues in the coal quality due to which these is no off take of desired quantity. Suggested Amendment: Upon allocation.... as maybe amended. The Mining Plan may be revised for such quantity where there are is a lesser off take than minimum contracted quantity due to low grade quality of coal. However, such proposal for revision of mine plan shall be approved by State Govt. or Central Govt. d.Several blocks under auction have approved mining plans that provide the mining methods such as opencast, underground or mix of opencast and underground. Since the mine plans have been prepared a while ago, the efficacy of such plans could be questioned considering the technological advancements that have taken place in the last few years. Further, the end-use considered under the earlier plan might not be relevant in today's context. Therefore, it is only practical if the bidders are allowed to change the mining method as proposed under the earlier plan. Please clarify if a change in the mining method is permissible.

As per Clause 9.3 of the Tender Document, upon allocation of the Coal Mine, the Mining Plan may be revised by the Successful Bidder, in accordance with the Guidelines for Preparation, Formulation, Submission, Processing, Scrutiny, Approval and Revision of Mining plan for the coal and lignite blocks issued vide Office Memorandum F. No. 34011/28/2019-CPAM dated May 29, 2020, as may be amended.

91. Tender Document Clause 9.4 Flexibility in Production As per Clause 9.4 of the Standard Tender


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A. It may not be technically feasible to produce 65% of the indicative peak rated capacity every year or even 75% in a three years period for many mines that have been explored but do not have a mining plan. Accordingly, minimum production requirement shall be further reduced for such mines. Alternatively, the Successful Bidder shall be allowed to vary/ reduce from the indicative peak rated capacity as described in the preceding point. B. Further flexibility of upto additional 10% to the existing levels shall be allowed on approval of State Government and Central Government for reasons attributable to change in economic conditions or business environment.

Document.

92. Tender Document Clause 9.4 Flexibility in Production Since the coal block is offered for commercial sale, Bidder can produce and sell coal based on the market condition. Hence minimum production requirement should be reasonable. If there is market, it would be in interest of Bidder to produce. Further, we understand the 3 year block should be considered as rolling 3 years? A Successful Bidder will produce coal as per the coal demand in the Market. With CIL having set its target for 1 BT , other coal producers might find difficulties in selling and marketing of coal Clause 9.4 Suggested Amendment: In a year, the Successful Bidder shall produce coal not below 50% of scheduled production for that year as per the Mining Plan subject to the condition that in any 3 year block the Successful Bidder shall not produce coal less than 65%of scheduled production for the 3 year block as per the Mining Plan. Further, the three years’ average would be calculated based on the current year and previous 2 year with respect to any year.

As per Clause 9.4 of the Tender Document. It is clarified that the 3 year block is not a rolling 3 year block. The 3 financial year block shall be counted from the first financial year of scheduled commencement of production in the Coal Mine.

93. Tender Document Clause 9.4 Flexibility in Production A. For these commercial coal blocks, the owner can reduce production up to 65% in a year and 75% in any block of three years. Whereas, the commercial coal blocks allocated to PSUs (under host and non-host states scheme) in previous tranches, the reduction was allowed up to 50% in a year and up to 80% in any five year block. Can we have similarity B. Kindly consider the provision of Discussion Paper that The Successful Bidder shall produce coal not below 50% (fifty per cent) of scheduled production in a year subject to the condition that Successful Bidder shall not produce coal less than 70% (seventy five per cent.) of scheduled production in any three year block.

As per Clause 9.4 of the Tender Document.

94. Tender Document - Clause 9.4 Flexibility in Production A. In case production is less than 65% in any particular year and the production exceeds 75% of the average

A-B. No, the payment for the shortfall quantity shall be as per the Clause 9.4 of the


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production in three year block, whether amount deducted in first year shall be refunded? B. Please clarify in case due to market conditions if there is a 'Zero Production', year than in such cases the minimum revenue share paid by the block owner as per the terms and conditions shall be adjusted in future production years. If yes what shall be the mechanism. C. Will the appropriation of performance security take place in a 3 year block or on an annual basis?

Standard Tender Document. C. As per Clause 9.4.2.1 of the Tender Document, in case of shortfall in the quantity on annual basis, the revenue for the shortfall quantity shall be paid annually. As per Clause 9.4.2.2 of the Tender Document, in case of shortfall in the quantity on 3 financial year block basis, the revenue for the shortfall quantity shall be paid at the end of 3 financial year block.

95. Tender Document Clause 9.4.2 Revenue payable to the Government in case of shortfall in coal production A. Grade of coal may vary year-on-year. Representative Price of which year and which grade of coal will be considered in case of shortfall in coal production for 3 years period? Representative Price is published every 2 months and it is different for different grades. Hence, clarity is required which Representative Price will be applicable for shortfall in production over 3 year period. B. Which Representative Price shall be considered in case of shortfall in coal production for the 1 year period or 3 years period, for calculation of Revenue payable to Government of India. Please clarify whether it will be Average of Representative Price for the respective shortfall period or it will be as per the latest Representative Price released by Ministry of Coal

As per Clause 9.4.2 of the Tender Document, the revenue share payable for shortfall quantity shall be computed on the basis of Notional Price arrived at after adjusting the Representative Price with sub-index of National Coal Index of the relevant basket of coal grade(s) for the relevant financial year/ block of 3 financial years as the case may be. It is clarified that relevant grade of coal shall mean weighted average grade of non-coking coal and/or weighted average grade of coking coal, as the case may be, for the Coal Mine, as per the Geological Report.

96. Tender Document - Clause 9.4.2 Revenue payable to the Government in case of shortfall in coal production If successful bidders produced coal as per approved mine plan but unable to sale in the market due to various unavoidable circumstances. It is proposed that relaxation has to be given in terms of Revenue share and other Liquidity damages. In order to provide a level playing field w.r.t coal block allocation to PSUs on nomination basis a relaxation needs to be given in terms of revenue sharing.


97. Tender Document Clause 9.4.2 Revenue payable to Government in case of shortfall in coal production It is financial year. Revenue payable in case


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A. We understand that all such references of "the year" is in respect the Financial Year. Please confirm. Further, for a Financial Year, production capacity would be pro rata. Further, it shall be clarified that how shortfall in revenue shall be calculated i.e. which price would be considered. Suggested Amendment: (a) In the event the annual coal production is less than 65% of the scheduled production as per approved Mining Plan, then the annual revenue share shall be paid by the Successful Bidder, within 20 days from the end of the year. In case production start in the mid of the year, scheduled production for the year and subsequent years upto reaching PRC shall be adjusted on pro rata basis to calculate shortfall. Further, such shortfall in revenue shall be calculated as follows: Shortfall = (0.65 x Scheduled Production - Actual Production) x Average Sale Price or Average Representative Price for the year whichever is higher B. We understand that the ‘year’ referred in the clause will be based on the approved Mining plan, please confirm.

of shortfall in coal production shall be as per Clause 9.4.2 of the Standard Tender Document.

98. Tender Document Clause 9.4.2 Revenue payable to the Government in case of shortfall in coal production A. Incase the Successful Bidder fails to meet the 65% production target in a year but guarantees more than 75% average production threshold for the consecutive three years (including the shortfall year), will the penalty amount for annual production shortfall be adjusted against the over-achievement beyond 75% threshold in the next year?

No, revenue share towards shortfall quantity shall be payable as per Clause 9.4.2 of the Tender Document.

99. Tender Document - Clause 9.4.2.2 Revenue payable to the Government in case of shortfall in coal production To calculate the revenue share for the shortfall quantity, Representative Price to be adjusted with which year's Sub-index of National Coal Index of the relevant basket of coal grade(s) for the relevant block of 3 years. In the illustration, for Block 1 Year 2 / average NCI of 3 years is taken and for Block 2 Year 2 / highest NCI is taken.

As per Clause 9.4.2 of the Tender Document, the revenue share payable for shortfall quantity shall be computed on the basis of Notional Price arrived at after adjusting the Representative Price with sub-index of National Coal Index of the relevant basket of coal grade(s) for the relevant financial year/ block of 3 financial years as the case may be. In the illustration given in the tender document, the NCI for both block 1 & 2, the NCI has been given as average NCI for the respective 3 years. However, for block 2, the


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average NCI of 130.67 has been written as 131 in rounded off form, in the illustration.

100. Tender Document - Clause 9.5 Relinquishment of Partially Explored Mine Relinquishment/ surrender of Coal Mine is allowed only for the Partially Explored Mines. This may also be allowed, without any financial implications like forfeiture of Performance Security, to the explored blocks.

Surrender of Fully Explored Mines shall be as per the provisions of the Tender Document and the Agreement.

101. Tender Document Clause 9.5 Relinquishment of Partially Explored Mine The Partially Explored Blocks are being offered after finding reasonable prospect of Geological Reserve economically viable for exploitation and based on such reports supplied with the bid document the prospective bidders are bidding after paying the bid price of Rs 5 lakh. In case after proper exploration work up to the satisfaction of the concerned authority the block is not found to be economically viable for exploitation, then what is the rationally behind not paying the exploration cost to successful bidder in case of handing over all exploration report/data to the Govt.

As per Clause 9.5.2 of the Tender Document.

102. Tender Document Clause 9.5 Relinquishment of Partially Explored Mine After completing the mandatory work program for partially explored mines, if the peak capacity of mine does not match or is not higher than the peak capacity of mine given by ministry of coal during presentation at the launch of commercial coal mining, does the bidder have to compulsorily relinquish the mine just because the peak capacity does not match or is not higher than as given by ministry of coal or is there any mechanism to deal with this issue.

For Partially Explored Mines, the Mining Plan shall be prepared by the Bidder after preparation of the Geological Report and PRC shall be determined accordingly. However, the approval of the Mining Plan and any revision in the Mining Plan shall be as per Applicable Laws. Only a tentative assessment on PRC has been done and given in the mine summary.

103. Tender Document Clause 9.5 Relinquishment of Partially Explored Mine In case of such relinquishment, will the cost of exploration of a particular block be considered as a part of Fixed Amount for the future auction process of the said block? Will the cost of exploration expended be recovered from the future successful bidder of that block and will it be returned to the previous block allocatee?

No, as per Clause 9.5.2 of the Tender Document.

104. Tender Document Clause 9.5.1 Relinquishment of Partially Explored Mine Why partial relinquishment of land area is not allowed? Partial relinquishment of non-coal bearing zone will increase the land availability for other usages and reduce burden of various obligations and costs w.r.t. to such non-coal bearing area for successful bidder.


105. Tender Document - Clause 9.5.1 (i) Relinquishment of Partially Explored Mine In case of such relinquishment, cost of exploration of a particular block will be considered as a part of Fixed Amount for the future auction process of the said block. It will be recovered from the future successful bidder



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of that block and will be returned to earlier bidder (As per present practice). Suggested Amendment: After completing the prospecting operations as per the Mandatory Work Program and preparing the Geological Report, acceptable to the Central Government, the Successful Bidder may either i) relinquish the Coal Mine (subject to the approval of Central Government) after submitting all reports, studies and other documentation related to the geological prospecting/ exploration of the area to the Nominated Authority and the State Government. In such an event, no penalty shall be levied and the Performance Security of the Successful Bidder shall be returned in accordance with the Agreement. Cost of exploration of a particular block will be considered as a part of Fixed Amount for the future auction process of the said block. It will be recovered from the future successful bidder of that block and will be returned to earlier bidder.

106. Tender Document - Clause 9.5.2 and Agreement Clause 5.3.2.6 Relinquishment of Partially Explored Mines Reimbursement of expenses incurred by allottee, when the coal block is allotted afterwards to a new allottee. Suggested Amendment: Upon withdrawal of the [Vesting Order/ Allocation Order] of a Partially Explored Mine on account of any reason whatsoever, including relinquishment of Coal Mine, surrender of Coal Mine, failure to complete the prospecting operations as per the Mandatory Work Program and/ or failure to prepare the Geological Report which is acceptable to the Central Government, the expenses incurred by the Successful Bidder towards prospecting/ exploration operations, preparation of Geological Report shall not be reimbursed by the Ministry of Coal. However, if the Geological Report is prepared and accepted by the Central Government, and after relinquishment of the coal mine, the mine is allotted to any new allottee, then the expenses incurred by Prior allottee towards exploration activities shall be reimbursed by new allottee to allottee. Rationale: If the exploration activities have been completed by the allottee, the Geological Report is prepared and accepted by the Central Government, then the Geological Report is useful one for the new allottee. Therefore, the expenses incurred by Prior allottee towards exploration activities should be reimbursed by new allottee to allottee.


107. Tender Document - Clause 9.5.2 Relinquishment of Partially Explored Mine A. Please clarify the methodology for the reimbursement of the exploration expense if a bidder chooses to relinquish the rights of the partially explored coal mine after completing the prospecting operations as per the Mandatory Work Program and preparing the Geological Report in accordance with the guidelines.

A-B. As per Clause 9.5.2 of the Standard Tender Document, the expenses incurred by the Successful Bidder towards prospecting/ exploration operations, preparation of Geological Report shall not be reimbursed


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B. Kindly clarify in case the successful allocatee wants to surrender the coal block, will the Government play any role in getting the compensation paid as it is doing in case of the prior allocatee. If not, then will there be any provision for B2B settlement of the amount payable to the prior allocatee by the Successful bidder. C. What methodology has been used to derive estimated exploration expenses for un-explored blocks. Please detail.

upon withdrawal of the Vesting Order/ Allocation Order of a Partially Explored Mine on account of any reason whatsoever. In case of a relinquishment as per Clause 9.5.1, only the Performance Security submitted by the Bidder shall be returned. C. Estimated exploration expenses have been derived considering the quantum of exploration required in the block and analysis of coal core required as per ISP 2017 norms. Cost of drilling has been considered to be Rs.10,800.00 per meter (inclusive of core analysis charges) which is Ministry of Coal approved rate for 2020-21.

108. Tender Document Annexure I - Mandatory Work Program and Production Schedule It is requested that a grade wise production plan for each year is provided. Such grade-wise production data would be essential in the assessment of revenue and viability of the mine.

Production Schedule shall be as provided in Annexure I of the Tender Document. For grade details, please refer to the mine specific documents in the Mine Dossier.

109. Tender Document Annexure II Representative Price Please clarify what is the size of coal for which Representative Price of Coal is published ( - 200 mm / -100 mm / -50 mm) and whether the Representative Price would be reduced to arrive at ROM coal before calculation of Revenue Share.

Representative Price is for ROM Coal.

110. Tender Document Annexure II Representative Prices A. Kindly provide the calculation for the representative prices for the various grades of Coal as there appears to be significant variation as compared to the CIL Notified Prices for the same grade of coal. Kindly provide us excel sheet containing details as to how representative price arrived at for each grade of coal. B. How the representative price is fixed? C. The representative prices as per proposed coal index is significantly higher than the current CIL notified prices for coal of same grade. How will the Bidder realize revenue at representative prices?

A. Kindly refer Annexure II – Representative Price of the Tender Document for Representative Prices of various grades. B. Please refer to the Office Memorandum No. NA-102/3/2017-NA dated June 4, 2020 - Notification of Representative Prices for March 2020.


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C. As per the terms of the Tender Document, there are no restrictions on the selling price of coal by the Successful Bidder. Representative Price is an input to calculate the Monthly Payments by the Successful Bidder in accordance with Clause 3.10 of the Tender Document. However, the sale price of coal may be different from the Representative Price.

111. Tender Document Annexure II Representative Prices It is understood that for fixing Representative Price for Washery Grade V & VI, the same of G-9 & G-12 grade non-coking coal respectively are to be considered. However, there is import component in the sub-index of NCI non-coking Low grade. It is not clear how notional prices of Washery Grade V & VI shall be determined going forward - will it be linked to G-9 & G-12 non-coking coal and therefore have an import component OR it shall be linked with W-I to W-IV grade washery coal which does not have an import component. Clarification is sought on the appropriate sub-index of NCI to be used for determination of Notional Price for 1) Washery Grade V 2) Washery Grade VI

As per Para 2.2 II of the MoC's Order F. No. 13011/2/2020-CBA2-Part(2) dated May 28, 2020, Washery V and Washery VI may be treated as corresponding grade of non-coking coal. Accordingly, Washery V shall be treated as G9 and Washery VI as G12 grade of non-coking coal. Grade-wise representative prices for all grades including Washery V and Washery VI have been given in Annexure II of the Tender Document. Sub-index sub-of NCI to be used for determination of Notional Price for Washery Grade V and Washery Grade VI would be the sub-index for G9 and G12 grade of coal respectively.

112. Annexure III 3(ii) Offline Submission of certain original documents Due to present Covid-19 pandemic and various restrictions imposed by the government, long distance travelling is a great challenge to all. So, it is our request to the Nominated Authority to accept the hard copy in multiple locations in the country. Offices of Coal India Limited, NTPC Ltd and other government companies located in different parts of the country can be allotted for the said purposes.

As per Annexure III 3(ii) of the Tender Document, the Bid Security, Power of Attorney, Certified extract of the charter documents and certified true copy of the documents such as a board or shareholders resolution authorizing the execution of this power of attorney and affidavit shall be submitted at the following address:


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The Nominated Authority Ministry of Coal Room No. 120, F-Wing, 1st Floor, Shastri Bhawan New Delhi - 110001 Bidders can submit the bid through various postal methods as well. However, the bid should be received at the abovementioned address before the Bid Due Date.

113. Tender Document - Annexure III 3(iii)(b) Opening of Initial Offer A. As the intimation shall happen just 2 hrs prior to the scheduled auction process, and subsequently, a technical qualified bidder becomes eligible as a qualified bidder to bid, then how much minimum time does this new bidder have to participate prior to scheduled timelines? Suggested Amendment: Initial Offers shall be opened one day before the scheduled date of e-auction of the respective Coal Mine. For example, Initial Offer for coal mine(s) scheduled for e-auction on 04.09.2020 will be opened on 03.09.2020. All Technically Qualified Bidders will be ranked in accordance with Clause 3.3.2(b) and the determination of Qualified Bidders shall be made in accordance with Clause 3.3.2(b). Only the Qualified Bidders shall be intimated about their qualification for participation in electronic auction through notification on MSTC website within their secured login as well as a system generated email. Such intimation shall be sent 2 hours prior to the scheduled start of e-auction. The remaining Technically Qualified Bidder (i.e. Technically Qualified Bidder who is not a Qualified Bidder), if any, should note that it may become a Qualified Bidder if one or more of the original Qualified Bidders become ineligible to bid. In such case, the scheduled start of e-auction process shall be revised so that this new qualified bidder has at least 2 hrs time before the revised time for start of the e-auction process. B. Qualified Bidders would be informed about participation in E auction 2 hours prior to start, request to allow at least 1 day intimation.

As per Annexure III of the Tender Document, the Qualified Bidders shall be intimated about their qualification for participation in electronic auction through notification on MSTC website within their secured login as well as a system generated email. Such intimation shall be sent 2 hours prior to the scheduled start of e-auction. Provisions of the Tender Document shall apply.

114. Tender Document Annexure V - Power of Attorney for signing the bid We understand that Power of Attorney for the signing of the bid can be provided to the Director of the Company for authorising him to sign bid documents and all other such acts, deeds and things as are necessary

As per Annexure V of the Tender Document, the Power of Attorney holder who is authorised to sign bid documents and all


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or required in connection with or incidental to submission of bid and Power of Attorney holder need not mandatorily be employee of the company.

other such acts, deeds and things as are necessary or required in connection with or incidental to submission of bid shall be an employee of the Bidder.

115. Tender Document Annexure VI – Format of Affidavit Clarity may be provided as below: - Is the bidder expected to provide details of all documents brought on the website of MSTC pertaining to this bid process only OR all documents brought in prior auctions (prior to this 11th tranche of CMSP auction/ 1st auction of MMDR auction) - If these documents refer to all prior auctions, then what is the chronological sequence – does this start with the 1st Tranche of CMSP block auctions since 2015? - What should be the overall content of each of these paragraphs? Nominated Authority may provide an illustration/ example of these paragraphs for clear understanding for the bidders

Bidders are required to list the documents which are being submitted along with the bid under current tranche of auction.

116. Tender Document Annexure VIII - Bank Guarantee for Bid Security A. All the banks are insisting on inserting following (or similar) para after point 12 of the BG format: The liability of the Guarantor under this Guarantee shall not exceed Rs. ______ (value in figures) (value in words). (the “Guaranteed Amounts”). This Guarantee shall be valid up to the _____“Expiry Date”). Notwithstanding anything to the contrary contained herein, no obligation of the Guarantor to pay any amount under this Guarantee shall arise prior to the fulfilment of the following conditions precedent: (a) written claim/demand(s) in terms of this Guarantee of an aggregate amount less than or equal to the Guaranteed Amounts is/are made by the Beneficiary hereunder; and (b) such written claim/demand(s) is/are delivered to the Guarantor on or before the Claim Expiry Date _______at the ICICI Bank branch located at XXXXXX. Kindly confirm is this is not deviation to BG since no change in the conditions is being suggested. B. Several banks are insisting on the claim period of 1 year (including SBI).

A. Yes, the same would not be considered as a deviation. B. As per Clause 6 of the Tender Document, minimum BG validity should be 210 days from the Bid Due Date and the minimum claim period should be 60 days from the end of BG validity.


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Could you please check if it is mandatory to have EMD Claim period of 1 year beyond the BG validity date? They refer Section 28 of Indian Contract Act exception 3. Also, if so, what would be BG expiry date and claim period. Currently format says 270 days validity including 60 days claim period. So will it be 210 days validity and 1 year additional claim period or 270 days validity and 1 year claim period beyond 270 days?

117. Agreement Clause 5.1 Commencement Plan Is this 30 days’ timeline applicable for CBM extraction along with coal extraction work plan? If yes, this may require to be extended for CBM cum coal extraction work plan. CBM extraction can be significant new topic for many bidders in India. Therefore, an extension in timeline may be required to establish a robust work plan for CBM cum coal extraction work plan.

As per Clause 5.1 of the Agreement, the timeline is for a detailed plan towards commencement of prospecting and/or mining operations at the Coal Mine. Bidder may choose to include CBM in the same.

118. Agreement New Clause 5.2.1A In case of Partially Explored Mines, if actual grade of Geological Reserves in the approved Geological Report (upon completion of Exploration) is found to be different than the Coal Grade at the time of auction, the value of Upfront Amount and Performance Security shall be adjusted considering the Grade of Geological Reserves as per approved Geological Report.

Upfront Amount is calculated as per Clause 1.1.32 of the Standard Tender Document and Clause 3.9.1 of Standard Tender Document. Performance Security is calculated in accordance with Clause 7 of the Standard Tender Document.Therefore, the grade and quantity of Geological Reserves shall be as per the Geological Report.

119. Agreement Clause 5.2.2 Failure to pay the Upfront Amount There no time extension provision in case there is delay due to the reason not attributed to the successful bidder

As per Clause 5.2.2 of the Standard Agreement

120. Agreement Clause 5.3.2.3 Relinquishment of Partially Explored Mine A. Bidder should be allowed to relinquish mine even if it doesn't complete Mandatory Work Program if it is established based on the part exploration that property is not technically feasible to exploit. B. Purpose of auctioning Partially Explored Block is to establish reserve and then undertake mining. In exploration, some areas may not have sufficient potential and hence relinquishment of Part area shall be allowed. Upon detailed exploration Bidder if discovers that a part of block does not contain reserves or poorer quality reserves for which commercial mining is not viable (like Under Ground mining would be required at later stages of the Open Cast project) and Bidder does not intend to exploit those areas, then he should be allowed to relinquish or surrender that part of mine.

A. Relinquishment of Partially Explored Mine shall be as per Clause 5.3.2.3 of the Agreement. B. As per Clause 5.3.2.3 (a) of the Agreement, relinquishment of a part of the Partially Explored Mine shall not be permitted.


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Agreement Clause 5.3.2.3(a) Suggested Amendment: .. relinquish the Coal Mine (subject to the approval of Central Government), after submitting all reports, studies and other documentation related to the geological prospecting/ exploration of the area to the Nominated Authority and the State Government in accordance with SCHEDULE D (the “Efficiency Parameters”). Upon relinquishment, no penalty shall be levied and the Performance Security of the Successful Bidder shall be returned and this Agreement shall be terminated. Bidder may be allowed to relinquish a part of mine if it is found to be unviable after exploration by the Bidder

121. Agreement Clause 6.1.6 Performance Security Please confirm the initial validity period required for the Bank Guarantee for the Performance Security

As per Clause 6.1.6 of the Agreement, the Successful Bidder may submit the bank guarantee constituting the Performance Security with a validity period of 1 (one) year.

122. Agreement Clause 8.1.2 Sale of Coal What is the prescribed format for self-declaration in the form of monthly report and an annual report audited by the statutory auditor?

As per Clause 8.1.2 of the Standard Agreement.

123. Agreement Clause 9 Monthly Payments and Adjustment As per tender terms, Monthly Payments shall be based on higher of Notional Price or Actual Price for sale of coal of relevant coal grade. By this, we understand that to calculate the total liability of Successful Bidder towards Monthly Payment, Total Sale value of all transactions in a month would be compared with the Total Sale value arrived at basis Notional Price of coal of relevant grade i.e. average sale price of month and average notional price of month would be compared. Comparison will not be for each transaction or rake. Kindly clarify.

As per Clause 9 of the Standard Agreement, Notional Price shall be of the date on which statutory royalty is payable. Accordingly, the comparison of Notional Price and Actual Price would be for each transaction.

124. Agreement Clause 10.3 and Agreement Clause 26.3.1(h) Efficiency Parameters The no. of instances of non-compliances should be same in agreement clause 10.3 & 26.3.1 (h). Agreement Clause 26.3.1(h) Suggested Amendment: delay in achievement of the Efficiency Parameters (Milestones) by the Successful Bidder for more than five instances (in aggregate and not over a specified period) as provided in Clause 10.3;

Clause 10.3 of the Agreement shall be read as "Any non-compliance with the Efficiency Parameters would result in appropriation of the Performance Security in the manner stipulated in Clause 6 (PERFORMANCE SECURITY) and in case where such non-compliance exceeds for more than three instances, such non-compliance may also result in termination of this Agreement as


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provided in Clause 26 (EFFECTIVE DATE, TERM AND TERMINATION)."

125. Agreement Clause 10: Efficiency Parameters What are the repercussions in case a successful bidder upon signing the agreement is not able to commence production/operations for the block in the time stated?

A successful bidder will have to comply with the efficiency parameters as provided in the Agreement. Any non-compliance with the Efficiency Parameters would result in appropriation of the Performance Security in the manner stipulated in Clause 6 of the Agreement and in case where such non-compliance exceeds for more than three instances, such non-compliance may also result in termination of the Agreement as provided in Clause 26 of the Agreement.

126. Agreement Clause 11.2 Authorisations The Successful Bidder has to obtain and maintain all Governmental Approvals required for conducting the mining operations at the Coal Mine and performing its obligations under this Agreement. Certain mines are located in areas with forest cover and geological difficulties which may attract imposition of additional conditions/obligations in various clearances, the cost of which may not be factored during the bidding stage. However, there is no provision in the CMDPA to cater the cost of imposition of additional conditions/obligations in any Governmental Approvals, if any, required by the authorities or change in law (For eg. - mining restrictions). As per Mine Summary published, certain mines have remark as to forest cover or presence of inviolate area etc. In such case Bidder must know possible financial obligations to value the asset.

Bidders are required to conduct the mine development and operations as per Applicable Laws and the cost of mine development and operation shall be borne by the bidder. The Mine Dossier of the Coal Mine is being provided only as a preliminary reference document to the prospective Bidders, who are expected to carry out their own surveys, investigations and other detailed examination of the Coal Mine before submitting their Bids.

127. Agreement Clause 11.3 Geological and Archaeological Finds In case the discovery of other minerals other than minor minerals and CBM in mining lease area, is Nominated Authority going to cancel the mining CMDPA agreement? If yes, what are compensation norms for successful bidder?

As per Clause 11.3 of the Agreement and Applicable Laws.

128. Agreement Clause 12.1 Contractors and Sub-Contractors The contractual arrangement is business confidential information between Owner and Contractor and thus should not be asked. Ministry of Coal may take relevant declaration to comply with law. Suggested Amendment:

As per Clause 12.1 of the Standard Agreement.


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In the event the Successful Bidder enters into any agreement with any contractor in relation to the mining operations at the Coal Mine, then the same shall be intimated to the Nominated Authority within fifteen Business Days of its execution and Successful Bidder shall ensure such engagement in compliance with Law .

129. Agreement Clause 12.2 Contractors and Sub-Contractors Are all sub-contract (many may not be directly and indirectly associated with work applicable under CMDPA agreement) will fall under the terms and conditions of this agreement? There are many sub-contractor of contractor (deployed for various work program for development of coal mine/block) which may not be directly / indirectly associated with work applicable under CMDPA agreement. Therefore, those sub-contractors of contractors should not be liable for terms and conditions under this agreement.

As per the provisions of Clause 12.2 of the Standard Agreement

130. Agreement Clause 22 Insurance Please list out all types of Insurances which Ministry of Coal has contemplated from the Successful Bidder to maintain during Development and Operation stage. Also kindly clarify what does it mean by "(including deductibles, co-insurance and self-insurance, if adequate reserves are maintained with respect thereto)"

As per Clause 22 of the Agreement.

131. Agreement Clause 23.2 Appointment of Auditors This clause may kindly be deleted. Successful Bidder maintains books of these accounts through internal as well as external auditors. Hence appointment of Third party auditor is not required.


132. Agreement Clause 25 Events of Force Majeure Change in law, which shall have an impact of increase in cost of production, should be allowed to be adjusted against payments due by the successful bidder. Otherwise Change in law should be incorporated as a Force Majeure event with above mentioned remedy.

Events of Force Majeure shall be as per Clause 25 of the Agreement.

133. Agreement Clause 25 Events of Force Majeure A. Impact of Force Majeure event does not cater to the mining lease period. If there is any impact/delay due to any Force Majeure Event as per Clause 25, the period of mining lease period shall be extended accordingly. Successful bidder shall require additional time for production as desired at the time of bidding. B. In case of any force majeure event which last more than 30 days, will the Authority release the PBG of the successful bidder on the bases of proportionate of work done by the successful bidder as per “Aatmanirbhar Bharat” guideline of Govt. of India.

A. Mining lease shall be as per Applicable Law. B. As per Clause 25 of the Agreement.

134. Agreement Clause 25.1 Event of Force Majeure Events of Force Majeure shall be as per


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Delay or denial of statutory approvals is beyond the control of the Successful Bidder and any delay in granting regulatory approvals should be considered Force Majeure. Agreement Clause 25.1 Suggested Amendment: ... (vii) Delay/ denial of Statutory approvals / clearances from relevant Government Authority...

Clause 25 of the Agreement.

135. Agreement Clause 26.2 Term Mining Lease for coal mines is granted for period of 30 years only. However, if the mine life period is more than 30 years, say for 35 years, in that case please clarify whether it is mandatory for Successful Bidder to renew the Mine Lease till exhaustion of reserves and whether the mine closure shall still be carried out by the Successful Bidder or not.

It is mandatory for the Successful Bidder to renew the mining lease in case extractable reserves are remaining in the Coal Mine. Mining lease shall be renewed in accordance with Applicable Law. Mine closure activities shall be the responsibility of the Successful Bidder.

136. Agreement Clause 26.2 Term Beyond the term following the Mine Opening Permission, when the CMDPA cease to exist, would Termination events be the termination event of the Mining Lease?

Yes, the termination events would be applicable for Mining Lease and Vesting/ Allocation order.

137. Agreement Clause 26.3.3 Termination Suggested Amendment: 26.3.3 In case the Nominated Authority elects to terminate this Agreement except in the case mentioned in 26.3.1 (q) above wherein a Successful Bidder surrenders mine due to unviability, due to economic, technical or any other reason, then the Performance Security and all other payments made by the Successful Bidder shall be forfeited and the Successful Bidder shall not be entitled to any benefits under this Agreement but would continue to be liable towards any antecedent liability, all obligations accrued before the effective date of the surrender/ termination and also for the obligations that must be fulfilled after termination. Rationale: Forfeiture of Performance Security and other payments should not be applicable to Successful Bidder who surrender the mine in case of unviability due to economic, technical or any other reason, or due to presence of poorer grade and lesser reserves as notified by Ministry of Coal or due to issues pertaining to Land Acquisition or due to presence of conservation zone in the block area or for any reasons beyond control of Successful Bidder.

As per Clause 26.3.3 of the Standard Agreement.

138. Agreement Clause 27.7 Governing Law and Dispute Resolution This is only applicable in the event the Successful Bidder is a Central Public Sector Enterprises which has been awarded a coal block under the MMDR Act. Why there is different routes for Central Public Sector Enterprises



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and other entity in the event of dispute resolution through arbitration?

139. Agreement Clause 28.4.2 Costs and Expenses Request for a methodology for calculating the stamp duty cost associated with the Agreement which is to be borne by the Successful bidder.

Stamp duty shall be payable as per Applicable Laws.

140. Approvals: A. The CMDPA creates rights in favour of the State Government to receive benefits under the Agreement. Further, the CMDPA also makes the Successful Bidder responsible for furnishing the Performance BG in favour of the State Government. At the same time, there is not even a single responsibility cast on the State Government. It is required that the State Government is made party to CMDPA to ensure that the legal lacuna in the CMDPA is addressed, without which, creation of rights in favour of a third party may be fraught with legal challenges. B. State Govt has a critical role to play in most of the approval process and they are the key stakeholder and beneficiary. CMDPA should be made tripartite between Ministry of Coal, State Govt and SB to make the process effective and avoid any delay in operationalising the mines. C. We have heard that many states have raised objection or gone to Supreme Court against mines in No Go Area or falling under sensitive / protected zones / tribal areas, particularly in Chhattisgarh and Jharkhand? What will be the stand of Government on the same?

A-B. The Agreement shall be executed between the Nominated Authority and the Successful Bidder. The terms and conditions of the Agreement shall be included in terms and conditions of the Mining Lease for the Coal Mine along with any other terms and conditions that the Central Government or the State Government may deem fit under the Mineral Concession Rules, 1960 and upon grant of the mine opening permission under rule 9 of the Colliery Control Rules, 2004, the Agreement shall stand terminated. Upon termination of the Agreement, the rights of the Nominated Authority under the Agreement shall vest into State Government. C. List of mines being auctioned in the current tranche of auction has been uploaded on the MSTC Portal. Any change in the same would be communicated to the Bidders through a corrigendum/ addendum.

141. Block boundary: It is understood that in many cases the block boundary demarcation has not been done through DGPS survey. In this connection can the nominated authority hand over the block to the successful bidder after accurate demarcation of block boundary?

The block boundary shall be as per the Geological Report.

142. Cancellation of Coal Linkage Upon the allotment of any block, is coal linkage cancelled which is allotted to them earlier than this auction?

Applicable guidelines for allocation of linkages shall apply.

143. Change in Law: Fixed Amount shall be payable as per Clause


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Provision for Change in law to be incorporated in the Agreement. If as a result of Change in Law, any additional costs are incurred in relation to the performance of its other Obligations under this Agreement, such amounts shall be adjusted from the periodic payments made by the successful bidder as per Clause 3.10.

3.3.2 (h)(ii) of the Tender Document. The Fixed Amount is based on the available information and the assessment made by the Competent Authority and is subject to final settlement. Any upward revision in the Fixed Amount on a subsequent date by the Government or the Nominated Authority consequent upon any process or on the orders of any competent court of law, shall also be payable by the Successful Bidder. Additionally, in case of any downward revision in the Fixed Amount on a subsequent date by the Government or the Nominated Authority, the same would be refunded by the Nominated Authority to the Successful Bidder.

144. Clearances a. What will be the maximum time to get all the clearances from Govt for start of Production? b. If a fully explored mine is there, and a habitat is now settled again in the mines area, how would that be removed from the mines and who would bear the cost? c. Will State Government facilitate in obtaining approvals/ clearances, land acquisition and R&R? Please share the additional requirements in the terms of clearances and expected timelines for blocks in High Conservation Zone (HCZ) in consultation with relevant ministries at state and central level. d. Whatever the data mentioned in Tender document regarding all statutory / legal clearances, this should be considered as final. State / central govt should not impose any further clearances should require. e. It is expected that the existing approvals and clearances shall be deemed transferred to the new allottee.

a. As per Clause 10 Efficiency Parameters provided in the Agreement. b. The development of the coal mines in accordance with Applicable Laws, shall be the responsibility of the Successful Bidder, at their costs. c. Getting the necessary clearances/ consents/ approvals shall be the responsibility of the Successful Bidder. For the mines in the High Conservation Value Zone, the MoEFCC orders have been uploaded in the specific mine dossiers for


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However, there are some cases where the mining lease area is changed from the prior allotment to the new offering. In such cases the new allottee shall be allowed to start mining with the existing approvals and the new approval obtaining process can run in parallel.

reference. d. All statutory clearances/ consents/ approvals shall be obtained by the Successful Bidder in accordance with Applicable Law. e. All the mining operations shall be as per Applicable Law and the timelines for development shall be as per the Efficiency Parameters provided in the Standard Agreement.Getting the necessary clearances/ consents/ approvals shall be the responsibility of the Successful Bidder.

145. Clearances: A. Kindly clarify in case the clearances are not given by the Government Authority in time and the production delayed, will there be any compensation or interest cost paid by the Government B. As per CM(SP) Act, all the statutory clearances and movable/ immovable properties will be vested to the successful bidder. it may please be clarified whether the partial processed clearances will be transferred to the successful bidder or the Successful bidder will be required to take fresh approvals in case there is partial clearances. Considerations of partially processed clearances/permits may please be accorded to move from as is basis. C. Whether the stage II forest clearance which was earlier granted to Previous Allottee will be transferred/renewed in the name of Preferred Bidders /present block owner without any further payment to Central or state forest Dept or re-arranging the compensatory land. In case of applying afresh whether the Preferred Bidders /new lease holder/ Block owner will have the give undertaking for the payment against the i) earlier broken & exhausted land and ii) earlier broken, but not yet exhausted land. D. Whether the all other land acquired by Prior/ Previous Allottee will be automatically transferred in the name of the Preferred Bidders /new lease holder/ Block owner after payment of fixed amount as described in

A. No. B-D. Upon issuance of Vesting Order for Coal Mines being auctioned under the CM(SP) Act, 2015, the statutory licences, permits, permissions, approvals or consents obtained by the Prior Allottee for the Coal Mine, shall vest in the Successful Bidder. The Successful Bidder shall be required to follow due procedure for transfer of the same. The Successful Bidder shall be responsible for obtaining clearance/ approvals etc. in accordance with Applicable Law.


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Clause 3.3.2(h)(ii) of Standard Tender Document.

146. Clearances: A. State Government shall be involved in the auction process to have better coordination now and in the future and shall facilitate in obtaining approvals/ clearances, land acquisition and R&R. B. Kindly clarify if there were any discussions regarding allowing Land acquisition using CBA in case of commercial mining, whether such provision will be implemented, as it will make a huge difference in the choice of coal block C. At some places in mine dossier it is mentioned under high conservation zone / reserve forest;what exactly does it mean and are there any mining constraints with respect to this? D. Will the State Government help in getting pending statutory clearances including public hearing ? What if we are not able to get statutory clearance after winning the block ? Whether all the clearances will be process from a single window system by the state?

A & B, D. A Project Monitoring Unit has been set up at the Office of Nominated Authority for assisting bidders in obtaining clearances. However, it shall be the responsibility of the Bidders to obtain clearances and approvals as per Applicable Laws. A single window clearance is being devised for faster online processing of applications for clearances. The Ministry has prepared a proposal to acquire land under CBA Act and proposal is under consultation with states. However, the responsibility of obtaining clearances/approvals/ land acquisition etc. shall remain with the Successful Bidder. C. All the mines which have been put up for auction have been finalised after discussions with Ministry of Environment, Forests & Climate Change. For the mines in the High Conservation Value Zone, the MoEFCC orders have been uploaded in the specific mine dossiers for reference.

147. Clearances: Withdrawal of blocks after award or after conducting auction process should be avoided, in such a case the H1 bidder of such block would be financially and commercially aggrieved as he would have missed opportunity to participate and bid for alternative block. Getting the host state government NOC before the auction can address such issues.

List of mines being auctioned in the current tranche of auction has been uploaded on the MSTC Portal. Any change in the same would be communicated to the Bidders through a corrigendum/ addendum.

148. Clearances: A. For transfer of land and mining infrastructure, several taxes/ duties/ charges such as registration fees,

A. All the cost shall be borne by the Successful Bidder.


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stamp duty etc. would have to be paid out. It may be clarified that as to who would have to bear this cost. Considering that this may be a sizeable amount, these taxes/ duties/ charges for transfer of land including registration fees, stamp duty, etc. should be waived off by the Central Government. B. As per the mine dossier for assets, the Environment clearance as well as all Stage I and Stage II forest clearances are in the name of mine which is specified to be owned by the previous allottee. Kindly clarify the mechanism for transfer of these clearances when this asset is awarded to the Successful bidder. Nominated Authority through appropriate amendment in the clearance shall provide a revised EC and FC along the lines of the previous clearances to the successful bidder before the signing of Coal Mine Development and Production Agreement. C. What would be the impact of high conservation zone on successful bidder. D. If there is delay in diversion of forest area can the block be relinquished?

B. Upon issuance of Vesting Order for Coal Mines being auctioned under the CM(SP) Act, 2015, the statutory licences, permits, permissions, approvals or consents obtained by the Prior Allottee for the Coal Mine, shall vest in the Successful Bidder. The Successful Bidder shall be required to follow due procedure for transfer of the same. The Successful Bidder shall be responsible for obtaining clearance/ approvals etc. in accordance with Applicable Law. C. All the mines which have been put up for auction have been finalised after discussions with Ministry of Environment, Forests & Climate Change. For the mines in the High Conservation Value Zone, the MoEFCC orders have been uploaded in the specific mine dossiers for reference D. Surrender of the coal mine shall be in accordance with the provisions of the Agreement.

149. Coal Blocks: A. The Chhattisgarh government has asked the Centre not to allow auction of coal blocks Morga II, Morga South, Madanpur North and Sayang which fall under biodiversity rich forest. What would be the financial exposure of successful bidder if either Government cancels the block or successful bidder is not able to get the clearances due to high conservation zone. Also how Government will protect financial exposure of successful bidder in such case. If the block is cancelled before allotment then Gov should refund cost of tender document i.e. INR 5 Lacs. If cancelled by Government or successful bidder is not able to get the clearances due to high conservation

List of mines being auctioned in the current tranche of auction has been uploaded on the MSTC Portal. Any change in the same would be communicated to the Bidders through a corrigendum/ addendum.


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zone then Government shall consider same as force majeure and refund the upfront amount, fixed fee, statutory payments made for clearances any other documented expenses as well as release performance bank guarantee B. In the month of December 2019, a list of 80 mines was proposed for Commercial Mining but later in 18.06.2020, 41 mines were finally put out for Auction. Recently, Bander Mine is further removed from list. It is proposed that a few more blocks, preferably in the states of Odisha and Chhattisgarh are put out for the Auction of Coal Blocks for sale of coal, to allow greater participation of interested bidders

150. Coal Evacuation A. In view of difficulty of evacuation of coal from the area, it is very important that planned coal evacuation railway corridor comes at the earliest. Kindly provide status and expected targets of completion of railway line corridor planned. Kindly clarify whether any infrastructure investment will be done by the Government or the successful allottees to develop their own evacuation infrastructure B. Who would ensure availability of free access road and encumbrance free coal evacuation road from the block if litigations surface out later? C. Entire tender document and bidding process is silent on coal evacuation infrastructure. How the Govt wants to build regional coal corridors and details such as : a) Tentative plan for coal evacuation infrastructure b) What relief will be given to successful bidder in case logistics infrastructure is not built up?

The evacuation infrastructure shall be the responsibility of the successful bidder. However, the Govt. of India is also committed to development of coal sector infrastructure. The Government is taking many initiatives to augment coal evacuation infrastructure including new railway lines and presently undertaking studies to enhance the evacuation infrastructure.

151. Coal Quality and Grade: A. Where can we get the full proximate and Ultimate analysis of coal for each block ? B. Where can we get the details of stripping ratio for each block ?

A & B. All proximate and ultimate analysis to the extent carried out on coal core samples during exploration activities are incorporated in the Geological Report and may be obtained from there. The details on stripping ratio may be obtained from the mine plan of respective mines, wherever available.

152. Details of Mines: A. Would Chendipada I and II be auctions as one block or separate?

A. Chendipada I & II are being offered as a combined coal mine for the purpose of the auction process.


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B. In some of the recent news, it is mentioned that Ministry of Coal has dropped 5 coal blocks namely, Bander, Morga South, Morga-II, Madanpur North and Sayang. However, in MSTC website, the documents for these blocks are still enlisted for purchase. Please let us know the actual status of these blocks whether they are in for auction or they have been withdrawn from auction. C. Whether the replacement coal blocks shall be added in place of withdrawn coal blocks & when the list shall be updated?

B-C: The list of coal mines being auctioned has already been uploaded on the MSTC Portal. Any change in the list would be communicated to the bidders through MSTC Portal.

153. Exit Route: A. If successful bidder won a coal block after completing all the formalities which includes the submission of upfront payment, PBG, Bid security etc, but unable to commence the project due to Non availability of Forest land and Private land with various political/Local reasons and as well as non- availability of CA land by state authority under such conditions. It is proposed that there should be exit route so that successful bidder can get Upfront payment, PBG, Bid security etc., without any delay. B. There is no exit route if due to change in government policy like switching Green energy initiation instead of energy from fossil fuels, this will directly impact on production and sale of coal in the market and as well as huge capital investment and providing various statutory payments like Upfront, PBG, Bid security, etc.

Surrender of the Coal Mine by the Successful Bidder is a TerminationEvent as per Clause 26.3.1(q) of the Agreement. As per Clause 26.3.2 of the Agreement, upon occurrence of a Termination Event, the Nominated Authority may elect to terminate the Agreement.

154. Force Majeure: Force Majeure clause should be introduced.

Please refer to Clause 25 of the Agreement.

155. Future Coal Block Auctions There is no mention/ tentative timeline for the blocks beyond these 41 blocks. If some tentative timelines are provided, it would help the bidders to formulate their bidding strategy and take informed decisions on the present auction. Tentative schedule/ calendar for future commercial coal block auctions may be provided. Further a date may be fixed beyond which the schedule would no longer be subjected to any further changes.

Details on future coal mine auctions would be provided, as and when the same is decided by Ministry of Coal.

156. Geological Report: While going through the few of the Geological Reports, we have observed that Geological Reports are updated in later phases by the previous allottees with updated Geological Reserves which are being considered for Upfront amount calculation. These Geological Reports are not vetted by CMPDIL. However, the reserves are considered by Ministry of Coal for bidding purposes. In post bidding stage, if some discrepancies are noticed regarding the GR as against ISP 2017, whether Ministry of Coal will be open for further discussion in this



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regard? In case of openness, time period till signing of CMDPA may be granted.

157. Grade of Coal & Quantity A. How accurate is the Average grade of coal as per the presentation uploaded by CMPDI? What if the quality of coal is different based on our mine visit and sample collection as compared to the quality of coal available in tender docs? B. What if the quality of grade changes while mining and what will be its retrospective changes that will be required? C. What will happen if the coal in quantity is not available as per GR?

A. Bidders may note that all the presentations provided including the pre-bid presentation are for ease of understanding of the auction process by the Bidders. In case of any discrepancies between the presentation and the Tender Document & Agreement, the provisions of the Tender Document & the Agreement will prevail. For coal grade related data, please refer to the geological report, mine summary or mine plan, as the case may be, as provided in the Mine Dossier. Further, it may be noted that the Mine Dossier of the Coal Mine is being provided only as a preliminary reference document to the prospective Bidders, who are expected to carry out their own surveys, investigations and other detailed examination of the Coal Mine before submitting their Bids. Nothing contained in the Mine Dossier shall be binding on the Nominated Authority nor confer any right on the Bidders, and the Nominated Authority shall have no liability whatsoever in relation to or arising out of any or all contents of the Mine Dossier. B. The Upfront Amount & Performance Security shall be calculated as per the weighted average grade of non-coking coal and/or weighted average grade of coking coal, as the case may be, for the Coal Mine,


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as per the Geological Report of the Coal Mine. C. As per Clause 1.1.32 of the Tender Documentand Clause 3.9.1 of Tender Document.

158. Land Acquisition A. Land Acquisition would have been done as per Land Acquisition Act 1894. Subsequently, a new act namely The Right to Fair Compensation and Transparency in Land Acquisition, R&R Act, 2013 was promulgated in 2013. Then in 2014, the coal blocks were de-allocated. Since Successful Bidder will now have to carry out Land Acquisition activities as per the new act, the procedure as well as the compensation would be different from the previous act (1894). Hence, the procedure adopted and the expenses incurred by the Prior Allottee for land acquisition under the previous act (1894), will not be applicable for the Successful Bidder and hence Successful Bidder shall not be required to pay any Fixed Amount for such expenses related to land acquisition. Even if land acquisition is initiated under the new act, there is a time period within which the project / industrial activity should have commenced, failing which the land acquisition becomes void. Successful Bidder shall be required to pay Fixed Amount w.r.t. land acquisition only if the land acquisition process is done under the new act and such process still stand valid for the Successful Bidder to continue therefrom and not to start afresh. B. In cases of land acquired where the lease deed is signed between Collector, IDCO and the Project Proponent (Prior Allottee) please clarify whether is it still valid for the New Allottee (Successful Bidder) or fresh deed has to be signed with the new Successful Bidder

Fixed Amount shall be payable as per Clause 3.3.2(h)(ii) of the Standard Tender Document. For mines being auctioned under CM(SP) Act, 2015, vesting of land shall be in accordance with CM(SP) Act.

159. Land Acquisition: A. How many blocks of Jharkhand is under schedule area (as per Vth Schedule of the Indian Constitution) and what is impact of this on land acquisition and starting mining operation? B. Please clarify the effect of CNT Act in case of the Coal Blocks situated in Jharkhand.

A. Details of mines as available has been uploaded in the Mine Dossier. Bidders shall be responsible for land acquisition and obtaining clearances, in accordance with Applicable Law.

B. As per Applicable Law


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C. In the past, Govt. of Odisha has restricted acquisition of land for external OB dumping even though it is approved in Mine Plan. In such cases Geological Reserves, Mineable Reserves and coal production capacity will be significantly affected. How such cases will be dealt?

C. Coal mine operations shall be in accordance with Applicable Law.

160. Land Acquisition: A. What is Schedule 5 - Tribal land acquisition act. How much effective it is? B. Will the State Government help in land acquisition ? C. What is the land acquisition cost for forest land per Hectare ? What is the land acquisition cost for non-forest land per Hectare ? D. Whether Govt. will extend help in acquisition of land necessary to develop the approach road etc. to the block? Whether land will be acquired from the State Government instead of individual heir of the land? E. Mines area in Madhya Pradesh falls in the area which are tribal lands. General public and company cannot acquire the same. Under MMDR Act what provisions are given for Compulsory Acquisition? As without the same mines exploration and production cannot be done. If not done, then what will happen to the securities deposited?

A. Land acquisition shall be undertaken by the Bidder as per Applicable Law. B. The Ministry has prepared a proposal to acquire land under CBA and proposal is under consultation with states. However, it is the responsibility of the bidder to undertake land acquisition in accordance with Applicable Law. C-E. Land acquisition shall be done by the Successful Bidder as per Applicable Law.

161. Land Acquisition: A. Specifically in case of Gotitoria East and Gotitoria West combined block &Marki Mangli II block, as the mines in question were already operational, please clarify is there is any pending land acquisition to be carried out for fully developing and utilizing the mineral block. In case there is pending land acquisition, is there any Policy or Law to acquire Surface Rights. B. It is understood that prior allottee has purchased land for various purposes including land required for proposed mining area. It is not known that out of total land purchased by prior allottee, how much land (type wise) will be required for current proposal. Hence, a complete review on these details has to be made to finalise land requirement. Please share all the land documents purchased by prior allottee. C. If some part of the land belongs to Tribal Population for which there is a restriction to acquire Surface Rights for mining, would the issue regarding Surface Rights be resolved before the auctions.

A-B. Details of land acquired by the prior allottee, as available, has been provided in the mine dossier. Land acquisition shall be undertaken by the Successful Bidder as per Applicable Laws. C-D. As per Applicable Laws.


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D. Since the Nominated Authority is not liable for any issues arising out of Land Acquisition, Nominated Authority may provide land rates for standard valuation of land to be acquired.

162. Land Details: A. Where do we get the Details of land required, acquired, breakup of forest land, private land, government land, tribal land ? B. If there are any land / assets which are in possession of previous allocatee and if the same is being attached by ED. What is the procedure to regain that land / assets by the successful bidder ?

A. All the information available with the Office of the Nominated Authority has been provided in the mine dossiers. Bidders are advised to undertake site visits to the mines to get acquainted with the local conditions. B. For mines being auctioned under CM(SP) Act, 2015, vesting of land shall be in accordance with CM(SP) Act. The Successful Bidder shall be responsible for land acquisition and possession as per Applicable Law.

163. Land: A. The given area in summary document and GR, MP differs. There is shift in the location map also. Which map/boundary prevails? B. Similar to recent Iron ore mines auction in Odisha, Mine Dossier should have updated land schedule as there are various discrepancies in land details especially forest land of coal blocks. C. Ministry of Coal shall update the land records by state govt after due survey and include this updated land records in the tender document. D. It is requested to kindly share the comprehensive land details along with notified circle rate as well as the list of PAF & PAP.

The block boundary shall be as per the Geological Report. All the information available with the Office of the Nominated Authority has been provided in the mine dossiers. Bidders are advised to undertake site visits to the mines to get acquainted with the local conditions.

164. Land: Most of the Coal blocks available for auction having forest lands and this land can’t be mined without compensatory afforestation and allotment of CA land is in the purview of State government. Our question is that How state government will co-ordinate with successful bidder for allotment of CA land? It is proposed that state government should come up with identification of CA land along with statutory clearances so that mining activities can commence within stipulated timeline.

The same shall be the responsibility of the Successful Bidder. All the approvals/ clearances shall be obtained by the Successful Bidder as per Applicable Laws.


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165. Land: A. What would be the land value of land acquired by prior allottee, in case the value of land paid by prior allottee is much lesser than what is being quoted by them? Also how government is going the vest the land to private companies under CBA Act.?

The Ministry has prepared a proposal to acquire land under CBA Act and proposal is under consultation with states. However, land acquisition shall be the responsibility of the Successful Bidder. All the approvals/ clearances shall be obtained by the Successful Bidder as per Applicable Laws.

166. Litigations: Ministry of Coal is further requested to furnish details of all litigations / claims / liabilities which are ongoing / initiated / pending pertaining to each mine which has material / non-material impact on the allocation / operationalization of the mine. These should be furnished as part of the Mine Dossier. Details of ongoing legal issues are critical inputs for a Bidder to take a go-no go decision, in light of mining being capex-heavy business decision. Further huge sum of Bidder’s money is at stake in form of PBG etc.

Litigation details would be uploaded in the mine dossier. However, bidders are required to carry out their own due diligence.

167. Mine Dossier: Request the Nominated Authority to confirm the size of purchased document (MB) with respect to each coal block / each coal mine so as enable us to understand that the purchased document is fully and completely downloaded.

Bidder may seek assistance from MSTC in this regard.

168. Mine Type: Some mines are having Open Cast mining as well as Underground mining ? How do we get the exact details of how much quantity is OC and how much is UG ?

Please refer to the documents given in the Mine Dossier for each mine.

169. Mining Lease: How will you determine the mining lease value and on what amount is the stamp duty payment required ?

As per Applicable Law.

170. National Coal Index: The weights to calculate the NCI are considered for a period of 4 years. Any change in weights in future years will impact the NCI and therefore the payment to the government. For instance, going forward commercial coal mining is expected to be a considerable volume, therefore, could be included in the NCI. Similarly, imported coal, which is given a higher weightage for higher coal grades, could be significantly reduced. A. Please provide clarifications on how frequently the weightages in the NCI will be changed for different mode of sales. B. Please clarify if commercial coal will be considered to estimate the NCI in future Since revenue share to the government will be a function of NCI, any changes in the composition of the NCI could adversely impact the financials of the bidders. Please confirm if any adjustments in the final price offer

Please refer to MoC’s OM F.No. 102/3/2017/NA dated June 17, 2020 regarding operational guidelines for NCI. No adjustment shall be made in Final Offer.


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will be made to compensate for such changes which are largely a change in law scenario.

171. Operational Guidelines of NCI - Development of National Coal Index Clause 1.2 It is clearly mentioned that the Monthly payments shall be computed based on notional price or actual price, whichever is higher, However, it is not explicitly mentioned as to how Royalty shall be calculated going forward – whether on notional prices or actual prices. The clause mentions that the NCI may also be used for taxation purpose. Requesting you to kindly confirm the exact procedure of Royalty computation going forward.

Royalty and all other statutory duties, levies etc shall be as per Applicable Laws.

172. Period of Mining Lease a. Would MMDR ML would be for 50 years? b. ML period - is it 50 years from the ML execution date ?? c. What will be the mining lease period for Blocks being offered under CM(SP) Act 2015? d. What would be life of Mine for blocks auctioned under MMDR Act and CMSP Block. e. Whether Renewal would be granted as per Sec 8 of MMDR Act?

Mining lease shall be granted as per the provisions of MMDR Act, 1957. The initial period of mining lease shall be 20-30 years which may be extended one time by another 0-20 years.

173. Prior Allottee As per CMSPA 2015, the successful bidder shall not be held liable for a contractual rights, obligations or liabilities and these should remain with the prior allottee. Please provide clarity on the obligations and liabilities on the successful bidder for the coal block.

This shall be as per the CM(SP) Act, 2015 and CM(SP) Rules, 2014 and the Tender Document and the Agreement.

174. PRC: In some of the blocks, the PRC is indicated as ‘Tentative’. It would be better if the calculation and the methodology of PRC calculation is also furnished as a part of dossier.

For Fully Explored Mines, please refer to the Production Schedule given in mine-specific Tender Document. For Partially Explored Mines, PRC shall be as per Approved Mining Plan.

175. Query: Copy of pre-bid presentation may be provided.

The same has been uploaded on the auction platform i.e. MSTC Portal. Bidders may however note that all the presentations provided including the pre-bid presentation are for ease of understanding of the auction process by the Bidders. In case of any discrepancies between the presentation and the Tender Document & Agreement, the


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provisions of the Tender Document & the Agreement will prevail.

176. Query: Do we get to know who all are bidding for which block for the sake of transparency?

As per Clause 3.3.2(a) of the Tender Document, the Technical Bid of each Bidder shall be opened by the Nominated Authority on the date mentioned in Clause 3.8.1, at such time and place as notified subsequently and in presence of the Bidders who choose to attend.

177. Query: Due to earlier coal block issues, banks are not taking call for issuing/providing Bank Guarantee. Necessary notification needs to be provided to banking system for funding as per new Coal Auction policy.

A meeting has been proposed with the banks/ FIs to discuss the terms of the auction process.

178. Query: Have you appointed any general consultant who can answer our queries ?

Bidders can submit their queries in accordance with Clause 3.7.1 of the Tender Document. The responses to the queries would be published on MSTC Portal.

179. Query: If fully explored mines is in a condition which deters company to fulfil PRC in 1st year.

The Efficiency Parameters shall be as per the Clause 10 of the Agreement. Coal production shall be in accordance with Clause 9.2 and 9.4 of the Tender Document.

180. Query: If SR would be given it would be better to assess the block.

Stripping Ratio can only be ascertained after preparation of Project Report / Mining Plan.

181. Query: In the discussion paper published by Ministry of Coal during January 2020, there was a provision of incentive for upward revision in mine plan and production. However, the same is not available in the published tender document;

The terms of the Standard Tender Document are in accordance with order F. No. 13011/2/2020-CBA2-Part(2) dated May 28, 2020 of Ministry of Coal. Accordingly, no Incentive for increase in capacity beyond the original mine plan has been provided in the Standard Tender Document.

182. Query: Kindly clarify there were provisions of automatic approval of the mine capacity expansion in discussion paper, why not this was provided in the auction document.

Approval of the mine plan shall be in accordance with the Guidelines for Preparation, Formulation, Submission,


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Processing, Scrutiny, Approval and Revision of Mining plan for the coal and lignite blocks issued vide Office Memorandum F. No. 34011/28/2019-CPAM dated May 29, 2020, as may be amended

183. Query: A. Kindly clarify, whether successful allocatee of coal blocks can sign up FSA with existing customers of Coal India if mutually acceptable to both parties. B. Whether there is any benefit for Captive Consumption of Coal.

As per Clause 5.6 of the Tender Document, there shall be no restriction to carry on mining operations for own consumption, sale or for any other purpose. The coal produced from the Coal Mine may be sold by the Successful Bidder in any manner as may be decided by the Successful Bidder including sale to Affiliates and related parties, utilisation of coal for any purpose including but not limited to captive consumption, Coal Gasification, Coal Liquefaction and export of coal.

184. Query: Kindly clarify, with the commitment of revenue share at the time of bidding, will there be any commitment on the part of the government for not bringing in any change in Law. (e.g. incremental taxes, levy on coal mining) else the entire investment will become unviable.

The revenue share shall be payable in accordance with Clause 3.10.1 of the Tender Document.

185. Query: Performance Security and other statutory payments like Stamp Duty shall be adjusted to the attainable Peak Rated Capacity and scheduled production shall be revised to as per Approved Mining Plan. Ministry of Coal has prescribed Peak Rated Capacity of some mines as per the draft / approved Mine Plan. However, in reality it may be unattainable. Thus, Bidder's obligations must be limited to attainable PRC.

Performance Security shall be as per Clause 7 of the Standard Tender Document. Stamp duty and other statutory obligations shall be as per applicable laws.

186. Query: Request the Nominated Authority to clarify who will be the Mine Owner after issuance of Vesting order

Upon issuance of Vesting/ Allocation Order, all rights, title and interest for the mine shall be vested in the Successful Bidder.

187. Query: There are some coal blocks which have number of HT lines passing over the coal bearing area. The coal mining

Diversion of power lines and other associated activities related to development


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would not be possible without Diversion of these HT Power lines. Since these power lines are passing over coal bearing land, same should be diverted by concerned power company/transmission company on their cost and free the coal block. Kindly clarify.

of the coal block shall be the responsibility of the Successful Bidder.

188. Query: What if any company or previous Allocatee goes to any court against the auction of available mines ?

Nominated Authority will take appropriate action in accordance with Court Order during the auction process of such mine.

189. Query: What is maximum area limit for Coal Block auctioned under MMDR Act? Is Section 6(1)(b) of MMDR Act 1957 be relaxed for any particular State ??

Please refer to Section 6(1)(b) of the MMDR Act, 1957, as may be amended. As per Clause 3.3.2(f) of the Tender Document, in the interest of the development of the coal mining sector, the Central Government shall increase the maximum area limits in respect of prospecting license or mining lease in accordance with Section 6(1)(b) of the MMDR Act,1957.

190. Query: What is the difference between block under CMSP and blocks under MMDR?

Please refer to the Standard Tender Document dated June 18, 2020.

191. Query: What is the method to calculate the NPV of forest land?

As per Applicable Law.

192. Query: What will be the mining lease period for blocks being offered under CM(SP) Act, 2015 and MMDR Act, 1957; We understand that this is 30 years + renewal for 20 years, kindly confirm.

Mining lease shall be granted as per the provisions of MMDR Act, 1957. The initial period of mining lease shall be 20-30 years which may be extended one time by another 0-20 years.

193. Query: Would the clarifications given in the meeting would be a constituent part of Agreement?

No. As per Clause 5.7.2 of the Standard Tender Document, any verbal clarification shall not be binding on Nominated Authority. However, written responses to the queries as uploaded on MSTC Portal shall be deemed to be part of the Tender Document.


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194. Query: Explored Coal Mine is Fully Explored or Partially Explored?

The auction process is pertaining to 2 categories of mines – Fully Explored Mine and Partially Explored Mine, both of which are as defined in the Tender Document.

195. Query: If successful bidder wishes to import project cargo/ associated parts for mining purpose, would the bidder be given Duty benefits by Govt. ?

As per Applicable Laws

196. Query: Kindly indicate whether or not the clarifications provided by the Nominated Authority would constitute a part of the Agreement in respect of the particular coal mine.

As per Clause 5.7.2 of the Standard Tender Document, any verbal clarification shall not be binding on Nominated Authority. However, written responses to the queries, as uploaded on MSTC Portal, shall be deemed to be part of the Tender Document.

197. R&R: A. Are there any policy guidelines for R&R / relocation of households? What if the households are not ready to leave their land? B. The details uploaded for coal block should give more details of land types and RR issues; proper assessment of the block selection can be done prior to download of Docs/NIT.

A. R&R approval shall be the responsibility of Successful Bidder in the due course of development of the coal mine, as per Applicable Law. B. All the available information has been provided in the mine dossiers. Bidders are advised to undertake site visits for further due diligence

198. Reserves: In underground mines if reserves get locked in batter pillars and mining is unviable since extractable reserves is much less as anticipated, then in that case can the Successful Bidder be allowed to exit the project without forfeiture of Performance Guarantee and other penalties.

Surrender of coal mine shall be in accordance with the provisions of the Agreement.

199. Reserves: Information supplied under the Mine Dossier contains about the value/ quality/quantity/mineability of the deposit based on which the prospective bidder will bid. There is no time i.e. only 2 months from 18th June 2020 to 18th Aug 2020 which is not at all sufficient to verify the figures by the prospective bidder on its own but left with no option except to rely on the information supplied by Nominated Authority which are collected by Govt agencies like Ministry of Coal,CMPDI, MECL, GSI, Coal India Limited etc.

The Mine Dossier of the Coal Mine is being provided only as a preliminary reference document to the prospective Bidders, who are expected to carry out their own surveys, investigations and other detailed examination of the Coal Mine before


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Thus in case of any discrepancies found later which will affect the Successful Bidder adversely in a big way, the Successful bidder should be suitably compensated

submitting their Bids. Nothing contained in the Mine Dossier shall be binding on the Nominated Authority nor confer any right on the Bidders, and the Nominated Authority shall have no liability whatsoever in relation to or arising out of any or all contents of the Mine Dossier.

200. Royalty: a. Can you give more clarity on how the royalty shall be calculated means 14% of which price? 14% of actual price or notional price? What constitutes actual price? All land, prior allottee price also be part of the actual price? b. Royalty will be based on Notified price i.e. price notified by CIL or Representative Prise? What shall be the royalty payment if coal is sold at the price less than Representative price? c. The calculation of royalty and other taxes payable should be linked with lower of actual mining cost or notified price of CIL. d. How to calculate royalty rate for captive purpose? On successfully bidding for a block, if the new allottee uses the coal for captive purpose, how the Royalty will be calculated. Will it be 14% of Basic pithead price of Run of Mine (ROM) coal as notified by the Coal India Ltd/SCCL/NLC for similar GCV of Coal nearer to that captive mines as there won’t be any sale of coal.

The royalty payable shall be as per extant gazette notification on royalty of coal.

201. Royalty: A. While CIL/ SCCL continues to pay royalty on the invoice, new commercial miners are expected to pay royalty on higher of actual and notional price. It must also be noted that notional price at present (i.e., representative price) is significantly higher than CIL’s notified price. Thus, there is a quantum gap in royalty paid by CIL/ SCCL & new commercial miners. The new methodology of royalty computation only for blocks or mines auctioned & not allocated thus will hamper the creation of level-playing field between private & public players It is requested that royalty computation be continued @14% of ad-valorem on the price of coal as reflected in the invoice excluding taxes, levies & other charges

Royalty shall be payable as per applicable law.


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B. As per the latest notification on royalty, issued on July 14, 2020, the royalty payment will be calculated based on the notional price. This will increase the royalty outgo to the Successful Bidder, as the notional price is expected to be higher than the CIL's notified price. In this context, request you to issue a revised notification to provide for a stable royalty regime for the next 20 years by fixing the royalty percentage. Please clarify in case of washery is established within the mining lease area, the royalty shall be applicable on the output grade and output quantity/despatch only

202. Stamp Duty: A. What is the rate and procedure for calculation of stamp duty charges for the mining lease after vesting order/allocation order? B. In case of Block where the Mining lease was already obtained and executed by prior allottee, does the new allocatee have to again pay stamp duty and registration charges? C. What is the rate and procedure for calculation of stamp duty on mines lease deed state-wise?

Yes. The stamp duty shall be payable as per applicable laws.

203. Stamp Duty: A. In case the mining lease was already executed by the prior allottee, would the Successful Bidder have to pay the stamp duty and registration charges to the state government? B. Will fresh Stamp Duty and Registration charges be payable to the State Government for transfer of land already acquired by the prior allottee? What would be the quantum of Stamp duty and Registration fee for the transfer of rights of the land already acquired by the prior allottee, if any? Please notify the process/ rules along with the sample calculations to estimate stamp duty at different stages. The clarification is all the more important as there have been instances of disputes on estimating stamp duties. For instance, this was a major dispute post the conclusion of 2015 coal auctions. Moreover, there are ambiguities in the state stamp acts, which makes it difficult for the investors to estimate duties accurately. Therefore, it is extremely important to formulate a transparent methodology to determine stamp duty. It is requested that the Nominated Authority takes cognizance of the matter in resolving the critical issue which involves huge cash outgoes for the investors at the beginning of the project life. C. At what point of time is the stamp duty payable? During the execution of CMDPA or Mining Lease. What is the Methodology for calculation of Stamp Duty and Registration fees as per applicable law?

Stamp Duty shall be payable as per applicable law


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204. State Govt.: We understand that the state govt would be assigned the rights and obligations of NA through signing of the mining lease. In this regard, we request for following clarifications: a) the State Governments should rather become the Party from the grant of Vesting Order / Allocation Order as key role of state government is during the period before the mine opening permission is granted. b) Will NA not have any role during the mine operation stage after the CMDPA has been terminated and State Govt. has been assigned rights and obligation of the Nominated Authority? This includes areas such as mine operations, enforcement of minimum production, appropriation notices for PBG, dispute resolution, etc. amongst several others.

The Agreement shall be executed between the Nominated Authority and the Successful Bidder. The terms and conditions of the Agreement shall be included in terms and conditions of the Mining Lease for the Coal Mine along with any other terms and conditions that the Central Government or the State Government may deem fit under the Mineral Concession Rules, 1960 and upon grant of the mine opening permission under rule 9 of the Colliery Control Rules, 2004, the Agreement shall stand terminated. Upon termination of the Agreement, the rights of the Nominated Authority under the Agreement shall vest into State Government.

205. Technical Data a. There are huge discrepancies in the technical data shared which should be reviewed by Ministry of Coal. E.g. Quality parameter Bander – G7 is the declared quality and by calculation from Summary it is coming as G11. Similar things are happening in Chakla, Chitarpur, Fatehpur East, etc. Almost in every block the variation is in the range of 1-4 grades which changes the entire investment. b. For all the blocks we need the following reports, • EIA/EMP report • Subsistence report • Slope stability report • Flora and Fauna conservation plan • Forest Diversion Proposal (FDP) • Ground Water Report • Distance from the coal block to the existing railway siding usable by any user. • Details of upcoming railway sidings near the coal block which will be open to all the users. c. For operating mines, we need the following

a. Average grade of a given block is the weighted average grade of the block calculated on the basis of data of quality and resource as available for each seam in the GR. Data available in the Geological Report of either Detail or Regional Exploration has only been considered.

b. i. For CMSP blocks, information / reports as submitted by the prior allottee have been provided. ii. For MMDR blocks, only Geological Reports (either Detailed or Regional) are available

c. Plans as provided by the Prior Allottee have already been provided in Mine Dossier. Year-wise coal and


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• Latest surface layout plan • Latest OB dump plan • Year wise coal and OB extraction details beyond March, 2014 d. In case of a land-locked coal block, kindly suggest means of drainage course of water from ETP/Settling pond of the coal block.

OB extraction figures beyond 2014, if any, may be obtained from the office of the Coal Controller.

d. Technical details like means of drainage course are to be prepared / finalized at the time of preparation and approval of Mining Plan and EMP.

206. Technical Data: A. Kindly provide data of borehole logs in respect of desired coal block in excel or csv format so that they are suitably modelled for enabling investors to take subtle decision before the bid. B. Kindly provide digitised data and/ or Geological model is respect of desired block. If available with CMPDI, even at additional levy for the facilitation, as deemed fit. c. It is seen that Geological data including borehole logs have been provided in pdf format. Generating Geological Model/ Mine Model/ Financial Model using supplied lithological data in PDF format is very time consuming. Even the financial institutions need bankable DPR for taking decision on investment. You are therefore requested to provide borehole logs of desired coal blocks in Excel or .csv format so that they are suitably modelled.

A. Borehole logs in excel format has been uploaded on MSTC website, wherever available. B &C : Geological models in MINEX for the coal blocks has been uploaded on MSTC website, wherever available.

207. Utilities: A. Provide details of existing utilities / services which are passing through the coal block and which needs to be diverted for mining operation. Also confirm that cost related to shifting , if any , shall be borne by original utility supplier or new lease holder. B. Provide details of any existing EHV and HV lines which are passing through the coal block and which needs to be diverted for mining operation. Also confirm that cost related to shifting , if any , shall be borne by original utility supplier or new lease holder. Please share details of any work done by previous allottee along with current status.

A. Information as submitted by the prior allottee have been provided in the respective mine dossier. B. A mine is to be operated including shifting of EHV / HV lines as per the approved mining plan (if already available ) or mining plan to be prepared by the successful bidder (if not available) Work done by the prior allottee has been given in the mine dossier wherever available.


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B. Mine Specific Queries and Responses

S. No. Name of the Mine Query Response

1 Radhikapur West 1. Clearances: A. In letter dated 10.01.2014, EAC approved the project for EC subject to FC Stage-1 produced within one year else process be reinitiated; meanwhile, coal block got de allocated by Hon'ble Supreme Court. In this case, please clarify whether the process of EC shall be reinitiated or shall continue to process from the stage where Prior Allottee left for grant of EC B. Please clarify whether the work initiated / completed by Prior allottee regarding Approvals / Clearances / Project related studies shall remain valid for the New Allottee to continue on the achieved progress made by the Prior Allottee for Approvals / Clearances / Project related studies, or the New Allottee has to start from scratch and get fresh Approvals / Clearances / Project related studies. Following progress made were stated by the Prior Allottee : (i) EC - ToR granted, EC pending (ii) LA - IDCO recommendation for LA to Steel & Mines Ministry, Government of Odisha (iii) CTE from SPCB (iv) CGWA groundwater Clearance 2. Clause 3.3.2 (h)(ii) Fixed Amount A. Geological Report has been prepared. However, cost of preparation of Geological Report / Exploration is tentative and might revise. Please provide the revised cost of the same at the earliest B. Fixed Amount given is tentative and subject to final settlement. Final Fixed Amount for the Block has not been provided. Please provide the same at the earliest

1A & 1B. Upon issuance of Vesting Order for Coal Mines being auctioned under the CM(SP) Act 2015, the statutory licences, permits, permissions, approvals or consents obtained by the Prior Allottee for the Coal Mine, shall vest in the Successful Bidder. The Successful Bidder shall be required to follow due procedure for transfer/ obtaining the same. 2. The Fixed Amount shall be payable as per Clause 3.3.2(h)(ii) of the Tender Document. The Fixed Amount is based on the available information and the assessment made by the Competent Authority and is subject to final settlement. Any upward revision in the Fixed Amount on a subsequent date by the Government or the Nominated Authority consequent upon any process or on the orders of any competent court of law, shall also be payable by the Successful Bidder. Additionally, in case of any downward revision in the Fixed Amount on a subsequent date by the Government or the Nominated Authority, the same would be refunded by the Nominated Authority to the Successful Bidder. Details of land valuation, valuation of the mine infrastructure and claims submitted by Prior Allottee has been uploaded. It may however be noted that these details are for the purpose of bidders’ information only and the Fixed Amount shall be payable as per Clause 3.3.2 (h)(ii) of the Tender Document. 3. Land details as available with the Office of the Nominated Authority has been provided in the mine dossiers. 4. The Fixed Amount is based on the available information and the

assessment made by the Competent Authority and is subject to final

settlement. Any upward revision in the Fixed Amount on a


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C. Fixed Amount passed to Prior Allottee is INR 7.69 Cr. However, the Fixed Amount is under litigation and might be revised. Please provide the claim amount from the Prior Allottee, so that Bidder could be aware of maximum extent of revision of this Fixed Amount. 3. Land: A. Please provide the details of land area, use pattern, ownership details, disbursements done, tree density and progress and payments made in respect to Land Acquisition. Prior Allottee had claimed INR 21 Crore as an expense for Land payments. 4. Clause 3.3.2 (h)(ii) Fixed Amount It was understood from the documents submitted under Annexure-II, that some additional amount spent by the previous allottee over the fixed amount estimated. Please confirm that the above amount shall not be considered as the fixed amount in the future. 5. Clause 9.3 Revision in Mining Plan upon Allocation As per Guidelines for Preparation, Formulation, Submission, Processing, Scrutiny, Approval and Revision of Mining Plan for the Coal Mine and Lignite Blocks (29th May, 2020), the existing mining plan is required to be modified for facilitating increase in sanctioned peak capacity in excess of 150% of the sanctioned rated capacity. Therefore, please clarify if a revised mining plan is required for ramping up the production of the coal mine to 150% of the peak rated capacity as defined in existing mining plan. 6. It is understood that the Radhikapur West and East are contiguous mines with underground operation. Please confirm that the Successful Bidder can operate both the mines together with single access.

subsequent date by the Government or the Nominated Authority

consequent upon any process or on the orders of any competent

court of law, shall also be payable by the Successful Bidder.

Additionally, in case of any downward revision in the Fixed Amount

on a subsequent date by the Government or the Nominated

Authority, the same would be refunded by the Nominated Authority

to the Successful Bidder.

5. As per the guidelines Preparation, Formulation, Submission,

Processing, Scrutiny, Approval and Revision of Mining Plan for the

Coal Mine and Lignite Blocks (29th May, 2020), the mining plan may

be modified for facilitating increase in sanctioned peak capacity that

is in excess of one hundred and fifty percent of the sanctioned rated

capacity.

6. Both mines i.e. Radhikapur (East) and Radhikapur (West) have

been put up for auction as separate mines and therefore there will be

separate auction processes for both the mines.

2 Radhikapur East 1. Clearances: A. Please clarify whether ToR granted in Nov 2007 and public hearing

1. Upon issuance of Vesting Order for Coal Mines being auctioned under the CM(SP) Act 2015, the statutory licences, permits,


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held in Feb 2009 will remain valid for further activities for grant of EC. EC was also recommended by MoEF subject to furnishing of FC-1. Whether this recommendation will also remain valid for Successful Bidder. B. Whether the CTE will remain valid for Successful Bidder or it has to be initiated afresh. C. Please clarify that NOC obtained from CGWA would still be valid for the Successful Bidder. D. Whether application for diversion of 230 Ha of forest land within Radhikapur East coal block which has been forwarded for Stage-1 approval by Forest & Env. Dept, Govt of Odisha, dated 3rd march, 2014, No – 10F(Cons)78/2014/4258/F&E, will remain valid for Successful Bidder or Successful Bidder has to initiate process afresh. 2. Clause 3.3.2 (h)(ii) Fixed Amount A. Fixed Amount passed to Prior Allottee is INR 4.14 Cr. However, the Fixed Amount is under litigation and might be revised. Please provide the claim amount from the Prior Allottee, so that Bidder could be aware of maximum extent of revision of this Fixed Amount B. Geological Report has been prepared by MECL / TATA. However, cost of preparation of Geological Report / Exploration is tentative and might revise. Please provide the revised cost of the same at the earliest C. Prior Allottee has already submitted the cost for its land acquisition. But the same has not been provided as Fixed Amount for the Block. Please provide the same at the earliest 3. Clearances: A. ToR condition requires furnishing details of beneficiation plant for

permissions, approvals or consents obtained by the Prior Allottee for the Coal Mine, shall vest in the Successful Bidder. The Successful Bidder shall be required to follow due procedure for transfer/ obtaining the same. 2A &2B. The Fixed Amount shall be payable as per Clause 3.3.2(h)(ii)

of the Tender Document. Details of prior allottee’s claims hasbeen

uploaded.

2C. Value of land has been updated on MSTC Portal.

3A, 3C, 3D. Upon issuance of Vesting Order for Coal Mines being

auctioned under the CM(SP) Act, 2015, the statutory licences,

permits, permissions, approvals or consents obtained by the Prior

Allottee for the Coal Mine, shall vest in the Successful Bidder. The

Successful Bidder shall be required to follow due procedure for

transfer of the same and obtaining clearances/ approvals as per

Applicable Law.

3B. As per available information, validity of TOR for projects/

activities (except for River Valley and HEP Projects) for submission of

EIA/ EMP reports shall be three years as per Office Memorandum of

MoEF&CC No. J-11013/41/2006-IA-II(I)(Part) dated 29.08.2017. The

above validity period can be extended by the concerned Regulatory

Authority for a maximum period of one year. However, bidder shall

be responsible for obtaining clearances as per Applicable Laws.


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grant of Environmental Clearance since the Prior Allottee being a Steel producer intended to establish washery. However, if the Successful Bidder does not intend to setup a washery, since MoEF&CC has notified that coal washing is no more mandatory, we understand that the Successful Bidder be eligible for grant of EC without setting up coal washery / beneficiation plant in such condition. Coal washing is no more mandatory as notified by MoEF&CC. To be competitive in the market, Successful Bidder might adopt the new norms of doing away with mandatory washing and spend a huge capital on such irrelevant infrastructure. Hence, Successful Bidder shall be allowed for grant of EC without setting up of beneficiation plant. B. Validity of ToR conditions was not mentioned in the document provided. Please state the validity of the ToR for grant of Environmental Clearance C. CTE has been granted on a special condition that the Successful Bidder shall dispose of rejects either by establishing coal washery reject based power plant or make arrangement for utilisation of these with any Power Genco. Since the Prior Allottee intended to setup coal washery, it was required to dispose coal rejects. We understand that, in case the Successful Bidder does not intend to setup a coal washery and does not generate any rejects, these kinds of requirements nullify and is no more required. D. Please clarify whether the work initiated / completed by Prior allottee regarding Approvals / Clearances / Project related studies shall remain valid for the New Allottee to continue on the achieved progress made by the Prior Allottee for approvals / clearances / project related studies, or the New Allottee has to start from scratch and get fresh Approvals / Clearances / Project related studies. Following progress made were stated by the Prior Allottee :

3E. Information as submitted by the prior allottee has been given in

the mine dossier.

4&5. Land details as available with the Office of the Nominated

Authority has been provided in the mine dossiers. Bidders are advised

to undertake site visits to the mines to get acquainted with the local

conditions.


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(i) EC - ToR granted, EC pending (ii) FC - FC Stage 1 pending, Diversion complete (iii) CTE from SPCB (iv) NOC from CGWB E. Please mention the status of Forest Clearance Stage-1 4. Land Details: Break-up of non-forest land into Govt Land and Private Land. should be provided. 5. R&R: Please provide details of PAF's / PAPs in the area

3 Urma Paharitola 1. Clause 9.3 Revision in Mining Plan upon allocation Since only regional exploration over the area has been carried out by GSI and mine plan is not prepared, hence tentative PRC is provided. We understand that in case of issues related to technical feasibility / mineability, downward revision of PRC is allowed since PRC is tentative and could be lower due to issues related to technical feasibility / mineability. 2. Clause 7.1 Performance Security Since only regional exploration over the area has been carried out by GSI and mine plan is not prepared, hence tentative PRC is provided. However, after mine plan is prepared of lower PRC due to mineability issues / technical feasibility issue. In that case we understand that all calculations for Performance Security and other amounts shall be based on revised PRC. Please clarify the same. 3. PRC: If after detailed exploration and due to technical reasons (such as Bansloi river passing through the middle of the block) and after preparation of mine plan, it is found that the tentative peak capacity of

1. For Partially Explored Mines, the Mining Plan shall be prepared by the Bidder after preparation of the Geological Report and PRC shall be determined accordingly. However, the approval of the Mining Plan and any revision in the Mining Plan shall be as per Applicable Laws. Only a tentative assessment on PRC has been done and given in the mine summary. 2. As per Clause 7.1.2. of the Tender Document, for Partially Explored Mines, the Performance Security is 25% of Estimated Exploration Expense.The amount of Performance Security shall be revised after receipt of an in-principle approval of Mining Plan, which shall be computed in accordance with the formula provided in Clause 7.1.1 of the Tender Document. 3. For Partially Explored Mines, the Mining Plan shall be prepared by the Bidder after preparation of the Geological Report and PRC shall be determined accordingly. However, the approval of the Mining Plan and any revision in the Mining Plan shall be as per Applicable Laws. Only a tentative assessment on PRC has been done and given in the mine summary.


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10 MTPA as mentioned in Mine Summary is found unattainable, than will Coal Ministry allow peak capacity of the mine to be reduced? Peak rated capacity of Urma Paharitola coal mine of 10 MTPA as mentioned in Mine Summary by Coal Ministry is a representative figure and the same is not technically proven. 4. Clause 3.3.2 (h)(ii) Fixed Amount A. Fixed Amount provided is not final and subject to final settlement. Please provide the Final Fixed Amount at the earliest. B. Regional Exploration over the area has been carried out by GSI. However, cost of preparation of Geological Report / Exploration has not been provided in the Fixed Amount. Please provide the cost of the same. 5. Land Details: A.Please provide the details of land area, use pattern, ownership details, disbursements done, tree density B. Please clarify the Act that would be applicable for Land Acquisition of the land under ML area C. Please clarify land area which might have constraints on land transfer due to Santhal Pargana Tenancy Act? 6. R&R: Please provide details of PAF's / PAPs in the area 7. Surface Feature: A. Bansloi river passes through the block, due to which mineable reserves would be much lower than the estimated geological reserves. Hence its rated capacity would be much lower than the notified 10 MTPA. Mine Plan for this block is also not prepared, so actual capacity upon preparation of mine plan would be lower due to presence of such constraints. Hence, we request to revise the Peak rated capacity accordingly.

4A. The Fixed Amount is based on the available information and the

assessment made by the Competent Authority and is subject to final

settlement. Any upward revision in the Fixed Amount on a








4B. Regional Exploration cost is presently not available.

5 & 6. Land details as available with the Office of the Nominated

Authority has been provided in the mine dossiers. Land acquisition

shall be done by the Successful Bidder as per Applicable Law.

7A & 7B. For Partially Explored Mines, the Mining Plan shall be

prepared by the Bidder after preparation of the Geological Report

and PRC shall be determined accordingly. However, the approval of

the Mining Plan and any revision in the Mining Plan shall be as per

Applicable Laws. Only a tentative assessment on PRC has been done

and given in the mine summary.

7C. Decision regarding diversion of river may be taken at the time of

preparation of Mining Plan.


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B. Urma Paharitola is a block which has a big river bisecting the deposit. The kind of strike length available for this block will be difficult to achieve 10 MTPA capacities. Therefore, please let us know if the capacity can be reduced. C. Bansloi river passes through the block. Please clarify if this is a perennial river and the width of the river. Since due to presence of river, most reserves would be blocked, please clarify whether the Successful Bidder can undertake river diversion?

4 Kuraloi A North 1. Clause 9.3 Revision in Mining Plan upon allocation Since only exploration over the area has been carried out by GSI and GR is prepared whereas mine plan is not prepared; hence tentative PRC has been provided by Ministry of Coal. We understand that in this case downward revision of PRC is allowed since PRC is tentative and could be lower than currently mentioned by Ministry of Coal due to technical feasibility / mineability issues. 2. Clause 7.1 Performance Security Since only exploration over the area has been carried out by GSI and GR is prepared whereas mine plan is not prepared; hence tentative PRC is provided. However, after mine plan is prepared of lower PRC due to technical feasibility / mineability issues. In that case we understand that all calculations for Performance Security and other amounts shall be based on revised PRC. Please clarify the same. 3. Clause 3.3.2 (h)(ii) Fixed Amount Prior Allottee has claimed some of its cost as Fixed Amount. However, the Fixed Amount has not been provided and is under evaluation / litigation. Please provide the claimed amount by the Prior Allottee 4. Please provide the details of land area, use pattern, ownership

1. As per Clause 9.3 of the Tender Document, upon allocation of the Coal Mine, the Mining Plan may be revised by the Successful Bidder, in accordance with the Guidelines for Preparation, Formulation, Submission, Processing, Scrutiny, Approval and Revision of Mining plan for the coal and lignite blocks issued vide Office Memorandum F. No. 34011/28/2019-CPAM dated May 29, 2020, as may be amended. However, as per Clause 9.2 of the Tender Document, the Successful Bidder shall ensure that the scheduled coal production as per the approved Mining Plan is equal to or more than the Production Schedule. 2. As per Clause 7.1.1 of the Tender Document, in case, the approved Mining Plan of the Coal Mine is not available, Performance Security shall be estimated on the basis of an indicative peak rated capacity, as provided in this Tender Document. Upon in-principle approval of the Mining Plan, the Successful Bidder shall submit a revised Performance Security on the basis of approved Mining Plan. 3. Kuraloi-A-North Coal Mine is being auctioned under MMDR Act, 1957 and hence, doesn’t have a prior allottee. The Fixed Amount shall be payable as per Clause 3.3.2(h)(ii) of the Tender Document. Fixed Amount has been uploaded on the MSTC Portal ‘Notifications’


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details, tree density over the area for which PL will be granted as a part of composite license

tab as well as in the mine dossier of the Coal Mine. 4. Kuraloi-A-North is a Fully Explored Mine. Kuraloi-A-North Coal Mine is being auctioned for the first time under MMDR Act, 1957 and hence, doesn’t have prior allottee. Mining plan for the Coal Mine is not available. Only Geological Report is available in the mine dossier.

5 Bandha 1. Clause 9.3 Revision in Mining Plan upon allocation Since only regional exploration over the area has been carried out by GSI and mine plan is not prepared, hence tentative PRC is provided. We understand that in case of issues related to technical feasibility / mineability, downward revision of PRC is allowed since PRC is tentative and could be lower due to issues related to technical feasibility / mineability. 2. Clause 7.1 Performance Security Since only regional exploration over the area has been carried out by GSI and mine plan is not prepared, hence tentative PRC is provided. However, after mine plan is prepared of lower PRC due to mineability issues / technical feasibility issue. In that case we understand that all calculations for PBG and other amounts shall be based on revised PRC. Please clarify the same. 3. Boreholes: A. A fixed amount of Rs. 64 Crore towards cost of GR has been indicated for payment by the Successful Bidder before issue of Vesting Order. Understandably, GR would not have been prepared for the block which is under exploration. Hence, you are requested to provide Geological Note with details of completed boreholes and the layout plan of boreholes may kindly be provided. B. Part GR or note on geology of the block with lithologs of completed boreholes and quality parameters of intersected seams along with

1. For Partially Explored Mines, the Mining Plan shall be prepared by the Bidder after preparation of the Geological Report and PRC shall be determined accordingly. However, the approval of the Mining Plan and any revision in the Mining Plan shall be as per Applicable Laws. 2. As per Clause 7.1.2. of the Tender Document, for Partially Explored Mines, the Performance Security is 25% of Estimated Exploration Expense.The amount of Performance Security shall be revised after receipt of an in-principle approval of Mining Plan, which shall be computed in accordance with the formula provided in Clause 7.1.1 of the Tender Document. 3. In the mine dossier, final report on Regional Exploration for Coal in Bandha Block by GSI based on 8 boreholes has been provided. Borehole data for already drilled boreholes has been uploaded in the mine dossier. 4. As per Clause 1.1.32 and Clause 3.9.1. of the Standard Tender Document. 5, 6C & 6D :Bandha is a regionally explored block and detailed exploration is under progress. In this block, 50826m of drilling has already been completed and remaining 7600m needs to be drilled. The GR cost with respect to meterage already drilled is Rs.54.892 Crore and the estimated cost of exploration with respect to additional meterage to be drilled is Rs. 8.208 Crore.However, the coal


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borehole layout plan may be provided before bidding or fixed amount may be deferred till GR is prepared by CMPDI and cost of GSI's regional exploration be worked out and charged at this stage by providing details of Regional Exploration. 4. Clause 3.9 Value of Estimated Geological Reserves and Upfront Amount Reviewing quality parameters of coal in Bandha block which has been indicated as G7 contrary to type of coal available in other blocks/ mine in the vicinity. Higher grade enhanced Upfront Amount payable to the Government, whether advance or otherwise. It may be appreciated that the capacity of the bidders to pay an advance disproportionate to the outcome of the project has a limit. 5. Annexure I Mandatory Work Program and Production Schedule The amount estimated for the exploration expenses is about INR 8,20,80,000.00 (Indian Rupees Eight Crore Twenty Lakh and Eighty Thousand). Please provide breakup of the exploration expenses as estimated. Owing to the cost and criticality of the drilling operation, it is advisable that a detailed breakup be provided for the calculation of the estimated exploration expense. 6. Tender Document Clause 3.3.2 (h)(ii) Fixed Amount A. Some amount has been claimed as cost to be recovered from Fixed Amount. However, the Fixed Amount has provided is not final and under evaluation. Please provide the claimed amount. B. Whether Rs. 64 Crore is the total cost towards geological report to be prepared after complete exploration in Bandha Coal Block. C. For Bandha, it is understood (To justify such huge cost of INR 64,77,27,181.20) that exploration work and other coal block development activities were carried out after 31.01.2004 to

block allocatee is liable to pay GST under reverse charge mechanism on the amount of GR cost.

6A & 6B. For the mines being auctioned under MMDR Act, 1957, as

per the Tender Document, the Fixed Amount is the payment towards

cost incurred by CMPDIL and other Government agencies, if any, in

deriving detailed geographical boundary coordinates and in preparing

geological report, if any and cost incurred by CMPDIL for preparation

of the mine dossier including block boundary and financial valuation

along with applicable taxes.

6E. Please refer to Annexure I of the Tender Document. The total

number of boreholes drilled is 146. The Fixed Amount and Estimated

Exploration Expense shall be as provided in the Tender Document.

The Upfront Amount shall be estimated upon preparation of the

Geological Report in accordance with Clause 3.9.1 of the Tender

Document. Bandha is a Partially Explored Mine and detailed

exploration is under progress. In this block, 50826m of drilling has

already been completed and remaining 7600m needs to be drilled.

The GR cost with respect to meterage already drilled is Rs.54.892

Crore and the estimated cost of exploration with respect to

additional meterage to be drilled is Rs. 8.208 Crore.However, the coal

block allocatee is liable to pay GST under reverse charge mechanism

on the amount of GR cost.

6F. Fixed Amount shall be payable as per Clause 3.3.2(h) of the


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04.06.2020 for which details/reports are not available to the bidder. Request the Nominated Authority to provide the same. As per Abstract and Final report of regional exploration, following works were completed till 31st January 2004: 1. Drilling of 3196.05m in 8 boreholes over an area of about 12 sq. km. 2. Mapping on 1:10,000 scale by Theodolite survey 3. large scale mapping on 1:25,000 scale, covering an area of 25 sq. km outside the block area to explore the potentially viable area for coal resources From above details as on 31.1.2004 and the cost of GR as on 4.6.2020 it is cleared that further exploration/ geological investigation was carried out in the block in the time interval, against which reports are not available for the bidder. D. The document with the captioned title "Auction of Coal Mines for Sales Upfront Amount, Estimated Exploration Expenses, Bid Security & Fixed Amount", dated 3rd July 2020. Line Item IV. Fixed Amount for Coal Mines under the Mines & Mineral (Development and Regulation) Act 1957. Item 8 of table Bandha Block shows 64.77 Cr. Rs. Can you please share the detailed break-up of the same. E. For Bandha, cost mentioned in Fixed Amount for deriving detailed geographical boundary coordinates and in preparing geological report is INR 64.8 Cr. This seems to be on a very higher side. A total of 3196 m was drilled in 8 boreholes. Even if lump sum cost for drilling and other work comes out to be INR 10,000/ m (which is on higher side), the total cost for these activities shall be not more than INR 3-4 Crore. We find discrepancy in the cost mentioned and needs to be corrected, if any. In fact, the estimated exploration expenses itself is Rs. 8.2 crores. F. Clarification is required on factors that may lead to the upward and downward revision of the fixed cost.

Tender Document. The Fixed Amount is based on the available

information and the assessment made by the Competent Authority

and is subject to final settlement. Any upward revision in the Fixed

Amount on a subsequent date by the Government or the Nominated

Authority consequent upon any process or on the orders of any

competent court of law, shall also be payable by the Successful

Bidder. Additionally, in case of any downward revision in the Fixed




7. Site visit may be undertaken by the Bidders in accordance with the

Tender Document.

8. For all Partially Explored Mines, PRC shall be as per the Mining Plan

prepared by the Bidder and approved by the Government.

9. Land details as available with the Office of the Nominated

Authority has been provided in the mine dossiers. Bidders are advised

to undertake site visits to the mines to get acquainted with the local

conditions. Block boundary shall be as per the Geological Report.

10. DSS analysis carried out at CMPDI indicated issues of wildlife. May

be verified from MoEF&CC.

11.The Upfront Amount has been provided only for the Fully Explored

mines and shall be payable in accordance with Clause 3.9.2 of the

Tender Document. Upon preparation of Geological Report, the

Upfront Amount for Partially Explored mines shall be calculated in


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7. Tender Document Clause 3.6.1 and 3.6.5 Site Visits and Information Site visits are not possible due to COVID-19.All the states are imposing quarantine for a period of 7 days to 14 days. Without site visit, it is very difficult and not possible to estimate the land costs, local sensitivities, expense and type of various structures in villages, diversion requirements and feasibility of rivers and roads. In the tender document, only scanned documents and drawings are provided. Even these PDF documents are not converted from native format. They are photocopied from old printed books. It is not possible to bring them to editable format drawings to understand the annual mining parameters. Information regarding PDFs and PAFs were not given in the tender documents for many mines. This is biggest Capex item and it is not possible to estimate the mining cost due to COVID-19. 8. Query: In view of absence of mining plan, what is the expectation of Ministry of Coal for peak production capacity. Kindly clarify. 9. Land Details: A. Break-up of non-forest land into Govt Land and Private Land. should be provided. B. Please provide the details of land area, use pattern, ownership+D1 details, disbursements done, tree density C. High Stripping ratio is anticipated in the coal mine due to deep seated coal seams. Considering the block is totally coal bearing, additional land is requested outside block boundary for external dumping purpose.

accordance with the Clause 3.9.1 of the Tender Document and the

1st instalment shall be payable within 40 business days from the in-

principle approval of the Mining Plan. For Bandha, Performance

Security Amount shall be 25% of Estimated Exploration Expense as

given in the Tender Document.

12 & 13. Bandha is a Partially Explored Mine to be mined by

underground method of mining. The detailed Mining Plan shall be

prepared by Successful Bidder upon completion of exploration. The

approval of the Mining Plan and any revision in the Mining Plan shall

be as per Applicable Laws. From the available data with respect to

disposition of coal seams, only a preliminary assessment has been

done with respect to PRC. However, the same may change after

detailed exploration and preparation of Mining Plan.

14. Since Bandha is a Partially Explored Mine, the Successful Bidder is

required to pay the Fixed Amount and submit the Performance

Security prior to the issuance of Vesting Order.


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D. 3 No of HT transmission lines (>700 KV) passes through the coal block which needs to be diverted in order to extract coal. It is requested to provide additional land outside identified coal block for diversion of HT lines to maximize the coal recovery. 10. Forest: As per the mine block summary, it was understood that the forest area is about 40% of the geological block area. Please confirm that whether the above area falls under High Conservation Zone or Reserve forest. 11. Clause 3.9.1 Value of Estimated Geological Reserves and Upfront Amount and Clause 7.1 Performance Security Please clarify the total amount and Bank Guarantee i.e. Upfront amount, PBG to be submitted before issue of vesting order. 12. CMPDI slides say Bandha is UG mine. PRC is 5 MTA. is it right? 13. Whether Bandha comes under fully explored or partially explored coal block? 14. What shall be the total initial cost to be paid before vesting order for bandha coal block?

6 Dhirauli 1. Clause 9.3 Revision in Mining Plan upon allocation Since only regional exploration over the area has been carried out by GSI and mine plan is not prepared, hence tentative PRC is provided. We understand that in case of issues related to technical feasibility / mineability, downward revision of PRC is allowed since PRC is tentative and could be lower due to issues related to technical feasibility / mineability. 2. Clause 7.1 Performance Security Since only regional exploration over the area has been carried out by

1. As per Clause 9.3 of the Tender Document, upon allocation of the Coal Mine, the Mining Plan may be revised by the Successful Bidder, in accordance with the Guidelines for Preparation, Formulation, Submission, Processing, Scrutiny, Approval and Revision of Mining plan for the coal and lignite blocks issued vide Office Memorandum F. No. 34011/28/2019-CPAM dated May 29, 2020, as may be amended. However, as per Clause 9.2 of the Tender Document, the Successful Bidder shall ensure that the scheduled coal production as per the approved Mining Plan is equal to or more than the Production Schedule.


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GSI and mine plan is not prepared, hence tentative PRC is provided. However, after mine plan is prepared of lower PRC due to mineability issues / technical feasibility issue. In that case we understand that all calculations for Performance Security and other amounts shall be based on revised PRC. Please clarify the same. 3. Gaps in Mine Dossier: Information on the Land Docs: Dedicated folder present but empty; Land details mentioned in MoC's letter 4. Clause 3.3.2 (h)(ii) Fixed Amount A. For Dhirauli, a total of 29182 m was drilled in 107 boreholes. Even if lump sum cost for drilling and other work comes out to be INR 10,000/ m (which is on higher side), the total cost for these activities shall be not more than INR 30 Crore. However, the cost mentioned is around INR 46 Crore. We find discrepancy in the cost mentioned and needs to be corrected, if any. B. Fixed Amount provided is not final and subject to final settlement. Please provide the Final Fixed Amount at the earliest. 5. Land Details: Please provide the details of land area, use pattern, ownership details, disbursements done, tree density. 6. Surface Infrastructure: A. In the Mine Dossier provided by Ministry of Coal, "NA" has been mentioned in the Surface Constraints column. However, there are five HT lines passing through the block area. Please provide information on capacity of these lines, length, ownership and diversion requirements. Kindly provide information when these lines were built and when the area was declared coal bearing. Also please clarify who would be responsible for diversion of such infra and its cost, power line owner or

2. As per Clause 7.1.1 of the Tender Document, in case, the approved Mining Plan of the Coal Mine is not available, Performance Security shall be estimated on the basis of an indicative peak rated capacity, as provided in this Tender Document. Upon in-principle approval of the Mining Plan, the Successful Bidder shall submit a revised Performance Security on the basis of approved Mining Plan. 3. Dhirauli Coal Mine is being auctioned for the first time under MMDR Act, 1957 and hence, doesn’t have a prior allottee. Mining plan for the Coal Mine is not available. Only Geological Report is available in the mine dossier. 4A. Fixed Amount shall be payable as per Clause 3.3.2(h) of the

Tender Document. The Fixed Amount is based on the available

information and the assessment made by the Competent Authority

and is subject to final settlement. Any upward revision in the Fixed


Authority consequent upon any process or on the orders of any

competent court of law, shall also be payable by the Successful

Bidder. Additionally, in case of any downward revision in the Fixed




5. Land details as available with the Office of the Nominated

Authority has been provided in the mine dossiers.

6A & 6B. Diversion of HT lines, if any, in accordance with applicable


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the mine owner? B. Also please provide the details of the non-coal bearing area upon which this diversion shall take place. Diversion of such infra is capital intensive and would increase the risk of financial burden on the Bidder by spending capital on infrastructure which is not asset of the Bidder or the project. 7. Type of Mine: In the Mine Summary, provided in the Mine Dossier by Ministry of Coal, 586 MT of geological reserve has been considered from Underground Mining while in the presentation during launch of commercial coal mine auction, 586 MT of geological reserves was mentioned for Opencast type of mine. Please clarify the type of Mine. 8. Please provide details of PAF's / PAPs in the area 9. Is Dhirauli UG or OC. Dossier says UG, CMPDI slides say OC. 10. Is there any wildlife sanctuary nearby; if so at what distance it is located from the mine?

laws shall be the responsibility of the bidder.

7. Mining Plan is not available for Dhirauli block. It has been

tentatively assessed as an opencast mine

8. Since there is no mining plan for the block, no such study is

available. However, some information regarding demography may be

obtained from the Geological Report in the mine dossier.

9. Mining Plan is not available for Dhirauli block. It has been

tentatively assessed as an opencast mine.

10. The nearest WildlifeSanctuary (Sanjay Dubri WLS) is at a distance

of 13 km from the block.

7 Gare Palma IV/1 1. Clearances: A. Please clarify whether the work initiated / completed by Prior allottee regarding Approvals / Clearances / Project related studies shall remain valid for the New Allottee to continue on the achieved progress made by the Prior Allottee for approvals / clearances / project related studies, or the New Allottee has to start from scratch and get fresh Approvals / Clearances / Project related studies. Following progress made were stated by the Prior Allottee : (i) EC - EC obtained (ii) FC - CA and NPV payment done by prior allottee

1A & 1B. Upon issuance of Vesting Order for Coal Mines being auctioned under the CM(SP) Act 2015, the statutory licences, permits, permissions, approvals or consents obtained by the Prior Allottee for the Coal Mine, shall vest in the Successful Bidder. The Successful Bidder shall be required to follow due procedure for transfer/ obtaining the same. 2. A-B. Fixed Amount shall be payable as per Clause 3.3.2 (h)(ii) of the Tender Document. The land details, details of the mine infrastructure and claims submitted by Prior Allottee has been uploaded. It may however be noted that these details are for the purpose of bidders’


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B. EC had been obtained by Prior Allottee on 6th Dec 2005. Please clarify whether the EC obtained in the name of Prior Allottee would be valid for the Project by Successful Bidder or it has to be procured afresh. 2. Clause 3.3.2 (h)(ii) Fixed Amount A. Prior Allottee has already submitted the cost for its Mine Infra and land. But the same has not been provided as Final Fixed Amount for the Block. Please provide the same at the earliest B. INR 1.8 Crores has been passed by Ministry of Coal as claims made for Mine Infra by Prior Allottee. Please provide the infra available and its cost break up C. As per information provided by JSPL, mining in extension area gives access to 2.7 MT of reserves which would need acquisition of 273 Ha. We understand that mining in extension area is not mandatory and left upon the Successful Bidder to decide based upon the viability of the mine. Hence, acquisition of such infra for mining in extension area should not be mandatory and be left upon Successful Bidder. Therefore, the Successful Bidder would not need to pay for such Fixed Amount (amount corresponding to extension area) in case if it does not wish to carry out mining in such extension area. D. The Value of Land column is vacant. Whether this will be provided beforehand without any payment? 3. Please provide the details of land area, use pattern, ownership details, disbursements done, tree density of both existing lease area and extension area

information only and the Fixed Amount shall be payable as per Clause 3.3.2 (h)(ii) of the Tender Document. 2C. Mining is to be done by the Successful Bidder according to the approved Mining Plan. 2D. Value of land has been updated on MSTC Portal. 3. Land details as available with the Office of the Nominated Authority has been provided in the mine dossiers. 4. Surrender of coal mine shall be in accordance with the provisions of the Agreement. 5. Refer Note No. 3 at the end of the Mine Summary for explanation

regarding difference in area.

6A. Balance extractable reserves as on 31.03.2020 is 38.98 Mt.

6B. Total geological resource of 159.44 Mt given in Mine Summary is

as per the Geological Report.

6C. As per available mine plan, Gare Palma IV/1 is OC.


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4. Type of Mining: Since the mine is of OC + UG type, please clarify if the Successful Bidder intends to carry out only open cast mining since underground mining is very cost intensive and unsafe in nature, can it exit the agreement after exploitation of mine in open cast method only without any penalty. 5. Area of the Block: A. Area of the block is provided as 10.01 sq. km in the GR of the year 2006; whereas area in the mining plan is provided as 8.35 sq. km. Which area should be considered? B. Coal block boundary mismatch was found when compared the Geological Report and Mining Plan as per the Nominated Authority records. It is not clear cardinal points referred in which document denotes the correct coal block boundary. Whether the revised block boundary is eliminating such areas wherein major infrastructures or other set ups are to be created. This will hamper the project implementation or may require additional land to be included in the Mining lease. A final boundary plan to be considered may be provided/clarified. A comparison in the land distribution if can be provided – showing the changes with the boundary revision. 6. Reserves: A. Coal Extraction figure provided till 2014. There might be some more coal extraction in the FY 2014-15 before deallocation of coal mines implemented. Coal Extraction figure shall be provided till 31st March 2015. So that the remaining reserve estimation can be done more precisely. B. As per the Mine Plan of 2008 Geological Reserve is 140.89 Million


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Tonnes (OC = 121.34; UG = 19.55). The total Extractable Reserve is 114.016 Million Tonnes (OC = 98.09 & UG = 16.06) Extracted reserve till date is 74.44 Million Tonnes. Available extractable reserve should be 39.72 Million Tonnes (OC = 23.66 ; UG = 16.06). However, in summary, the total Geological Reserve considered is 159.44 Million Tonnes (OC = 133.324; UG = 26.120). What is the basis of increase in geological reserve? If any revised plan prepared by CMPDI, please share it with us. Was there any revision in the extractable reserve also? C. Gare Palma-IV/1 (Raigarh) is OC or OC+UG?

8 Marki Barka 1. Clearances: A. Please clarify whether the work initiated / completed by Prior allottee regarding Approvals / Clearances / Project related studies shall remain valid for the New Allottee to continue on the achieved progress made by the Prior Allottee for approvals / clearances / project related studies, or the New Allottee has to start from scratch and get fresh Approvals / Clearances / Project related studies. Following progress made were stated by the Prior Allottee : (i) EC - granted (ii) FC - Stage 1 granted 2. Clause 3.3.2 (h)(ii) Fixed Amount A. Geological report has been provided by the prior allottee. However, final Fixed Amount corresponding to GR is tentative and subject to final settlement. Please provide the Final fixed at the earliest B. Fixed Amount has provided is tentative and is under evaluation / litigation, subject to final settlement. Please provide the Final fixed at the earliest C. We observe that Prior Allottee had not made claim regarding Fixed

1A. Upon issuance of Vesting Order for Coal Mines being auctioned under the CM(SP) Act 2015, the statutory licences, permits, permissions, approvals or consents obtained by the Prior Allottee for the Coal Mine, shall vest in the Successful Bidder. The Successful Bidder shall be required to follow due procedure for transfer/ obtaining of the same. 2. Fixed Amount shall be payable as per Clause 3.3.2 (h)(ii) of the Tender Document. The land details, details of the mine infrastructure and claims submitted by Prior Allottee has been uploaded. It may however be noted that these details are for the purpose of bidders’ information only and the Fixed Amount shall be payable as per Clause 3.3.2 (h)(ii) of the Tender Document. 3. Land details as available with the Office of the Nominated Authority has been provided in the mine dossiers.


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Infra. We understand that no infrastructure was constructed by Prior Allottee or is being made available to the Successful Bidder. Hence, there would not be any cost of infrastructure that a Successful Bidder needs to pay for as a component of Fixed Amount. Please clarify 3. Please provide the details of land area, use pattern, ownership details, disbursements done, tree density.

9 Urtan 1. Clause 3.3.2 (h)(ii) Fixed Amount A. Final Fixed Amount has not been provided and is under evaluation . Please provide the final Fixed Amount by the Prior Allottee

B. As per GR exploration activities conducted: 1) Drilling - 62 Boreholes - 17683.75 m drilling 2) Sampling - 58 boreholes - 713.22 m 3) Various analysis - Max 52 boreholes Considering above the cost incurred by CMPDIL and other Government agencies, if any, in deriving detailed geographical boundary coordinates and in preparing geological report, if any - INR 22,53,61,710.00 is at a much higher side. Kindly Clarify 2. Annexure II Representative Price Since this block has coking coal of W-III grade and non-coking coal of G-10 grade, please clarify the Representative Price that will be considered for calculation of Monthly Payments or Revenue Share i.e. it be on coking coal or non-coking coal grade 3. Clause 9.3 Revision in Mining Plan upon allocation Exploration over the area has been carried out but mine plan is not prepared; hence tentative PRC is provided. We understand that in case of technical feasibility / mineability issues, downward revision of PRC is allowed since PRC is tentative and could be lower due to technical

1. Urtan Coal Mine is being auctioned under MMDR Act, 1957 and hence, doesn’t have a prior allottee. Fixed Amount shall be payable as per Clause 3.3.2 (h)(ii) of the Tender Document. Fixed Amount has been uploaded on the MSTC Portal ‘Notifications’ tab as well as in the mine dossier of the Coal Mine. 2. The Representative Price of the relevant grade(s) of coal for which statutory royalty is payable during the month shall be considered for Monthly Payments. 3. As per Clause 9.3 of the Tender Document, upon allocation of the Coal Mine, the Mining Plan may be revised by the Successful Bidder, in accordance with the Guidelines for Preparation, Formulation, Submission, Processing, Scrutiny, Approval and Revision of Mining plan for the coal and lignite blocks issued vide Office Memorandum F. No. 34011/28/2019-CPAM dated May 29, 2020, as may be amended. However, as per Clause 9.2 of the Tender Document, the Successful Bidder shall ensure that the scheduled coal production as per the approved Mining Plan is equal to or more than the Production Schedule. 4. As per Clause 7.1.1 of the Tender Document, in case, the approved Mining Plan of the Coal Mine is not available, Performance Security shall be estimated on the basis of an indicative peak rated capacity,


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feasibility / mineability issues. 4. Clause 7.1 Performance Security Exploration over the area has been carried out but mine plan has not been prepared; hence tentative PRC is provided. However, after mine plan is prepared of lower PRC due to mineability issues, in that case we understand that all calculations for PBG and other amounts shall be based on revised PRC. Please clarify the same. 5. Land: Please provide the details of land area, use pattern, ownership details, tree density over the area for which PL will be granted as a part of composite license

as provided in this Tender Document. Upon in-principle approval of the Mining Plan, the Successful Bidder shall submit a revised Performance Security on the basis of approved Mining Plan. 5. Land details as available with the Office of the Nominated Authority has been provided in the mine dossiers.

10 Urtan North 1. Clearances: A. In letter dated 10.01.2014, EAC approved the project for EC subject to FC Stage-1 produced within 1 year else process be reinitiated; meanwhile, coal block got de allocated by Hon'ble Supreme Court. In this case please clarify whether the process of EC shall be reinitiated or shall be continued to be processed from the stage where Prior Allottee left for grant of EC B. Please clarify whether the work initiated / completed by Prior allottee regarding Approvals / Clearances / Project related studies shall remain valid for the New Allottee to continue on the achieved progress made by the Prior Allottee for approvals / clearances / project related studies, or the New Allottee has to start from scratch and get fresh Approvals / Clearances / Project related studies. Following progress made were stated by the Prior Allottee :

1A & 1B. Upon issuance of Vesting Order for Coal Mines being auctioned under the CM(SP) Act 2015, the statutory licences, permits, permissions, approvals or consents obtained by the Prior Allottee for the Coal Mine, shall vest in the Successful Bidder. The Successful Bidder shall be required to follow due procedure for transfer/ obtaining the same. 1C. A Project Monitoring Unit has been set up at the Office of Nominated Authority for assisting bidders in obtaining clearances. However, the responsibility of obtaining clearances will remain with the Successful Bidder. 2. The Fixed Amount shall be payable as per Clause 3.3.2(h)(ii) of the Tender Document. Details of land valuation, valuation of the mine infrastructure and claims submitted by Prior Allottee has been uploaded. It may however be noted that these details are for the


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(i) EC - ToR granted, EC pending (ii) LA - IDCO recommendation for LA to Steel & Mines Ministry & Government of Odisha (iii) CTE from SPCB (iv) CGWA groundwater Clearance C. Elaboration required on - In case of reserve forest what will be the course of action to get the forest clearance, help from Ministry of Coal 2. Clause 3.3.2 (h)(ii) Fixed Amount A. Geological Report has been prepared. However, cost of preparation of Geological Report / Exploration is tentative and might revise. Please provide the revised cost of the same at the earliest B. Fixed Amount given is tentative and subject to final settlement. Final Fixed Amount for the Block has not been provided. Please provide the same at the earliest C. Fixed Amount passed to Prior Allottee is INR 7.69 Cr. However, the Fixed Amount is under litigation and might be revised. Please provide the claim amount from the Prior Allottee, so that Bidder could be aware of maximum extent of revision of this Fixed Amount 3. Land: Please provide the details of land area, use pattern, ownership details, disbursements done, tree density and progress and payments made in respect to Land Acquisition. Prior Allottee had claimed INR 21 Crore as an expense for Land payments 4. Land: A. Details on present land Cost B. Details on present land status

purpose of bidders’ information only and the Fixed Amount shall be payable as per Clause 3.3.2 (h)(ii) of the Tender Document. 3. Land details as available with the Office of the Nominated Authority has been provided in the mine dossiers. 4. The Fixed Amount shall be payable as per Clause 3.3.2(h)(ii) of the

Tender Document. Value of land has been provided.

Land details as available with the Office of the Nominated Authority

have been provided in the mine dossiers.

5. The Representative Price of the relevant grade(s) of coal for which

statutory royalty is payable during the month shall be considered for

Monthly Payments. Royalty, taxes etc shall be payable as per

Applicable Law.


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5. Grade of Coal: Urtan & Urtan North Coal Blocks are adjacent and sharing common boundary. As per Mine Summary report Coking Coal & Thermal coal both are exists within Urtan whereas Urtan North declared as Coking Coal Block. So, there are high chances of getting Thermal Coal within Urtan North. What will be the basis of consideration of representative price, Royalty, Taxes & Revenue Share in this case of high variation of Coal Grade from Coking Coal to Thermal Coal

11 Sahapur West 1. Clearances: Please clarify whether the work initiated / completed by Prior allottee regarding Approvals / Clearances / Project related studies shall remain valid for the New Allottee to continue on the achieved progress made by the Prior Allottee for approvals / clearances / project related studies, or the New Allottee has to start from scratch and get fresh Approvals / Clearances / Project related studies. Following progress made were stated by the Prior Allottee : (i) EC - ToR granted for 0.4 MTPA, EC recommended (ii) FC - Gram Sabha conducted 2. Clause 3.3.2 (h)(ii) Fixed Amount A. Prior Allottee has claimed some of its cost as Fixed Amount. However, the Fixed Amount has not been provided and is under evaluation / litigation. Please provide the claimed amount by the Prior Allottee B. We observe that Prior Allottee had not made claim regarding Fixed Infra. We understand that no infrastructure was made by Prior Allottee or is being made available to the Successful Bidder. Hence, there would not be any cost of infrastructure that a Successful Bidder needs

1. Upon issuance of Vesting Order for Coal Mines being auctioned under the CM(SP) Act 2015, the statutory licences, permits, permissions, approvals or consents obtained by the Prior Allottee for the Coal Mine, shall vest in the Successful Bidder. The Successful Bidder shall be required to follow due procedure for transfer/ obtaining of the same. 2. Fixed Amount shall be payable as per Clause 3.3.2 (h)(ii) of the Tender Document. The land details, details of the mine infrastructure and claims submitted by Prior Allottee have been uploaded. It may however be noted that these details are for the purpose of bidders’ information only and the Fixed Amount shall be payable as per Clause 3.3.2 (h)(ii) of the Tender Document. 3. Land details as available with the Office of the Nominated Authority has been provided in the mine dossiers. Requirement of land shall be as per the approved Mining Plan. Information as submitted by the prior allottee has been given in the mine dossier. 4. As per Clause 1.1.32 and Clause 3.9.1 of the Standard Tender Document. Geological reserve given in the mine summary is as per the Geological Report.


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to pay for as a component of Fixed Amount 3. Land: Please provide the details of land area, use pattern, ownership details, disbursements done, tree density and status of Land Acquisition. Land Acquisition Status provided by Prior Allottee (NMDC) seems to be erroneous, it says land required for the project is 13.4 while the ML area is 587 Ha. 4. Reserves: As per Mine Summary in Mine Dossier provided by Ministry of Coal, geological reserves of the block are 52.7 MT while as per Mine Plan Geological Reserves is 38.4 MT (pg 30 of pdf file provided). Some of the seams are not workable and cannot be considered for mining, but the Bidders have to pay Upfront Amount & Bid Security on higher geological reserve which cannot be considered for mining. This will create substantial load on the Successful Bidder as he is being charged on higher side and might lead to failure of the project. Hence, it is requested to consider only geological reserve of block that could be mined by the Successful Bidder i.e. on 38.4 MT for purpose of payment of Upfront Amount and Bid Security also other than mining.

12 Seregarha 1. Clause 3.3.2 (h)(ii) Fixed Amount A. Final Fixed Amount has not been provided and is subject to final settlement. Please provide the same at the earliest. B. Prior allottees has made a payment of Rs.1,12,93,939/- for transfer of Mineral Rights to CCL as per statement of Expenditure incurred towards Land and Mine infrastructure as submitted by prior allottees, but no land had been acquired. However, no amount has been passed as Fixed Amount towards land by Ministry of Coal. We understand that evaluation and due diligence regarding land has been done by Ministry of Coal and no Fixed Amount regarding land will be payable by the Successful Bidder to prior allottee. Please clarify

1. Fixed Amount shall be payable as per Clause 3.3.2(h) of the Tender Document. The Fixed Amount is based on the available information and the assessment made by the Competent Authority and is subject to final settlement. Any upward revision in the Fixed Amount on a subsequent date by the Government or the Nominated Authority consequent upon any process or on the orders of any competent court of law, shall also be payable by the Successful Bidder. Additionally, in case of any downward revision in the Fixed Amount on a subsequent date by the Government or the Nominated Authority, the same would be refunded by the Nominated Authority to the Successful Bidder.


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C. Prior allottee appears to have made a capex of 10.1 Cr., would it be a part of the Fixed Amount payable? 2. Land: A. Please provide the details of land area, use pattern, ownership details, disbursements done, tree density and status of Land acquisition 3. Coal Evacuation: A. Codal charges is 1% of the Project cost and the erstwhile project was finalised by Prior allottee. Hence any penalty or due on default due to Prior Allottee shall not be passed on to the Successful Bidder while claim of Fixed Amount. Prior Allottee presented liability of INR 89 Lakhs + interest payable to East Central Railway towards codal charges. 4. Gaps in Mine Dossier: Following information is missing from the mine dossier – 1) Survey Data, 2) Formation Details 3) Information on the Land Docs: No folder as such. Existing land use pattern found and Land details with status mentioned in MoC's letter 4) Editable files (AutoCAD) of the plates to be provided 5) Copy of mining Lease application 6) feasibility study of the extension of railway siding prepared by Rites to be provided 7) Project R&R Plan / 8) Nala diversion Plan 5. Mining Plan: Final Mine Plan was prepared by Prior Allottee in April 2014 for approval by Ministry of Coal, incorporating comments by Ministry of Coal on earlier made Mine Plan dated 05.09.2013 and 22.11.2013.

2. Land details as available with the Office of the Nominated Authority have been provided in the mine dossiers. 3A Fixed Amount shall be payable as per Clause 3.3.2 (h)(ii) of the Tender Document. The liabilities of the Successful Bidder shall be as per the Act. 4. Documents and information as submitted by the prior allottee has been given in the mine dossier. 5. Approval of Mining Plan shall be in accordance with Applicable

Laws.

6. Explanation regarding difference in area has been provided in the

note at the end of the Mine Summary.

7. Documents and information as submitted by the prior allottee has

been given in the mine dossier. Upon issuance of Vesting Order for

Coal Mines being auctioned under the CM(SP) Act 2015, the statutory

licences, permits, permissions, approvals or consents obtained by the

Prior Allottee for the Coal Mine, shall vest in the Successful Bidder.

The Successful Bidder shall be required to follow due procedure for

transfer/ obtaining of the same.

8. As per Clause 1.1.32 and Clause 3.9.1 of the Standard Tender Document. 9. Information as submitted by the prior allottee has been given in


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Please clarify whether Mine Plan submitted by Prior Allottee before deallocation of mine will be approved by Ministry of Coal for mining by Successful Bidder or the Successful Bidder will have to submit new Mining Plan for approval by Ministry of Coal 6. Mine Summary and GR Change in boundary shape and shift in the boundary has been noticed between boundary coordinates given in mine summary and GR. As per mine summary, the area of the block is approximately 3.50 sq. km whereas block area as per GR is 3.70 sq. km. Please clarify Which boundary shall prevail whether it will be as per mine summary or GR/ MP/ ML? We expect the same in other blocks also. 7. Clearances: As per 6th Annual report of Seregarha Mines Ltd., proposal for ToR was issued by MoEF on 24.05.2013. However, ToR is not provided in mine dossier. Please provide ToR issued by MoEF dated 24.05.2013 and please clarify if the ToR such obtained would be valid for obtaining of Environmental Clearances. 8. Block Boundary: If boundary as indicated in the GR 2007 prevails, will the resources be revisited as there is chance of reduction of resources? 9. There are unsettled liabilities to the tune of 89 lakhs as 1% Codal Charges payable to East Central Railways, we request the status of above outstanding amount.

the mine dossier.

13 Sahapur East 1. Clause 3.3.2 (h)(ii) Fixed Amount A. Prior Allottee has claimed some of its cost as Fixed Amount. However, the Fixed Amount has not been provided and is under evaluation / litigation. Please provide the claimed amount by the Prior

1. Fixed Amount shall be payable as per Clause 3.3.2 (h)(ii) of the Tender Document. The land details, details of the mine infrastructure and claims submitted by Prior Allottee has been uploaded. It may however be noted that these details are for the purpose of bidders’


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Allottee B. We observe that Prior Allottee had not made claim regarding Fixed Infra. We understand that no infrastructure was made by Prior Allottee or is being made available to the Successful Bidder. Hence, there would not be any cost of infrastructures that a Successful Bidder needs to pay for as a component of Fixed Amount C. Clarification is required on factors that may lead to the upward and downward revision of the fixed cost. 2. Clearances: A. Please clarify whether the work initiated / completed by Prior allottee regarding Approvals / Clearances / Project related studies shall remain valid for the New Allottee to continue on the achieved progress made by the Prior Allottee for approvals / clearances / project related studies, or the New Allottee has to start from scratch and get fresh Approvals / Clearances / Project related studies. Following progress made were stated by the Prior Allottee : (i) EC - ToR granted for 0.7 MTPA, EC recommended (ii) FC - Gram Sabha conducted B. Doc SE Annexure – II_NMDC.pdf, pg. No. 6 - As per the details provided in respect of the Forest Clearance the document mentions “FRA committee has refused to issue NOC in respect of FRA 2006 for Shahpur East Coal Block over an area of 9.199 ha. In meeting held on 30.09.14” There is no formal communication document attached conveying the rejection and/or seeking further clarifications for considering grant of approval. Any such document should be made available to the Bidders to ascertain the issues related to Forest Clearance

information only and the Fixed Amount shall be payable as per Clause 3.3.2 (h)(ii) of the Tender Document. Fixed Amount has been uploaded on the MSTC Portal ‘Notifications’ tab as well as in the mine dossier of the Coal Mine. 2A. Upon issuance of Vesting Order for Coal Mines being auctioned under the CM(SP) Act 2015, the statutory licences, permits, permissions, approvals or consents obtained by the Prior Allottee for the Coal Mine, shall vest in the Successful Bidder. The Successful Bidder shall be required to follow due procedure for transfer/ obtaining of the same. 2B. Documents and information as submitted by the prior allottee has been given in the mine dossier. 2C. Clearances shall be obtained by the Successful Bidder in accordance with Applicable Laws. 3. Land details as available with the Office of the Nominated Authority has been provided in the mine dossiers. Requirement of land shall be as per the approved mining plan. 4. As per Annexure I of the Tender Document. 5. Information as submitted by the prior allottee has been given in

the mine dossier.


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C. MINUTES of the 7th Expert Appraisal Committee (EAC) (Thermal & Coal Mining) Meeting held on 12th -13th December 2013 in New Delhi - Para no. 7.17 – EAC has recommended the Shahpur East and Shahpur West Blocks together, for grant of EC, as a single project. Since the recommended EC is for both the blocks together while the two blocks are now separated as separate projects, will the combined clearance stand individually for the two blocks or the EC clearance will need to be obtained again for the split block(s). The joint EC for the two blocks should be maintained as valid for individual blocks and should be vested automatically on vesting of the mines. 3. Land: A. Please provide the details of land area, use pattern, ownership details, disbursements done, tree density and status of Land Acquisition. Land Acquisition Status provided by Prior Allottee (NMDC) seems to be erroneous, it says land required is 14.78 for the project while the ML area is 693 Ha. 4. Annexure I Mandatory Work Program and Production Schedule The Annexure provides a production schedule for 25 years. The approved mine plan for the Shahpur East Coal mine has formulated a production schedule for a 34 year period. The Mandatory Work Program and Production Schedule should be matching with the approved Mine Plan. 5. It was also understood from the Annexure II provided by the previous allottee that a DPR have been prepared for the development of the block. Please provide the same.

14 Machhakata and Mahanadi

1. Clearances: A. Please clarify that the Successful Bidder could continue process of

1A & 1B. Upon issuance of Vesting Order for Coal Mines being auctioned under the CM(SP) Act 2015, the statutory licences, permits,


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obtaining EC on the ToR obtained by Prior Allottee and is further valid for obtaining of EC B. Please clarify whether the work initiated / completed by Prior allottee regarding Approvals / Clearances / Project related studies shall remain valid for the New Allottee to continue on the achieved progress made by the Prior Allottee for approvals / clearances / project related studies, or the New Allottee has to start from scratch and get fresh Approvals / Clearances / Project related studies. Following progress made were stated by the Prior Allottee : (i) EC - ToR granted lapsed, fresh ToR applied (ii) Administrative approval of Steel & Mines dept, Govt of Odisha 2. Clause 3.3.2 (h)(ii) Fixed Amount: A. Geological Report has been prepared. However, cost of preparation of Geological Report / Exploration is tentative. Please provide the final cost of the same at the earliest B. Fixed Amount provided in Mine Dossier is tentative and subject to final settlement. Final Fixed Amount for the Block has not been provided. Please provide the same at the earliest 3. Land: Please provide the details of land area, use pattern, ownership details, disbursements done, tree density and progress for both Machhakata and Mahanadi coal block

permissions, approvals or consents obtained by the Prior Allottee for the Coal Mine, shall vest in the Successful Bidder. The Successful Bidder shall be required to follow due procedure for transfer/ obtaining of the same. 2. The Fixed Amount shall be payable as per Clause 3.3.2(h)(ii) of the Tender Document. 3. Land details as available with the Office of the Nominated Authority has been provided in the mine dossiers.

15 Marwatola VI & VII 1. Clause 9.3 Revision in Mining Plan upon allocation Since only regional exploration over the area has been carried out by GSI and mine plan is not prepared, hence tentative PRC is provided. We understand that in case of issues related to technical feasibility / mineability, downward revision of PRC is allowed since PRC is tentative

1. As per Clause 9.3 of the Tender Document, upon allocation of the Coal Mine, the Mining Plan may be revised by the Successful Bidder, in accordance with the Guidelines for Preparation, Formulation, Submission, Processing, Scrutiny, Approval and Revision of Mining plan for the coal and lignite blocks issued vide Office Memorandum F.


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and could be lower due to issues related to technical feasibility / mineability. 2. Clause 7.1 Performance Security Since only regional exploration over the area has been carried out by GSI and mine plan is not prepared, hence tentative PRC is provided. However, after mine plan is prepared of lower PRC due to mineability issues / technical feasibility issue. In that case we understand that all calculations for Performance Security and other amounts shall be based on revised PRC. Please clarify the same. 3. Clause 3.3.2 (h)(ii) Fixed Amount Fixed Amount provided is not final and subject to final settlement. Please provide the Final Fixed Amount at the earliest. 4. Land: Please provide the details of land area, use pattern, ownership details, tree density over the area of the block 5. Surface/ Topography Plan: Surface plan is unreadable. Forest boundary is indicated in legend, but it is not clear as all lines are black. A Cad file or colour pdf shall be provided, which will provide a fair chance of assessment. Topography plan is showing forest area but could not be identified as this is in black. At least a colour pdf should be provided, or CAD may be provided. Topography lines could not be clearly identified. CAD plan to be provided 6. Gaps in Mine Dossier: Following information is missing from the mine dossier – 1) Survey Data,

No. 34011/28/2019-CPAM dated May 29, 2020, as may be amended. However, as per Clause 9.2 of the Tender Document, the Successful Bidder shall ensure that the scheduled coal production as per the approved Mining Plan is equal to or more than the Production Schedule. 2. As per Clause 7.1.1 of the Tender Document, in case, the approved Mining Plan of the Coal Mine is not available, Performance Security shall be estimated on the basis of an indicative peak rated capacity, as provided in this Tender Document. Upon in-principle approval of the Mining Plan, the Successful Bidder shall submit a revised Performance Security on the basis of approved Mining Plan. 3. The Fixed Amount shall be payable as per Clause 3.3.2(h)(ii) of the Tender Document. 4. This MMDR coal block being auctioned for the first time, the only document available for mine dossier is the Geological Report. Bidder is required to undertake further due diligence. 5. Colour topographical plan has been uploaded in the mine dossier. 6. This MMDR coal block being auctioned for the first time, the only document available for mine dossier is the Geological Report. Mining Plan & Mine Closure Plan is not available. Survey data, formation details, geological cross-sections and geophysical logs are part of the Geological Report, which is given in the mine dossier.


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2) Formation Details, 3) geological cross sections, 4) geophysical logs, 5) mine plan and 6) mine closure plan 7) Information on the Land Docs: Not Available

16 Chhendiapada I & II 1. Clearances: A. Please clarify that the Successful Bidder could continue process of obtaining EC on the ToR applied by Prior Allottee and is further valid for obtaining of EC or entire process need to be reinitiated. B. Please clarify whether the work initiated / completed by Prior allottee regarding Approvals / Clearances / Project related studies shall remain valid for the New Allottee to continue on the achieved progress made by the Prior Allottee for approvals / clearances / project related studies, or the New Allottee has to start from scratch and get fresh Approvals / Clearances / Project related studies. Following progress made were stated by the Prior Allottee : (i) EC - ToR granted lapsed, fresh ToR applied (ii) LA - Steel & Mines Ministry recommendation for LA of private land (iii) CGWA groundwater Clearance 2. Clause 3.3.2 (h)(ii) Fixed Amount: A. Geological Report has been prepared. However, cost of preparation of Geological Report / Exploration is not provided. Please provide the final cost of the same at the earliest B. Fixed Amount provided in Mine Dossier is tentative and subject to final settlement. Final Fixed Amount for the Block has not been provided. Please provide the same at the earliest

1. Upon issuance of Vesting Order for Coal Mines being auctioned under the CM(SP) Act 2015, the statutory licences, permits, permissions, approvals or consents obtained by the Prior Allottee for the Coal Mine, shall vest in the Successful Bidder. The Successful Bidder shall be required to follow due procedure for transfer/ obtaining of the same. 2. The Fixed Amount shall be payable as per Clause 3.3.2(h)(ii) of the Tender Document. 3. Land details as available with the Office of the Nominated Authority has been provided in the mine dossiers.


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3. Land: Please provide the details of land area, use pattern, ownership details, disbursements done, tree density and progress and payments made in respect to Land Acquisition. Prior Allottee had claimed INR 53 Crore as an expense for Land.

17 Shankarpur Bhatgaon II Extn.

1. Clearances: A. Please clarify whether the work initiated / completed by Prior allottee regarding Approvals / Clearances / Project related studies shall remain valid for the New Allottee to continue on the achieved progress made by the Prior Allottee for approvals / clearances / project related studies, or the New Allottee has to start from scratch and get fresh Approvals / Clearances / Project related studies. Following progress made were stated by the Prior Allottee : (i) EC - ToR approved in Sept 2010 and public hearing conducted in Jan 2012, presentation to EAC done in March 2012 (ii) FC - Wildlife Conservation Plan approved in April 2012 2. Clause 3.3.2 (h)(ii) Fixed Amount A. Prior Allottee has already submitted the cost for its Mine Infra and land. But the same has not been provided as Final Fixed Amount for the Block. Please provide the same at the earliest 3. Land: Please provide the details of tree density of lease area 4. Type of Mining: Since the mine is of OC + UG type, please clarify if the Successful Bidder intends to carry out only open cast mining since underground mining is very cost intensive and unsafe in nature, can it exit the agreement after exploitation of mine in open cast method only

1A. Upon issuance of Vesting Order for Coal Mines being auctioned under the CM(SP) Act 2015, the statutory licences, permits, permissions, approvals or consents obtained by the Prior Allottee for the Coal Mine, shall vest in the Successful Bidder. The Successful Bidder shall be required to follow due procedure for transfer/ obtaining of the same. 2.The Fixed Amount shall be payable as per Clause 3.3.2(h)(ii) of the Tender Document. 3. Land details as available with the Office of the Nominated Authority has been provided in the mine dossiers. 4. Surrender of coal mine shall be in accordance with the provisions of the Agreement. 5. Details of litigation would be uploaded in the mine dossier. Bidders are required to undertake further due diligence. 6. The Fixed Amount shall be payable as per Clause 3.3.2(h)(ii) of the Tender Document. The obligations and liabilities of the prior allottees and the Successful Bidder shall be in accordance with the provision of the CM(SP) Act 2015. 7. The Fixed Amount shall be payable as per Clause 3.3.2(h)(ii) of the Tender Document. The Fixed Amount is based on the available


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without any penalty? 5. Mine Dossier: A. Letter from CMDC addressed to the General Manager (UMD), M/s CMPDI Gondwana Place, Kanke Road, Ranchi - 834031, Jharkhand, Dated 02.03.2016 Sub: Information for the prior allocatee for the blocks identified for allotment by Ministry of Coal. Ref: Page 6 of 64; B.0 Details and status of Land (Mine and Infrastructure)* acquisition; Note: 2. .....So the new allocatee is required to pay the entire amount as per the decision of the Hon'ble High Court of Chhattisgarh, Bilaspur / Arbitrator as the case may be. Please provide all the relevant arbitration documents in which CMDC is a party. B. Last para of the letter from Chhattisgarh Mineral Development ltd: So the new allocatee might be required to pay the entire amount as per decision of….is Rs. 57.15 crore. Request the Nominated Authority to provide the order copy and/or award copy of Hon'ble High Court of Chhattisgarh and/or Arbitrator panel as the case may be. 6. Annexure Part-II in Mine Dossier Letter No./1421/CMDC/2015-16(Page No. 1) ... However, without prejudice to the legal rights and contention it is further informed that JV partner M/s SMS Infrastructure and Ltd., Nagpur and M/s Solar Explosives Ltd., Nagpur have raised dispute claiming amount of Rs. 204,05,36,695 [i.e. Rs. 140,24,79,894 for Shankarpur (Bhatgaon-II) and Rs. 63,80,56,801 for Shankarpur (Bhatgaon-II Extn.) Coal Mine] from CMDC stating to be the amount invested by them in respect of the Coal block along with interest etc. up to 31.12.2015. So, the new allocate might be required to pay the entire amount as per

information and the assessment made by the Competent Authority and is subject to final settlement. Any upward revision in the Fixed Amount on a subsequent date by the Government or the Nominated Authority consequent upon any process or on the orders of any competent court of law, shall also be payable by the Successful Bidder. Additionally, in case of any downward revision in the Fixed Amount on a subsequent date by the Government or the Nominated Authority, the same would be refunded by the Nominated Authority to the Successful Bidder.


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the decision of the Hon’ble High Court of Chhattisgarh, Bilaspur and/Arbitrator panel as the case may be. However, as per Annexure C the total investment up to 31.03.2014 is Rs. 57.15 crore... The Coal Mines Special Provisions Act 2015 states that where a successful bidder or allottee is not vested with any movable property of a Schedule I coal mine, then, he is not bound by any liabilities or obligations arising out of such ownership or contractual rights, obligations or liabilities which shall continue to remain with the prior allottee. It is, hereby, requested to confirm the total payment obligation for the successful bidder in terms of the dispute claim (if successful bidder is liable to pay any) and the prior expenditure incurred by CMDC. The claimed amount by M/s SMS Infrastructure Ltd. and M/s Solar Explosives Ltd., includes Security Deposit, JVC incorporation fee, Performance Guarantee, Land acquisition cost submitted to State government, Legal fees, etc. As per CMSPA 2015, the successful bidder shall not be held liable for a contractual rights, obligations or liabilities and these should remain with the prior allottee. Please provide clarity on the obligations and liabilities on the successful bidder for the coal block. 7. Clause 3.3.2(h)(ii) Fixed Amount In accordance with Clause 3.3.2 (h)(ii) of the Tender Document, the Fixed Amount shall be INR 10,95,22,341. It was understood from the documents submitted under Annexure-Part-II in the Mine Dossier, that the total expenditure done by the prior allottee is INR 57.15 Crores (as on 30th September 2014). Please confirm that the additional amount (of approximately INR 46 Crores) shall not be considered as the fixed amount in the future.


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18 Thesgora B/ Rudrapuri

1. Clause 3.3.2(h)(ii) Fixed Amount A. Prior Allottee has claimed some of its cost as Fixed Amount. However, the Final Fixed Amount has not been provided and is under evaluation / litigation. Please provide the claimed amount by the Prior Allottee B. We observe that Prior Allottee had not made claim regarding Fixed Infra or any works carried out. We understand that no infrastructure was made by Prior Allottee or is being made available to the Successful Bidder. Hence, there would not be any cost of infrastructures that a Successful Bidder needs to pay for as a component of Fixed Amount. Please clarify. 2. Land: A. Please provide the details of land area, use pattern, ownership details, disbursements done, tree density and status of Land Acquisition. Land Acquisition Status is not provided by Prior Allottee. 3. Geological Reserves: As per Mine Summary in Mine Dossier provided by Ministry of Coal, geological reserves of the block are different from Mine Plan. Some of the seams are not workable and cannot be considered for mining, but the Bidders have to pay Upfront Amount & Bid Security on higher geological reserve which cannot be considered for mining. This will create substantial load on the Successful Bidder as he is being charged on higher side and might lead to failure of the project. Hence, it is requested to consider only geological reserve of block that could be mined by the Successful Bidder for purpose of payment of Upfront Amount and Bid Security also other than mining.

1. The Fixed Amount shall be payable as per Clause 3.3.2(h)(ii) of the Tender Document. 2. Land details as available with the Office of the Nominated Authority has been provided in the mine dossiers. 3. As per Clause 1.1.32 of the Standard Tender Document. Upfront Amount and Bid Security are calculated in accordance with Clause 3.9.1 and Clause 6.1.2 of Standard Tender Document on the basis of Value of Estimated Geological Reserves.

19 Chitarpur 1. Clearances: A. Please clarify whether the work initiated / completed by Prior allottee regarding Approvals / Clearances / Project related studies shall

1A. Upon issuance of Vesting Order for Coal Mines being auctioned under the CM(SP) Act 2015, the statutory licences, permits, permissions, approvals or consents obtained by the Prior Allottee for


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remain valid for the New Allottee to continue on the achieved progress made by the Prior Allottee for approvals / clearances / project related studies, or the New Allottee has to start from scratch and get fresh Approvals / Clearances / Project related studies. Following progress made were stated by the Prior Allottee : (i) EC - granted for 2 MTPA in May 2007 (ii) FC - Stage-I granted as per Mine Summary given as part of Mine Dossier B. The coal block falls under the inviolate area as per MoEF letter dated 28.01.2019 wherein the blocks are in high conservation value (HCV) zone due to Hydrology layer passing through periphery of ML area. We understand Ministry of Coal in consultation with MoEF has approved the coal block to be put up for auction and the block will not face issues during approvals / clearances from MoEF or other statutory authorities. Please confirm. 2. Clause 3.3.2 (h)(ii) Fixed Amount A. Prior Allottee has already submitted the cost for its Mine Infra and land. But the same has not been provided as Final Fixed Amount for the Block. Please provide the same at the earliest 3. Land: Please provide the details of land area, use pattern, ownership details, disbursements done, tree density and status of Land acquisition 4. Geological Reserves: There is discrepancy in geological reserves mentioned in Mine Plan (174 MT) and as mentioned in the presentation at the time of launch of auction of coal mines for sale of coal (222 MT). Please clarify which is the correct figure.

the Coal Mine, shall vest in the Successful Bidder. The Successful Bidder shall be required to follow due procedure for transfer/ obtaining of the same. 1B. All the mines which have been put up for auction have been finalised after discussions with Ministry of Environment, Forests & Climate Change. For the mines in the High Conservation Value Zone, the MoEFCC orders have been uploaded in the specific mine dossiers for reference. 2. The Fixed Amount shall be payable as per Clause 3.3.2(h)(ii) of the Tender Document. Value of land has been provided. 3. Land details as available with the Office of the Nominated Authority has been provided in the mine dossiers. 4. Geological Reserves as per the Geological Report is 222.43 MT.


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20 Rajhara North (Central & Eastern)

1. Clearances: A. Please clarify whether the work initiated / completed by Prior allottee regarding Approvals / Clearances / Project related studies shall remain valid for the New Allottee to continue on the achieved progress made by the Prior Allottee for approvals / clearances / project related studies, or the New Allottee has to start from scratch and get fresh Approvals / Clearances / Project related studies. We understand that following progress has been made by the Prior Allottee : (i) EC - EAC presentation done on 17.09.2012 (ii) Mining Lease - Application made on 18.12.2008 and Form 1 and other docs. forwarded by DC and DMO to Mines Secretary, Government of Jharkhand B. The coal block falls under the inviolate area as per MoEF letter dated 28.01.2019 wherein the blocks are in high conservation value (HCV) zone due to Hydrology layer passing through or covering mining blocks at multiple sides. We understand Ministry of Coal in consultation with MoEF has approved the coal block to be put up for auction and the block will not face issues during approvals / clearances from MoEF or other statutory authorities. Please confirm. C. Kindly provide the status of Forest Clearance (if any), Environmental Clearance, Mining Lease and its validity, Land Acquisition details, No. of PAFs as per Mining Plan/ Mine Closure Plan, Consent to Operate, Statutory Permission for opening the mine, Permission for open-pit mining from DGMS along with permission to carryout deep hole blasting. D. A state/ national highway passes from the middle of the coal block. Whether the road is to be diverted or can be diverted or after leaving

1A. Upon issuance of Vesting Order for Coal Mines being auctioned under the CM(SP) Act 2015, the statutory licences, permits, permissions, approvals or consents obtained by the Prior Allottee for the Coal Mine, shall vest in the Successful Bidder. The Successful Bidder shall be required to follow due procedure for transfer/ obtaining of the same. 1B. All the mines which have been put up for auction have been finalised after discussions with Ministry of Environment, Forests & Climate Change. For the mines in the High Conservation Value Zone, the MoEFCC orders have been uploaded in the specific mine dossiers for reference. 1C. Documents and information as submitted by the prior allottee has been given in the mine dossier. 1D, E. Approved Mining plan may be referred to for provisions regarding diversion of roads and other surface features. 1F. The block has been categorised as high conservation value zone due to hydrology layer passing through or covering mining blocks at multiple sides (F. No. 11-584/2014-FC dated 1/01/2020 from MoEFCC) 1G. Certain specific conditions may be stipulated by MoEF&CC for safeguarding/ restoring the ecological components of the surrounding environment. This, however, needs to be verified from MoEF&CC . Bidder is required to obtain clearances as per Applicable Laws. 1H. EC to be obtained by the bidder as per Applicable Laws.


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50m safety zone mining shall be permitted? Whether the mineable reserves have been accounted for considering the diversion of road? E. A river runs along and through the west north-western part of the block. Whether the mineable reserves have accounted for this river or the river needs to be diverted? F. From the mine dossier available on the website, the block doesn't have any forest area to be diverted. However, the block falls in the High Sensitive Zone. This high sensitive zone is in relation to its proximity to nearby eco sensitive zone or for some other reasons? G. What are the implications of the block falling in high sensitive zone? H. If this block falls within 10 km of a PF, will EC be granted to the project? I. As per MOEFFCC letter 11-584-FC dated 01.01.2020 whether Ministry of Coal could nominate an officer for detailed discussion on 55 coal blocks falling in inviolate area due to various hydrological layers passing through multiple side as shown in Annexure B related to Rajhara N(Central and Eastern) Whether boundary of Rajhara coal block has been altered after detailed studies made by Ministry of Coal and FSI as given in the above letter of MoEFCC J. In the MOEFCC Guidelines attached with tender documents, Rajhara North (Central&Eastern) tis put into category “ List of Coal Blocks that require further analysis and decision will be taken later in consultation with Ministry of Coal. Please update on the status, whether decision has been taken prior to auction of this coal block? 2. Clause 3.3.2 (h)(ii) Fixed Amount

1I. Bidder is required to obtain clearances as per Applicable Laws. 1J.All the mines which have been put up for auction have been

finalised after discussions with Ministry of Environment, Forests &

Climate Change. For the mines in the High Conservation Value Zone,

the MoEFCC orders have been uploaded in the specific mine dossiers

for reference.

2A. The Fixed Amount shall be payable as per Clause 3.3.2(h)(ii) of the Tender Document. 2B. The Fixed Amount is the payment towards compensation to prior allottee for land and mine infrastructure, for the preparation of geological report, for obtaining all statutory licenses, permits, permissions, approvals, clearances or consents relevant to the mining operations; cost incurred by CMPDIL and other agencies for preparation of the mine dossier including block boundary and financial valuation along with applicable taxes, in deriving detailed geographical boundary coordinates and in preparing geological report, if any. 3, 4A, 4B. Land details as available with the Office of the Nominated Authority has been provided in the mine dossiers. 4C. Documents and information as submitted by the prior allottee has been given in the mine dossier. As per the information submitted by the prior allottee, mining lease deed was not executed. Boundary coordinates of ML is not available. However, the coordinates of the block boundary are given in the mine summary. 4. D,E & F: Approved Mining plan may be referred to for provisions regarding diversion of roads and other surface features. The


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A. Prior Allottee has already submitted the cost for its Mine Infra and land. But the same has not been provided as Final Fixed Amount for the Block. Please provide the same at the earliest B. Prior allottee appears to have made a capex of 2.9 Cr., would it be a part of the Fixed Amount payable? 3. Land: Please provide the details of land area, use pattern, ownership details, disbursements done, tree density and status of Land acquisition 4. Mining Plan: A. Sl. No. 3 of the REPLY TO OBSERVATIONS MADE BY THE STANDING COMMITTEE at Page-1 & 2 : The current status of acquisition / ownership of this 12.15 ha of land may kindly be provided. B. Table 3.1 : Whether CCL land 39.49 Acres in totality been transferred to the Previous Allottee or not. Similarly, the status of acquisition in respect of 33.42 acre of GM land and 187.47 acre of Rayati land (including GM Bandobast land) may kindly be furnished. C. Sl. No. 4 of the REPLY TO OBSERVATIONS MADE BY THE STANDING COMMITTEE at Page - 2 : The current status of acquisition / ownership of the ML area of 105.38 ha may kindly be provided. The coordinates of the boundary point around the ML area may kindly be provided. D. Point 5.2, CONSTRAINTS of CHAPTER-5 : i) The National Highway (NH-75), connecting Daltonganj with Aurangabad, is passing ......which the operations will be restricted to the east of the road. Kindly indicate the progress made in respect of diversion of NH-75 as laid down in the Mining Plan including Route Survey, Land Acquisition, Earthwork and Road Construction.

information on status of project as submitted by the prior allottee has been provided in the mine dossier. 5. Documents and information as submitted by the prior allottee has been given in the mine dossier 6. No. The bidder shall be responsible for obtaining clearances, statutory approvals etc. in accordance with Applicable Laws. All the mines which have been put up for auction have been finalised after discussions with Ministry of Environment, Forests & Climate Change. For the mines in the High Conservation Value Zone, the MoEFCC orders have been uploaded in the specific mine dossiers for reference. The conduct of mining operations at the Coal Mine shall be subject to the Efficiency Parameters and other provisions in the Agreement. 7. Documents and information as submitted by the prior allottee has been given in the mine dossier.


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ii) A meander of Sadabaha River is occupying some area in the northern portion of the western part ........ Therefore, it may be diverted during the 9th year to enable mining in the 10th year without interruption. The progress made by CCL for diverting the Sadabaha River as planned in Master Surface Plan (Plate-V) may please be communicated. iii) Coal along the western boundary of the block is also blocked under the Sadabaha River flowing along this boundary .......... will decrease from the present 22 years to 19 years. The progress made by CCL for diverting the Sadabaha River as planned in Master Surface Plan (Plate-V) may please be communicated. iv) 19 hutments of CCL are located in the block which CCL will vacate before mining coal ..............could continue uninterrupted. The status of eviction of CCL hutment from the ML area may please be indicated. v) These are certain drainage channels flowing from north to south the eastern part of the block .... This diversion will have to be affected during the 1st year of mine operation itself. This diversion was supposed to be taken up during the 1st year of mining operation itself. Kindly let us know the current status / progress made in this respect. vi) Bund to protect inundation from river flood : The HFL of Sadabaha river intrudes into the block area by upto 60m around the meander and up to 120 m from the eastern bank ............. will advance towards western direction. The status of construction of 1575m long eastern bund (2 m high) during the first 3 years may please be indicated. E. POINT 5.3, YEAR WISE DEVELOPMENT OF THE FIRST FIVE YEARS of CHAPTER-5 : Kindly let us know, how much coal has been produced (out of the total extractable reserves of 15.609 MT) and how much overburden has been removed (out of 31.406 M.Cum) by the Previous


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Allottee since inception of the work upto de-allocation of the block and what has been their Mode of Despatch. F. PLATE No. V, MASTER SURFACE PLAN: A study of the Plate No. V shows the area of the Rajhara North (Central & Eastern) Coal Block (measuring about 105.38 Ha) was earlier a part of Rajhara Colliery under the administrative control of Rajhara Area, CCL. This is evident from the Surface Plan of the Mine showing Abundant Quarry No. 2 of CCL, presence of subsidence zone connected with underground workings, Colliery Road branching off Daltonganj – Aurangabad Highway, CCL Colony and extent of underground workings of Rajhara Bottom Seam etc. Old Plans of Rajhara Colliery show its boundary line encompassing the Rajhara North (Central & Eastern) Coal Block. Kindly elaborate the circumstances leading to formation of the coal block and also let us know what National Interest could be served in the process. The ML Area of the Rajhara North (Central & Eastern) Coal Block is about one-fifth of the ML Area of Rajhara Colliery and located in the north-east corner of RAJHARA. For a better understanding of the opportunities and threat associated with this lately curbed out as a separate coal block being put to Auction, it is desired to get to know the reasons leading to formation of the coal block. 5. Project Related Reports: Copies of Approved EIA & EMP of Rajhara North (Central & Eastern) Coal Block obtained by the Previous Allottee may kindly be provided. 6. Payments: If MoEF&CC does not agree for clearing Rajhara from inviolate area before the due date or even after finalisation of successful bidder then how the financial closures submitted shall be taken care of?


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Whether any interest on the holding period of Performance security, Upfront payment be reimbursed to the successful bidder? 7. Gaps in Mine Dossier: Following information is missing from the mine dossier – 1) Borehole Coordinates, 2) Survey Data, 3) Formation Details, 4) seam and quality details of all 32 boreholes 5) Geophysical Logs 6) Seam Correlation Charts 7) Seam quality details (out of 32 only 16 boreholes are received) 8) Information on the Land Docs: Pre mining land use map is present, information on land status can be found from MoC's letter 9) Editable files (AutoCAD) of the plates to be provided 10)Copy of EIA/EMP to be furnished 11) Copy of mining Lease application

21 Gare Palma IV/7 1. Clearances: A. Please clarify whether the work initiated / completed by Prior allottee regarding Approvals / Clearances / Project related studies shall remain valid for the New Allottee to continue on the achieved progress made by the Prior Allottee for approvals / clearances / project related studies, or the New Allottee has to start from scratch and get fresh Approvals / Clearances / Project related studies. Following progress made were stated by the Prior Allottee : (i) EC - granted in Sept 2005 (ii) Consent to Establish - granted in Dec 2006 (iii) Consent to Operate - granted in Aug 2007 B. It is understood from the summary document that GP IV/7 has forest area. Please clarify that this block does not require forest

1A. Upon issuance of Vesting Order for Coal Mines being auctioned under the CM(SP) Act 2015, the statutory licences, permits, permissions, approvals or consents obtained by the Prior Allottee for the Coal Mine, shall vest in the Successful Bidder. The Successful Bidder shall be required to follow due procedure for transfer/ obtaining of the same. 1B. The Successful Bidder shall be required to follow due procedure for transfer/ obtaining of the clearances.The timeline for obtaining any clearance shall be as per the Efficiency Parameters. 2. The Fixed Amount shall be payable as per Clause 3.3.2(h)(ii) of the Tender Document. Value of land has been provided and value of mine infrastructure shall be provided shortly.


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clearance (as it is mentioned "not Applicable" in the summary document? It is also understood that all the permits will be transferred to the successful bidder for two years and successful bidder can commence mining operation within a year. Will this be possible for this block without forest clearance? In Gare Palma IV/7, due to change in block boundary and inclusion of additional forest land within the lease area, the Successful Bidder will be required to obtain fresh EC, FC, diversion of the Forest Land etc. Thus, the given timeline for milestone completion i.e. 9 months needs to be revised accordingly. 2. Clause 3.3.2 (h)(ii) Fixed Amount: A. Prior Allottee has already submitted the cost for its Mine Infra and land. But the same has not been provided as Final Fixed Amount for the Block. Please provide the same at the earliest 3. Land: Please provide the details of land area, use pattern, ownership details, disbursements done, tree density and status of Land acquisition 4. Geological Reserves: There is discrepancy in geological reserves mentioned in Mine Plan (67 MT) and as mentioned in the presentation at the time of launch of auction of coal mines for sale of coal (239 MT), whereas the balance reserves as given by Prior Allottee in its information submitted to Ministry of Coal is 52 MT. Please clarify which is the correct figure. 5. Mining Plan A. Further, the current mining plan extraction approval is for 1.2 MTPA; whether successful bidder would allow to revise the Mining Plan to 2 MTPA or more? If yes, whether the timeline for milestone

3. Land details as available with the Office of the Nominated Authority has been provided in the mine dossiers. 4. As per GR (2012) the reserve is 239 Mt. The approved Mining Plan submitted by the prior allottee was prepared in 2001 based on GR prepared in 2001. As per the GR prepared in 2001, the reserve in upper seams (upto Seam VI) is same as given in the approved Mining Plan. 5A. As per Clause 9.2 of the Tender Document, the Successful Bidder shall ensure that the scheduled coal production as per the approved Mining Plan is equal to or more than the Production Schedule. The timelines as per the Efficiency Parameter shall be applicable. 5B &5C. As per Clause 9.3 of the Tender Document, upon allocation

of the Coal Mine, the Mining Plan may be revised by the Successful

Bidder, in accordance with the Guidelines for Preparation,

Formulation, Submission, Processing, Scrutiny, Approval and Revision

of Mining plan for the coal and lignite blocks issued vide Office

Memorandum F. No. 34011/28/2019-CPAM dated May 29, 2020, as

may be amended. All required approvals, clearances including

Environment Clearance shall be obtained in accordance with

Applicable Laws.

6. Documents and information as submitted by the prior allottee has

been given in the mine dossier

7. The Fixed Amount has been uploaded.

8. As per Clause 1.1.32 and Clause 3.9.1 of the Tender Document.

9. Refer Note No. 3 at the end of the Mine Summary for explanation


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completion will be revised accordingly as the Successful Bidder shall have to take new EC. B. Mine Plan mentions two-phase mining for 30 years and then additional 25 years. Can we bring down the total mine life to 25 years or lesser by revising the mine plan and increasing the PRC? When we are changing the Mine plan then do we need to take EC again and do we need to go for Public hearing once again? This is an operating mine. C. Existing mine plan was based on end use of sponge iron plant however mentions that based on use the PRC can be increased. If we are successful bidder we will increase the PRC to 3 MTPA from 1.2 MTPA. If we are increasing the PRC, will we be required to get all the reports and clearances to be taken once again? 6. Mine Closure Plan Mine Closure Plan has not been provided 7. Clause 3.3.2 (h)(ii) Fixed Amount Fixed amount charges are mentioned as to be provided later. Schedule of payment may please be intimated. Bidders have to work out their financials based on all the payments to be made. Any amount payable by the Successful allocate of the coal block should be provided beforehand 8. Clause 3.9 Value of Estimated Geological Reserves and Upfront Amount Since the mine has already produced more than 4 Million Tons, the extracted part of the reserve should be reduced from consideration 9. Area of the Block: Area of the block is reported to be 4.20 sq. km (Page no. 13) whereas it

regarding difference in area.

10. Geological reports as submitted by the prior allottee have been

provided in the mine dossier.

11. Balance extractable reserves as on 31.03.2020 is 31.05Mt.

12-13. Refer Part-B of the Mine Summary with respect to status of

clearances/ approvals.

14A. Method of working is opencast for upper coal seams as per the

available approved Mining Plan and the same has been mentioned in

the Mine Summary as uploaded in MSTC Website. However, it has

also been mentioned in the Mining Plan that for lower seams,

extractable by underground method, underground mining can be

planned after further exploration.

14B. Plans have been provided as submitted by the prior allottee.

14C. CCO declared grade is for the seam being worked during a

particular year. The average grade given has been estimated

considering the weighted average grade of coal as per Geological

Report


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is mentioned as 4.85 sq. km in other part of the mining plan (Page no. 26). Which area should be considered? 10. Geological Report: As compared both the Geological reports (2002 and 2012), it has been observed that, there is considerable quantum of coal reserve increment. Even when compare the upper group of coal seams, there is increment of around 10 Million tons of coal reserves. It has also been observed that, the reserve of the previous Geological report has been estimated by CMPDI while the second phase of report has not been vetted by CMPDI. Neither a Geological Model of the block is available in the dossier. In this context, we would request to get a vetting of the Geological Reserve from CMPDI before the successful bidder deposit the upfront amount. Upfront amount should be based on the certified Geological Reserve. The Bidders should be given clarity about the coal reserves before conclusion of bidding process. Upfront amount should be bifurcated – based on the 2002 Geological Reserve – 1st Part. 2nd Part should be based on the Certified Geological Reserve from CMPDI. 11. Reserves: Coal extraction figure till 31st March 2015 may please be provided for remaining extractable reserve estimation. 12. Clause 3.11.1 and Mine Summary Part B(S. No. 3) There is forest land within the mining lease area of the GARE PALMA – IV/7 coal Block. Is the same diverted for non-forest use? Suggested Amendment Clause 3.11.1: The Production Schedule i.e. 24 months from the date of issuance of Vesting Order. Rationale: In case of Forest Clearance it requires a period of 24 months for: 1. Registration of application, 2. grants of Stage I clearance, 3.


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Grant of Stage II clearance and 4. Handover of the forest land for non-forest use. Suggested Amendment Mine Summary Part B(S. No. 3) -: Forest Clearance(Reference to Grant) Applicable Rationale: Production cannot be started without completing the process for diversion of forest land 13. Clearances: There is forest land within the mining lease area of the Gare Palma – IV/7 coal Block. Is the same diverted for non-forest use? 14. Query: A. The method of working shown in technical presentation uploaded by you showing both Opencast & underground. Kindly enlighten us breakup of reserves proposed for both UG and OC along with tentative depth of reserves seated. B. Surface plan and working plan does not show full lease area. Full plan may be provided. Working plan may be provided in CAD. C. In case of Gare Palma IV/7, in 2014 the CCO has declared grade of coal as G12, G14 & G16 for seam IX, VIII & VII respectively, however in new tender the grade of coal for this mine is declared as G11. Please explain the rationale behind this.

22 Gondulpara 1. Clause 3.9 Value of Estimated Geological Reserves and Upfront Amount Please clarify the payment for upfront amount in the form of BG or FDR or Net banking 2. Clause 6 Bid Security and Clause 7 Performance Security Please clarify that whether BG of multiple banks may be provided?

1. First instalment of Upfront Amount is required to be deposited by the Successful Bidder in the Designated Bank Account. The remaining instalments of Upfront Amount shall be paid to the State Government in the manner as may be prescribed by the State Government. 2. Yes.


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3. Gaps in Mine Dossier: Following documents are missing from the mine dossier – 1) Topographical /Surface map, 2) Geological Map, 3) Borehole Coordinates, 4) Survey Data, 5) Formation Details, 6) Geological Logs, 7) Geological Cross sections, 8) Geophysical Logs, 9) Floor contour plans, 10) Seam folio plans, 11) Seam correlation charts, 12) Seam and quality details, 13) Mining Plan 14) Environmental Clearance 15) Forest Clearance 16) Inputs from the prior allottee 17) Information on the Land Docs: Dedicated folder present but empty; Land status can be found in MoC’s letter 4. Clearances: A. Please provide NOC by Gram Sabha post Public Hearing Letter No F.No.11-584/2014-FC of MOEF&CC dated 28th January 2019 annexed with the mine dossier. Definition for "Partially inviolate" categorisation also is not clear. Please clarify B. Will there be delay in granting diversion of forest land in the 55 coal blocks of which Gondulpara and Fatehpur East are listed in Annexure A and Annexure C as they are mentioned as falling under High

3. Documents and information as submitted by the prior allottee has been given in the mine dossier. 4. All the mines which have been put up for auction have been finalised after discussions with Ministry of Environment, Forests & Climate Change. For the mines in the High Conservation Value Zone, the MoEFCC orders have been uploaded in the specific mine dossiers for reference. The EC/ FC shall be obtained by the Bidder as per Applicable Law.

5A. Mining is to be done as per the approved Mining Plan and

permissions obtained from statutory authorities.

5B. Bidders are encouraged to make site visits to collect such

information.

6. Geological Reserve is as per the Geological Report submitted by

the prior allottee.

7. As per Clause 9.2 of the Tender Document, the Successful Bidder shall ensure that the scheduled coal production as per the approved Mining Plan is equal to or more than the year-on-year production schedule of the Coal Mine as specified in Annexure I of the Tender Document. 8. Gondulpara is a Fully Explored Mine and accordingly, the Production Schedule has been given in Annexure I of the Tender Document and Mandatory Work Program is not applicable. 9. Fixed Amount shall be payable as per Clause 3.3.2(h)(ii) of the

Tender Document.


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Conservation Zone? C. Latest development on discussion after request made by MoEF&CC for considering realignment of the blocks to make them inviolate may please be provided D. The letter has recommended that "Accordingly Ministry of Coal may take appropriate steps to factor in conservation needs in all the coal blocks while allocating". Are there any guidelines for conservation prepared in this regard, specifically for Gondulpara and Fatehpur East? 5. Query: A. Badmahi River flows within the block. For that any conservation area (except buffer zone) has been demarcated where mining cannot be done? B. As per GR, Gondulpara block becomes unapproachable during the rainy season due to non-existence of a Bridge over the Badmahi river flowing along the northern and western part of the Block. Has any bridge been developed now which a dumper can approach ? 6. Reserves: Gondulpara comes under explored block, but a major part of geological reserve comes under Indicated reserves. Please clarify. 7. PRC: Target capacity of mining plan is 4 MTPA. This 4 MTPA is fixed or it can be customized (increase or decrease) as per our own requirement. 8. As per the common list of coal mine Gondulpara Block is shown as fully explored. But in tender document it has been proposed for requirement of 3000 m of additional drilling? The exploration status needs to be confirmed as the payment structure would have implication. It appears the block is partially explored.

10A & 10B. As per Clause 1.1.32 and Clause 3.9.1 of the Tender

Document. Reserve given is the estimated total geological reserve as

per the Geological Report.

11A. Information as submitted by the prior allottee has been given in

the mine dossier.

11B. Upon issuance of Vesting Order for Coal Mines being auctioned

under the CM(SP) Act, 2015, the statutory licences, permits,

permissions, approvals or consents obtained by the Prior Allottee for

the Coal Mine, shall vest in the Successful Bidder. The Successful

Bidder shall be required to follow due procedure for transfer of the

same and obtaining clearances as per Applicable Law.

12A,12B. Land documents have been provided as part of the mine

dossier.

13A, 13B. Mining Plan as prepared by the prior allottee and approved

by Ministry of Coal has been provided.

14. Area for the block may be considered as given in the Mine

Summary (read with Note No. 3 at the end of the Mine Summary).


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9. Clause 3.3.2 (h)(ii) Fixed Amount

A. Some amount has been claimed as cost to be recovered from Fixed

Amount. However, the Fixed Amount has provided is not final and

under evaluation. Please provide the claimed amount.

B. Please provide the existing infrastructure within the project area

and their status (construction or completed) as the Prior Allottee has

claimed amount of INR 9.5 Crore

C. Geological Report has been prepared by CMPDI. However only

tentative cost of preparation of Geological Report / Exploration has

been given, final cost has not been provided in the Fixed Amount.

Please provide the cost of the same.

D. Prior Allottee has already submitted the cost for its Mine Infra and

land. But the same has not been provided as Fixed Amount for the

Block. Please provide the same at the earliest.

10. Clause 3.9 Value of Estimated Geological Reserves and Upfront

Amount

A. As per Geological Report 101.78 Mt of coal reserve is burnt / heat

affected (< 10 % VM) which is ~ 58 % of total reserve. Burnt coal /

Heat affected (< 10 % VM) coal reserve should not be considered

under Geological Reserve.

B. Table 4.3.6 D and page no. 4-8 of the Geological Report stated about

101.458 Million Tons of Coal reserve as indicated for the reason of its


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heat affected nature and low VM properties. This coal will have very

limited market. However, this Geological Reserve has been included in

the tender for calculation of upfront amount and revenue share.

Definition & price of ungraded coal is not available the NCI &

Representative pricing. The heat affected coal should be removed and

dealt separately.

Actual Coal reserve should be considered as per the Geological

Report.

11. Clearances:

A. Please provide the present status of EC & FC

B. Please clarify whether the work initiated / completed by Prior

allottee regarding Approvals / Clearances / Project related studies shall

remain valid for the New Allottee to continue on the achieved progress

made by the Prior Allottee for approvals / clearances / project related

studies, or the New Allottee has to start from scratch and get fresh

Approvals / Clearances / Project related studies.

Following progress made were stated by the Prior Allottee :

(i) EC - ToR granted, EC pending

(ii) FC - FC Stage 1 pending

12. Land Details: A. Break-up of non-forest land into Govt Land and Private Land. should be provided. B. Please provide the details of land area, use pattern, ownership details, disbursements done, tree density 13. Mine Plan:


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A. ~ 104 Ha of External dump shown outside of block boundary (opposite site of river). Whether the proposed area is a part of the project area? Whether the proposed area is Non coal bearing and is not marked as coal block? B. Space considered for bund preparation is 15m and may not be enough. In case of feasibility study, wider space (>15m) is required and accordingly, the mineable reserves should be reduced from the mine plan. 14. Geological Report: Area in the salient feature is stated to be 4 sq. km (Page 3) whereas 3.50 sq. km (Page 14) is provided in the later part in the area of the block of the geological report. Which area should be considered?

23 Chakla 1. Clearances: A. ToR was granted on 15th Feb 2008, and EC was recommended by EAC on 22nd Oct 2010 after grant of FC; meanwhile, coal block got de allocated by Hon'ble Supreme Court. In this case please clarify whether the process of EC shall be reinitiated or shall continue to process from the stage where Prior Allottee left for grant of EC B. Prior Allottee has claimed of carrying out works for CA. We understand that for obtaining FC, Successful Bidder shall continue to carry the works accomplished / carried out by Prior Allottee and the process for obtaining FC shall not be reinitiated as it will increase the development of the block by significant years C. AQIP modelling is one of the conditions recommendation of EAC, details of which should be submitted to the Ministry. Please provide documentary proof of details of AQIP modelling.

1A & 1B. Upon issuance of Vesting Order for Coal Mines being auctioned under the CM(SP) Act 2015, the statutory licences, permits, permissions, approvals or consents obtained by the Prior Allottee for the Coal Mine, shall vest in the Successful Bidder. The Successful Bidder shall be required to follow due procedure for transfer/ obtaining of the same. 1C-E. Documents and information as submitted by the prior allottee has been given in the mine dossier. All transfers/ clearances/ consents shall have to be obtained by Successful Bidder as per Applicable Law. 2. Documents and information as submitted by the prior allottee has been given in the mine dossier.

3. The PRC shall be as per the Approved Mine Plan i.e. 5.3 MTPA.


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D. The Tiger Conservation Authority can evaluate and assess various aspects of sustainable ecology and disallow any ecologically unsustainable land use such as, mining, industry and other projects within or around (40 km from Palamu reserve) the tiger reserves. Please confirm the block will not face issues regarding approvals / clearances from MoEF or other statutory agencies due to proximity to Palamu reserve. E. FAC Authorities were informed by representatives of the prior Allottee that a Reclamation Plan has been prepared and got duly approved by the Ministry of Coal. Please provide copy of Reclamation Plan and Proof of approval by the Ministry of Coal 2. Project Related Studies: A. Please provide project related studies if any carried out by the Prior Allottee like - EIA / EMP / SIA / Vibration Study / Flora-Fauna study etc B. Prior allottee submitted a cost benefit analysis report but the same is not available with us. Please provide the same. Prior allottee also proposed an Investment of Rs.10 Crores in CSR. Please provide the details regarding the same. 3. PRC: As per the Approved Mining Plan, considering PRC of 5.3 MTPA, the life of the mine comes about 17 years however, as per environmental clearance obtained from MoEF, life of mine is suggested to be 20 years with a PRC of 4.5 MTPA. As, the prevailing norm and the tender conditions suggest the CMDPA will be signed as per the technical criteria provided in the Approved Mining Plan. Thus, there is a conflict in the definition of PRC for this project.

4 & 5. Documents and information as submitted by the prior allottee has been given in the mine dossier. However, for legibility of the Geological Report, freshly scanned text and annexures of the GR is uploaded on MSTC Portal. 6. All transfers/ clearances/ consents shall have to be obtained by

Successful Bidder as per Applicable Law. A Project Monitoring Unit

has been set up at the Office of Nominated Authority for assisting

bidders in obtaining clearances.

The Ministry has prepared a proposal to acquire land under CBA Act

and proposal is under consultation with states.

7. Fixed Amount shall be payable as per Clause 3.3.2(h) of the Tender

Document. Details of land valuation, valuation of the mine

infrastructure and claims submitted by Prior Allottee has been

uploaded. It may however be noted that these details are for the

purpose of bidders’ information only and the Fixed Amount shall be

payable as per Clause 3.3.2 (h)(ii) of the Tender Document.

8. For legibility of the Geological Report, freshly scanned text and

annexures of the GR is uploaded on MSTC Portal.

9. Land acquisition shall be undertaken by the Bidder in accordance

with Applicable Laws.

10 & 11A. For the mines being auctioned under CM(SP) Act, 2015, as

per the Tender Document, the Fixed Amount is the payment towards

compensation to prior allottee for land and mine infrastructure, for

the preparation of geological report, for obtaining all statutory


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4. R&R: A. Certificate dated 25.01.2014 issued by Office of the Commissioner and District Magistrate, Latehar under Forest Right Act and authorising land for their diversion Certifies that for the Forest land 362 hectares and 107.55 hectares of unattended and wild bush land – the rehabilitation and settlement of rights of villagers and tribal, under Forest Rights Act is complete. B. Compliance of Forest Right submitted according to guidelines issued on 03.08.2009. Please provide an updated report on the above and the rehabilitation plan. C. Please provide the number families belonging to the SC and ST communities who reside in forest area 5. Gaps in Mine Dossier: Following information is missing from the mine dossier – 1) Borehole Coordinates, 2) Survey Data, and Formation Details. 3) Also floor contour plans and seam folio plans are partial 4) GR is not Legible 5) editable files (AutoCAD) of the plates to be provided 6) Copy of EIA/EMP to be furnished 7) Deed of conveyance dated 31.12.2008 towards transfer of Surface rights in favour of Essar to be provided 8) Copy of Mining Lease Application to be furnished 9) Report on socio eco survey conducted in July 2008 may be provided 6. Land Acquisition: Whether 856.99 Ha land acquired by Government of India for CCL under CBA Act and transferred to Essar Power (Prior Allottee) on 31.12.2008 will be transferred to Successful bidder? If it is not transferred then what is the process of acquisition and transfer in present scenario?

licenses, permits, permissions, approvals, clearances or consents

relevant to the mining operations; cost incurred by CMPDIL and other

agencies for preparation of the mine dossier including block

boundary and financial valuation along with applicable taxes, in

deriving detailed geographical boundary coordinates and in preparing

geological report, if any.

11B & 11C. Upon issuance of Vesting Order for Coal Mines being

auctioned under the CM(SP) Act, 2015, the statutory licences,

permits, permissions, approvals or consents obtained by the Prior

Allottee for the Coal Mine, shall vest in the Successful Bidder. The

Successful Bidder shall be required to follow due procedure for

transfer of the same and obtaining clearances as per Applicable Law.

11D, 11E & 11F: Documents and information as submitted by the

prior allottee have been provided in the mine dossier.

12A. No. Fixed Amount shall be payable as per Clause 3.3.2(h)(ii) of

the Tender Document.

12B & 12C Freshly scanned GR text and annexures is uploaded on

MSTC Portal.

13. Reserve given is as per the Geological Report i.e., 76.05 Mt.

Although, there is a mention of additional resource of about 7 Mt in

the GR, the same has not been considered here as this has been

estimated through a non-standard procedure.


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7. Clause 3.3.2 (h)(ii) Fixed Amount A. Even though Final EC and FC is not granted, but Prior Allottee has shown the expense in Annexure-I of Mine Dossier. Whether successful bidder needs to pay for these expenses? If payment is required to be done by the Successful bidder then from which stage these processes of clearances has to be started? B. Even though Final FC is not granted, but Prior Allottee has shown the expense under head of land acquisition for compensatory afforestation in Annexure-II of Mine Dossier. Whether successful bidder needs to pay for these expenses? If payment is required to be done by the Successful bidder then what is the status of acquired land? And whether it is transferred to Forest Department? 8. Geological Report: Text and Plates of Geological Report are not readable. Please provide a clean and readable report. 9. Land: Out of 857 Ha area of the mines, 267.73 Ha area belongs to Private and mostly to Schedule tribal population residing nearby. Whether these areas come under Schedule Area as per VI Schedule of the Constitution of India? What will be the effect of the Power of State Government on this type of land? 10. Clause 3.3.2 (h)(ii) Fixed Amount

A. Prior Allottee has claimed some of its cost as Fixed Amount.

However, the Fixed Amount has not been provided and is under

evaluation/ litigation. Please provide the claimed amount by Prior

Allottee.

14 A, 14B. Land details as available with the Office of the Nominated

Authority has been provided in the mine dossiers.

14C. Compensation of land will be provided expeditiously.

15.Information as submitted by the prior allottee has been given in

the mine dossier.


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B. Prior allottee has submitted a capital expenditure of approx. 28 Cr.

Is this a part of Fixed Amount to be furnished by the successful bidder?

C. Prior Allottee has already submitted the cost for its Mine Infra and

land. But the same has not been provided as Fixed Amount for the

Block. Please provide the same at the earliest.

11. Clearances:

A. Prior Allottee has got study done for Naala diversion in August 2014.

Does this study stand valid as of today and can the Bidder consider this

study for further evaluation / diversion if the Successful Bidder wins

the bid or the Successful Bidder needs to carry out for fresh studies? If

the previous study does not stand valid as of today and Successful

Bidder needs to carry out fresh study for these diversions, then the

Successful Bidder is not liable to pay for these diversion studies as

Fixed Amount.

B. Please clarify whether the work initiated / completed by Prior

allottee regarding Approvals / Clearances / Project related studies shall

remain valid for the New Allottee to continue on the achieved progress

made by the Prior Allottee for approvals / clearances / project related

studies, or the New Allottee has to start from scratch and get fresh

Approvals / Clearances / Project related studies.

Following progress made were stated by the Prior Allottee :

(i) EC - ToR granted, EC pending

(ii) FC - FAC recommended for FC Stage 1 pending


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C. As per CM(SP) Act, all the requisite permits and licenses will be

transferred to the Successful bidder. However, the Status of Forest

Clearance as well Status of Mining Leases shows that considerable

progress has been made in the process, though final approval is

awaited.

Ongoing processes can be taken over from the as is basis. This will

save considerable time period.

D. As per status provided by Prior Allottee for Forest Clearance, FAC

was in favour for recommending FC Stage-1 in 2014 before the block

got deallocated. Moreover, Prior Allottee had claimed INR 12.3 Crores

for the work carried out for forest diversion as Fixed Amount. While

the status provided by Prior Allottee for Compensatory Afforestation

says only land of 511 Ha (1262 acres) has been identified for CA in lieu

of 1258.5 acres of forest land. Please provide the correct status of CA

and activities performed by Prior Allottee for the claimed cost of INR

12.3 Crores

E. As per Prior Allottee, FAC was in favour of recommending the

proposal for Stage-I but the block got de-allocated. Please clarify

whether the Successful Bidder can obtain Stage-1 Forest Clearance

with FAC's recommendation for grant of FC as of 2014.

F. EC letter dated 22.09.2010; A MoM for diversion of forest area. The

forest advisory committee has mentioned in the MoM dated 13th and

14th Feb 2014 that the environment impact assessment studies is

being undertaken and environment management plan is under

progress. It has also been mentioned that the environment clearance


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to the project has not been obtained by the project proponent so far,

however a ready document of environmental clearance dated 22

September 2010, for a production capacity of 4.5 MTPA has been

furnished in the dossier.

Please clarify whether another application has been proposed post

obtaining the above-mentioned EC.

12. Geological Report: A. We observe that the GR for this block was prepared in 1983. Will the GR be still valid while making Mine Plan in 2007? Since GR is old, there could be higher chances of discrepancy in the data provided in the Geological Report of 1983 and the actual Mining done in the present day. In that case Successful Bidder shall be compensated for % of discrepancy in the reserves to the Fixed Amount incurred by the Successful Bidder for Geological Report. B. Annexure no. I, II, III are missing from annexure part of the Geological Report. The mentioned annexure is required for detailed study of the block for geological report as well as pit planning in mines. C. Geological report on Chakla2 (Page 6-27); Geological-3 (Page 2-21); Geological-4 (Page 5-42) are unreadable. Legible copies of the pages to be provided. 13. Geological Reserves: As per Mine Plan provided by Ministry of Coal, geological reserves of the block are 83.1 MT (pg 72 of pdf file provided) while as per Mine Dossier Geological Reserves is 76 MT. Please provide the correct Reserves that Bidder should consider for evaluating. 14. Land Details:


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A. Break-up of non-forest land into Govt Land and Private Land. should be provided. B. Please provide the details of land area, use pattern, ownership details, disbursements done, tree density C. Value of Land and Value of leasehold rights in the land or surface rights qua the land are not provided 15. Please provide details of PAF's / PAPs in the area

24 Gotitoria (East) & Gotitoria (West)

1. Clause 3.3.2 (h)(ii) Fixed Amount A. What would be basis for assessing value of land acquired by prior allottee? It may be seen that the prior allottee had acquired land 241.85 ha of land in different villages for Rs. 5,65,04,639. Present value of the respective land in accordance with available rate chart of Government of Madhya Pradesh is about Rs. 19.19 Cr. Since the land was acquired 22 years back and in light of the order of the High Court Delhi in this regard, the value of land as per sale deeds added with simple interest rate of 12% comes to Rs. 12.51 Crore. As regards, various infrastructure erected by the prior allottee, there is no infrastructure at present viz. no buildings, no washery, no coal handling plant, nothing is available at the site so no cost for these items should be included in the fixed amount. B. In relation to the infrastructure erected by the Prior Allottee, there is no infrastructure available at the site. However, as per financial data provided by the Prior Allottee upto 31.12.2014, after updation upto 31.03.2020, the depreciated value comes to Rs. 14528131/- but no assets exist at the site. Fixed Amount should be charged as per the assets present at the site. Though there is no infrastructure, fixed assets such as Building, machinery etc. exists at the site. As such there should not be any cost towards Fixed Amount on this account.

1. Value of land will be provided expeditiously. The Fixed Amount shall be payable as per Clause 3.3.2(h)(ii) of the Tender Document. Details of land valuation, valuation of the mine infrastructure and claims submitted by Prior Allottee has been uploaded. It may however be noted that these details are for the purpose of bidders’ information only and the Fixed Amount shall be payable as per Clause 3.3.2 (h)(ii) of the Tender Document. Cost of the land to be acquired further for continuity of mine operation would be assessed by the bidder. 2. Reserve within the block boundary is given in the dossier. 3A & 3B. Upfront Amount shall be payable in accordance with Clause 3.9 of the Tender Document. 4. Documents and information as submitted by the prior allottee has been given in the mine dossier. 5. The Fixed Amount includes payment towards compensation to prior allottee for land. The Fixed Amount towards value of land shall be provided in a few days.


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C. It is understood that Ministry of Coal will inform about the cost of the land incurred by Prior Allottee along with interest to be paid. The Value of the land to be paid should be in proportion with the percentage of the Extractable reserve i.e. of 9.1 MT balance left after subtracting the coal raised by Prior Allottee which is at least 2.95 MT as per the record submitted by the Prior Allottee vide its letter no 185 dated 24th Nov 2014 i.e.2/3 of Actual amount. D. Cost of Preparation of GR: Govt of India has already got the cost of exploration of Rs 12.87 Lakh through WCL in 1997 from the Prior Allottee as per the letter of Shri N N Gautam Director (Technical) Ministry of Coal letter dated 10.6.97 ( Page 158 of Approved Mining Plan ( 3rd Revision)). It may please be clarified that when the cost of GR has already been paid , then why it is being asked again. If it for re payment to Prior Allottee, then it should be reduced in proportion of coal raised by Prior Allottee. E. It is important for the bidders to understand the value of land and mine infrastructure at the time of bidding to analyse the viability of the project. As of now, no information provided on the Valuation of Land acquired by the prior allottee and the valuation of Mine infrastructure. Whether the same would be available to the bidders well before bid due date? Also in reference to the Gotitoria East and Gotitoria west Coal Mine it is not clear that what will be the cost of the land to be acquired further for continuity of mine operation? F. Land acquired by the prior allottee had been used for excavation. It would be illogical to seek compensation for used asset that too when such asset was used to excavate coal for profit.

6. Documents and information as submitted by the prior allottee has been given in the mine dossier. 7 & 8: Documents and information as submitted by the prior allottee has been given in the mine dossier. 9. The area of the blocks as per shape file is 1.12 and 2.04 sq.km for Gotitoria East and Gotitoria West, respectively. 10. Available approved mining plan in the Mine Dossier may be referred for required information. 11. Gotitoria (East) and Gotitoria (West) is a Fully Explored Mine.


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Amount in lieu of the land acquired by the prior allottee in excess of the requirement assessed in the approved Mining Plan should not be charged. Fixed Amount should be revised in view of the fact that prior allottee had acquired land for the quarry and excavated it for extraction of coal. Cost of land be reduced in proportion to excavated coal. For example: Geological Reserve= 10.0 Mte Extractable Reserve= 7.5 Mte Coal Excavated = 2.5 Mte Land Quantity should reduce by a factor of 2.5 divided by 7.5 which is the ratio of Coal extracted from the block and Extractable Reserve that was available for extraction from the block. 2. Surface Plan: The Plan shows Red line as Lease boundary and Black line as Block boundary. Clarification is needed whether a) the reserve beyond Red line but within Black line( as found mainly in Gotitoria West)can be taken as Geological resources for the project? b) the area beyond Black line but within Red line as found in mainly in Gotitoria East) can be taken for calculation of reserve etc. 3. Clause 3.9 Value of Estimated Geological Reserves and Upfront Amount: A. The upfront amount, payable by the preferred / successful bidder is calculated based on total geological reserve of 10.41MT. However, 2.658 MT of coal has already been extracted by the prior allottee (as on 31.03.2014). Hence, the remaining geological reserve may be considered for the calculation of the upfront amount. Kindly provide


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clarity on this. B. Does the GR provide assurance on the availability of coal to the extent of 10.41 MT? What if in future the successful bidder got to know that the Coal is very less as mentioned in the GR then how the commercial loss would be compensated? There should be an assurance on minimum guarantee of coal availability with financial implication if coal found less than the determined value. 4. There is no information on details of Project Affected Families (PAFs) and land losers pertaining to the coal block. As the mine was operational and large parcel of land is yet to acquire, this will be important factor to access mining viability. 5. In case of Gotitoria East & West Coal Block, the prior allottee BLA INDUSTRIES has moved to Delhi High Court regarding compensation towards land. The Hon. High Court has given judgement that BLA INDUSTRIES should get compensation as per the current Govt. value of the land which comes to Rs. 34 Crore. However, BLA Industries has invested around Rs. 6 crore to acquire this land in the year 1994. Kindly guide us whether preferred bidder shall have to pay Rs 34 crore or Rs. 6 Crore to prior allottee i.e. BLA Industries. 6. Clearances/ Approvals: A. The prior allottee should be asked to provide all the clearances and permissions he has taken during the mining operation. The available documents are not clear and doesn’t provide sufficient criterion to evaluate them further. The available document doesn’t give clarity on the ongoing consent, approval and clearances which was stopped since the coal block was de-allocated, these should be clearly listed and available to the bidders to ascertain further clarity on financial implication on any process.


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7. Mining Plan: Some pages especially in the annexure is illegible. Legible and readable dataset may please be provided 8. Plans: Working plans may please be provided in CAD. UG plan especially for Gotitoria E&W does not show depth of working. The sump area, present water level, supported area, abandoned limit are not shown. Abandonment line is not certified by surveyor 9. Block Area: For East & West Block separately: East Block - GR (CMPDI 1985) - 2 sq. km (0.65 sq. km Coal bearing); Tender Document (2020) - 1.12 sq. km (as per shape file) West Block- GR (MECL 1984) - not mentioned; Tender Document (2020) 2.04 sq. km (as per shape file) For Combined Block: GR for both Blocks (CMPDI1997) - 2.14 sq. km Mining Plan (2011) - 2.49 sq. km (249.24 ha) Previous Mining Plan (1997) - 2.14 sq. km 10. In the pdf plan provided along with the Dossier, named “Gotitoria WP”, in the Gotitoria East lease area abandoned UG working are shown. In Part B of the summary document method of mining indicated as opencast mining and coal extracted till 31.03.2014 is indicated as 2.658MT. In the plan provided, UG abandoned workings are indicated, which is not mentioned in the summary document. Ministry of Coal may please provide the breakup for the extracted coal in OC and UG. In case if UG is fully abandoned as restarting of workings


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will be risky and so the UG reserves has to be left out. 11. Gotitoria East and Gotitoria West area partially explored or fully explored mines.

25 Brahmadiha 1. Clause 3.9 Value of Estimated Geological Reserves and Upfront Amount A. Earlier, the property was developed extensively and depillared in majority of the area. It is required to clarify the methodology being adopted by Ministry of Coal/ CMPDIL for estimating the balance reserves in the property. All the Geological Reserves cannot be excavated as there will be mining losses in the form of benches and sloped etc. The depth of the property, roads, railway lines etc. may also be considered to arrive at mineable reserves. Hence, fixing the value of estimated geological reserves may not be appropriate. B. Mineable reserves are only 2.215 MT and the representative price is 10949 of steel grade. The reserves are only tentative, and the extractable reserves are to be re-estimated for actual available coal reserves in the balance goaved out/ depillared coal mine. Further, the quality of coal seam has to be confirmed, as lot of coal has been exposed to the atmosphere through shafts/inclines/opencast pits which may catch fire/ spontaneous heating and may affect the coal quality. 2. Land: A. Kindly furnish the details of the type wise, extent of land which will be transferred to the new allottee and currently in possession of Ministry of Coal, with a plan showing the above details.

1. Upfront Amount shall be payable in accordance with Clause 3.9 of the Tender Document. Geological Report for this coal mine is not available. Assessment of geological reserve and extractable reserve has been made in the approved mining plan submitted by the prior allottee. The same has been provided in the mine dossier. 2. Land details as available with the Office of the Nominated Authority has been provided in the mine dossiers. 3,4. Documents and information as submitted by the prior allottee has been given in the mine dossier. Eight boreholes fall within this block. Only lower Karharbaree seam is encountered in this block. 5.Details of land valuation, valuation of the mine infrastructure and claims submitted by Prior Allottee has been uploaded. It may however be noted that these details are for the purpose of bidders information only and the Fixed Amount shall be payable as per Clause 3.3.2 (h)(ii) of the Tender Document. 6,7 & 8. Documents and information as submitted by the prior allottee has been given in the mine dossier. Eight boreholes fall within this block. Only lower Karharbaree seam is encountered in this block. Geological Report for Brahmadiha mine is not available. Only a geological note, based on some boreholes drilled by CCL, is available. The same has been given in the mine dossier.


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3. Mining Plan: A. The history of mine says that majority of coal is produced from Karharbari coal seam. There is a possibility that coal might be removed from other 13 coal horizons too. Therefore, it is requested to provide complete GR data. B. The mine is developed and depillared in majority of the property. The only seam available in the property has split into two sections. Please clarify, whether the plans provided with the document pertains to only one section or different section, on the same plan? C. Please clarify is there is any spontaneous heating/ fire exists in the mine. Due to long exposure of coal to the atmosphere, there is a possibility. D. Clause 3.2.6 Brief History of Coal Mine: Coal Quality: Fixed Carbon(66.84%), Volatile matter(29.42%), Ash(9.15%), Specific Gravity(1.35%). The total percentage is more than 100(105.41%). Kindly clarify. E. Clause 3.2.8 General Precautions (A&B): During the operation of the mine by previous allottee with UG method, offset plans might have been prepared. It is requested to provide the same, so that, the existence of galleries above galleries can be possible. F. Land & Land Use: The land use plans provided are basing on 1981/2004 land use status. It is requested to provide latest status of land use with a plan showing the details of all types of land in possession of Ministry of Coal. G. If coal is produced during the period of 2009 and after, then the availability of 1.91MT may not be present in the property. Please

9.Details of land valuation, valuation of the mine infrastructure and claims submitted by Prior Allottee has been uploaded. It may however be noted that these details are for the purpose of bidders information only and the Fixed Amount shall be payable as per Clause 3.3.2 (h)(ii) of the Tender Document. 10. Information available has been provided in the Mine Dossier

11. Geological Report for this coal mine is not available. Assessment

of geological reserve and extractable reserve has been made in the

approved mining plan submitted by the prior allottee. Only a

geological note, based on some boreholes drilled by CCL, is available.

The same has been given in the mine dossier.

12. Fixed Amount for each Coal Mine has been provided in the Mine

Dossier for respective Coal Mine. It has also been uploaded in the

Notifications Tab of MSTC Portal. The Upfront Amount, Performance

Security and Bid Security shall be payable in accordance with the

Clause 3.9.1, Clause 7.1 and Clause 6.1 of the Tender Document

respectively. Other costs such as mine development and operation

would be estimated by the bidder.

13. It is a Fully Explored Mine.


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confirm the availability of coal reserves. H. It is requested to provide soft copies in AutoCAD format of these plans. I. Letter No.I3016/8/99-CAdated 2nd March, 2000 issued under the signature of Mr. A. Banerjee, Director of Department of Coal, Ministry Mines& Minerals, GOI to the Director of M/s Castron Technologies Ltd., While communicating Approval of the Mining Plan for Brahmadiha OCP, the following (amongst others) was suggested : i) Hydrogeological Studies to be carried out by the party in consultation with State Ground Water Board with a view to see that dewatering of this mine does not seriously affect the hydrogeological balance of area. ii) Extraction of coal barrier between the abandoned mine and CCL leasehold shall not be permitted and in case dams in connection through the barrier are found damaged shall be effectively repaired. iii) All precautions to be taken to ensure that fire does not break out due to dewatering of the area. If any fire does break it shall effectively be dealt by the party. Actions taken in this regard may kindly be informed along with a copy of the Hydro-geological Studies. Report of compliance submitted by the Allottee to the Ministry of Coal every quarter may kindly be shared. If there is any recorded history of occurrence of fire and how it was effectively dealt with in the mine, the same may kindly be shared for formulating and planning pre-emptive & combative measures


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4. R&R: The latest status of R&R and remaining activities to be undertaken by new allottee may please be furnished. 5. Mine Infra: A. It is requested to furnish the details of mine infra developed by the Prior Allottee. B. As per approved mine closure plan, it is requested to provide the status of these structures to prepare the cost estimates. 1) Steel Structures - Workshop, sub-station, pit top office, coal crushing plant and coal handling yard, truck parking place 2) Permanent Building - office, precipitation water tank 6. Clearances: As per the mines act, rules and regulations etc., certain statutory permissions are to be obtained from Govt. and statutory authorities. As mine was in operation till 2009, certain permission must have been obtained. Please provide the same. A. Copies of Approved EIA & EMP of Brahmadiha Coal Block obtained by the Previous Allottee may kindly be shared with us. B. Kindly provide the current status and validity of the Statutory Licenses, Approvals, Clearances etc. some of which are listed below :

⁃ Environmental Clearance

⁃ Mining Lease

⁃ Consent to Establish from Jharkhand State PCB

⁃ Consent to Operate from Jharkhand State PCB

⁃ Permission from DGMS to extract coal

⁃ Permission from DGMS to conduct deep hole blasting.

⁃ Approval from Central Ground Water Authority


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C. In case of reserve forest what will be the course of action to get the forest clearance, help from Ministry of Coal 7. Geological Report: A. The GR data shows that 36 boreholes were dug during exploration. However, bore wise data of only 12 boreholes are given. Further, the floor contour plan of karharbari coal seam is only given. It is requested to provide borehole data of remaining 24 boreholes and other geological plans pertaining to karharbari seam. B. Kindly provide the Geological Report along with the Borehole data. 8. Mine Closure Plan: A. In the approved mine closure plan, fixed carbon is 59.60% ash is 13.20% whereas in the approved mine plan carbon is 66.84% and ash is 9.15%. Please clarify. 9. Clause 3.3.2(h)(ii) Fixed Amount The actual amount towards expenditure incurred may please be furnished. 10. R&R: Elaboration on present Status of R&R count. 11. Reserves: A. The total Geological and extractable reserve has been calculated based on 100 years old plans. No proper geological report is there. In case during actual mining the reserve, grade etc. is found different than that predicted, what remedy has been proposed by Govt. in this Auction. The Geological Report of the block whatever available may please be provided


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B. The extractable reserve as the Approved Mining Plan which was approved on 2nd March 2000 is 2.215 MT. Kindly mention the present status in respect of extractable reserve as on date so that balance coal / how much coal has been excavated by the Prior Allottee till date could be known. 12. What will be the total cost of the mine? 13. Is the coal mine fully explored or partially explored?

26 Choritand Tiliaya 1. Clause 3.9 Value of Estimated Geological Reserves and Upfront

Amount

The entire upfront amount payable to state Govt within 9/12/15

months of issuance of vesting order. In case of Choritand Tiliaya Block,

the available Geological reserve is 97 Mt and the upfront amount to be

paid by the new allottee shall be based on the geological reserve figure

of 97 Mt.

As per the approved mining plan of the earlier allottee M/S CT MINING

PVT. LTD., a production level of 0.7 Mtpa was envisaged. In this case is

it possible to recover the entire upfront payment (To be adjusted

against 50% of the monthly payments to the State Govt. as mentioned

in clause no. 3.9.3 of the tender document)?

2. Annexure II of Tender Document

A. What will be impact on Royalty, Taxes & Revenue Share if there are

variation in declared coal (as per documents obtained from Ministry)

grade vs. actual extractable grade.

1. Upfront Amount is only 0.25% of the Value of Estimated Geological

Reserves, with a ceiling as provided in Clause 3.9.1 of the Tender

Document. Therefore, the scenario of Upfront Amount being in

excess of total Monthly Payments over the life of the mine is not

likely to emerge.

2A-B. Royalty, taxes, statutory duties etc. shall be payable as per

Applicable Law. Revenue share shall be payable for the quantity of

coal on which statutory royalty is payable in accordance with the

provisions of the tender document.

3.Value of land has been provided. Land documents as available with

the Office of the Nominated Authority has been provided in the mine

dossiers. Land acquisition in accordance with Applicable Laws shall be

the responsibility of the Bidder.

4. Bidder shall be responsible for obtaining clearances/ approvals as

per Applicable Law.

5. Documents as provided by prior allottee has been provided in the


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B. If similar variation observed in declared reserve vs. extractable

reserve quantity what will be impact on Royalty, Taxes & Revenue

Share?

3. Land:

A. Details on present land Cost

B. Details on present land status

C. Land purchased in Palamu District for Choritand Tiliaya coal

block(Hazaribag District), Deeds are registered with General Power of

Attorney dated- 13.09.2011 by Sri Jagdeo Kumar Uraon (Tribal), s/o.

Late Dashai Uraon. How this tribal land has been registered is

questionable (as per CNT act) and how it will be transferred to

successful Bidder.

4. Clearances:

A. Elaboration on role/help of Ministry of Coal& Forest Department to

get the forest clearance in Choritand. Forest Area in Choritand ~125 Ha

C. In case of reserve forest what will be the course of action to get the

forest clearance, help from Ministry of Coal

5. R&R:

Elaboration on present Status of R&R count.

Mine Dossier.

27 Marki Mangli II 1. Clearances:

A. As per our information Forest reserve land is 100 hectares, can we

get to know whether the land under forest area will be cleared from

1A. As per the Applicable Law.

1B. Fresh EC would be required for Marki Mangli II as per Applicable

Law. The timeline for obtaining the clearance shall be as per the


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your end.

B. Combined EC had been granted for three mines (viz Marki Mangli –

II, Marki Mangli – III and Marki Mangli – IV). Will the new allottee be

required to take a fresh EC for this particular mine as this mine has

been offered as a single mine? Will public hearing be required once

again?

C. There is a Forest Land of 1.51 sq.km. But in dossier, no document or

information pertaining to Forest Clearance is given although the mine

was operational. Please clarify the status of Forest Clearance.


You have given Rs 1.83 Crore fixed cost for Marki Mangli – II but the

land cost is still pending, kindly provide the same.

3. Agreement Schedule D Efficiency Parameters

Can we get the efficiency criteria in detail for Marki Mangli - II.

4. Area of the Block:

Area provided in the mining plan is 2 sq km whereas, 3.40 sq km area is

mentioned in the Coal Block Summary of Marki Mangli-II. Which area

should be considered?

5. Geological Report:

SOV analysis not provided. SOV data is required for modelling and

reserve calculation purpose.

Efficiency Parameters.

1C. Copies of clearances as submitted by the prior allottee have been

given in the Mine Dossier.

2. Value of land has been updated on MSTC Portal.

3. Please refer to Schedule D of the Agreement.

4. Explanation regarding difference in area has been provided in the

note at the end of the Mine Summary.

5. Information as submitted by the prior allottee has been given in

the mine dossier.


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28 Takli Jena Bellora

(North) and Takli

Jena Bellora (South)

1 Geological Report:

A. The pdf file of Geological Report (Text) of Takli Jena Bellora (South)

is not proper. Right side portion of the pages are cut off.

B. Geological Report for Takli Jena Bellora South quality is not good.

We may request Ministry of Coal to provide a well scanned document

as most of the pages are truncated and the scanned document is not

legible.

2. Please clarify the number of Villages and Households.

3. Please clarify the number PAF


Fixed Amount for Geological Report preparation mentions the amount

as NIL. Moreover, it also mentions that cost of Geological Report is

tentative and final amount may be revised after verification of original/

proper documents on submission by the prior allottee.

We understand that all the prior allottees had been asked by Ministry

of Coal in 2014-15 to submit the documents with respect to the

expenditure made for the respective allocated coal blocks.

We understand that prior allottee of this coal block also has submitted

the above referred documents. Hence, we request you to provide the

Fixed Amount of the Geological Report.

5. Annexure I Mandatory Work Program and Production Schedule

As mining plan of the block is not available, request to provide the

basis of the production schedule for each year, both underground and

1.Fresh scanned .pdf file of GR of Takli-Jena-Bellora (North) & (South)

would be uploaded on MSTC Portal.

2-3. Information as available with the NA and as furnished by the

prior allottee has been provided as part of Mine Dossier.

4. Fixed Amount shall be payable as per Clause 3.3.2(h) of the Tender

Document. The Fixed Amount is based on the available information

and the assessment made by the Competent Authority and is subject

to final settlement. Any upward revision in the Fixed Amount on a








5. Production schedule has been drawn on the basis of tentative

scheme conceptualised for the mine based on the available

information.

6. Fresh scanned .pdf file of GR of Takli-Jena-Bellora (North) & (South)

would be uploaded on MSTC Portal.


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opencast along with the grade of coal.

6. Geological Report of Takli Jena Bellora (South):

The detail of reserve provided in annexure A and B is not readable.

Please provide the same for understanding the reserve of the block.

7. Borehole collar coordinates are missing

8. Grid is missing in the geological map

7. Not available in GR prepared by DGM, Maharashtra.

8. Not available in GR prepared by DGM, Maharashtra.