Coal India board clears Chile arm for lithium, copper; approves over Rs 6,300cr investments

Synopsis coal India: In a regulatory filing, CIL said it will hold 100 per cent equity in the proposed intermediate holding company in Chile. The incorporation will be subject to regulatory approvals from the Department of Investment and Public Asset Management (DIPAM) and the Ministry of Coal. Kolkata: Coal India Ltd's board on Wednesday approved setting up an intermediate holding company in Chile to pursue critical minerals opportunities, including lithium and copper, as both countries move closer to finalising a free trade agreement. Commerce and Industry Minister Piyush Goyal had recently said negotiations between India and Chile for an FTA would be concluded soon and the pact would provide greater access to critical minerals for domestic businesses. Chile has large reserves of lithium, copper, rhenium, molybdenum and cobalt, which are key inputs for sectors such as electronics, automobiles and solar energy. In a regulatory filing, CIL said it will hold 100 per cent equity in the proposed intermediate holding company in Chile. The incorporation will be subject to regulatory approvals from the Department of Investment and Public Asset Management (DIPAM) and the Ministry of Coal. In a separate filing to the stock exchanges, the CIL board also approved an equity infusion of Rs 3,132.96 crore in a proposed energy joint venture with Damodar Valley Corporation (DVC). The investment forms part of the total indicative project cost of Rs 20,886.40 crore, with a debt-equity ratio of 70:30, officials said. Live Events Separately, the board cleared an investment of Rs 3,189.54 crore in its subsidiary Bharat Coal Gasification and Chemicals Ltd (BCGCL) to fund a coal-to-ammonium nitrate project. The approval covers Coal India's equity contribution towards its promoter stake in the joint venture. The coal-to-ammonium nitrate project, to be set up in Odisha, will have an annual capacity of 0.66 million tonnes per annum. "The project is under pre-implementation stage," CIL said. (You can now subscribe to our Economic Times WhatsApp channel) (Catch all the Business News, Breaking News and Latest News Updates on The Economic Times.) Subscribe to The Economic Times Prime and read the ET ePaper online. ...moreless (You can now subscribe to our Economic Times WhatsApp channel) (Catch all the Business News, Breaking News and Latest News Updates on The Economic Times.) Subscribe to The Economic Times Prime and read the ET ePaper online. ...moreless