MMTC sole bidder for CIL coal supply contract.

Minerals and Metals Trading Corporation has emerged as the sole bidder for supply of imported dry fuel to Coal India Limited for the second consecutive term. The tender was closed last week.

As per fuel supply pacts inked between the coal major and consumers in 2012, CIL proposed to furnish 15% of the fuel needs through imports on a cost-plus basis.

Accordingly, consumers, including many power producers, expressed initial interest to procure 5 million tonnes of the imported fuel through CIL. In turn, CIL floated a tender for the appointment of a contractor in charge of sourcing imported coal and ensuring supply to consumers.

The tender was floated for the first time last year and MMTC was the sole bidder for the contract even then. CIL floated the tender again in order to ensure better participation but failed to attract any other bidders’ attention.

Source : steelguru.com