Colombian coking coal in the sights of India

ICVL bringing together the Steel Authority of India, NTPC, NMDC, Rashtriya Ispat Nigam and Coal India, is trying to acquire thermal coal mines abroad to meet the fuel requirements of the growing steel industry in India.

Verma, who is also chairman of Steel Authority of India, said ICVL is also exploring the possibility of acquiring ownership of small coal mines in Colombia coking belonging to individuals.

"There is enormous potential for coking coal in Colombia. There are between 4,000 and 4,500 small mines operating in that country," he said. "India is already importing coking coal from U.S.. UU. And are looking to Colombia as an additional source for future needs."

Indian steel companies rely heavily on coking coal from abroad and imports about 30 million metric tons. According to a recent investigation by Australia and New Zealand, India is likely to triple its annual imports in five years and become the world's largest importer of the product, as is currently the third.

The consortium, formed as a joint venture in 2009, has been looking to buy mining assets abroad in countries like Australia, USA. UU., Indonesia and South Africa but has not reached an agreement. However, it is in talks to buy 24 percent of MEC Coal, a company based in Singapore.

Last month, the consortium launched a global tender for the commissioning of a feasibility study on building a steel plant and the development of coal mines and iron ore in Indonesia.