Adani Power Ltd., India’s largest private-sector thermal power producer, has received government approval to commence mining operations at the Dhirauli block in Singrauli, Madhya Pradesh. This milestone strengthens the company’s raw material security and consolidates its leadership in the indian power sector.
1. government Clearance Marks a Major Milestone
The Ministry of Coal has officially granted adani Power the go-ahead to begin operations at Dhirauli Mine. This is the first captive coal mine of adani Power to receive such clearance, highlighting the strategic importance of the block for the company’s long-term power generation plans.
2. Mining Operations Managed by Mahan Energen Ltd.
Dhirauli Mine will be operated by Mahan Energen Ltd., a subsidiary of adani Power. The mine comes with a peak production capacity of 6.5 million tonnes per annum (MTPA):
5 MTPA from open cast mining
1.5 MTPA from underground operations
This ensures a steady supply of coal for decades, securing the company’s fuel requirements.
3. Vast Coal Reserves Ensure Long-Term Stability
According to geological surveys:
Gross geological reserve: 620 million metric tonnes
Net geological reserve: 558 million metric tonnes
These reserves will provide decades of reliable fuel supply, helping adani Power reduce dependence on external sources and stabilizing operational costs.
4. 30-Year Lease Secured
Adani Power has been granted a 30-year lease for the Dhirauli block. Plans include:
Achieving open cast peak capacity by FY27
Starting underground mining nine years later
The long-term lease ensures operational continuity and strategic fuel planning for the company’s expanding power portfolio.
5. Fueling Power Plants and Merchant Operations
Coal extracted from Dhirauli will support:
Adani Power’s merchant power needs
1,200 MW Mahan Power Plant, which is currently expanding to add 3,200 MW
This integration of mining and power generation strengthens the company’s ability to provide reliable electricity supply to meet India’s growing demand.
6. Strategic Importance for Energy Security
The Dhirauli Mine plays a crucial role in India’s energy ecosystem:
Reduces dependence on external coal suppliers
Ensures a stable fuel supply for thermal power plants
Supports the company’s sustainable growth and expansion strategy
By leveraging captive coal sources, adani Power is positioning itself to meet the future power demands of the country efficiently.
7. Looking Ahead
With government approval in hand, Dhirauli Mine is set to become a key asset for adani Power’s growth story. The combination of captive coal, ongoing plant expansions, and strategic planning makes the company well-equipped to maintain its leadership in India’s thermal power sector.
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