Coal India Ltd (CIL) expects the Mozambican government to respond to a request submitted for the allocation of exploration rights for two new coal blocks, according to the Indian Ministry of Coal’s annual report for 2016/2017.
“The request was submitted to the Mozambican government but no response has been received so far,” according to Indian news agency, the Press Trust of India.
Coal India African Limited (CIAL), a 100% controlled subsidiary of the CIL group, received exploration licenses for two coal blocks covering an area of 224 square kilometres from the Ministry of Mineral Resources.
However, the studies and analyses carried out on the samples collected showed that 170 square kilometres of the two blocks did not contain coal “up to at least a depth of 500 metres” which would allow for economically viable exploration.
The conclusions were subsequently approved by the group’s board of directors, which decided to return the two operating licenses to the Mozambican government.
The Mozambican government subsequently issued a prospecting license for the remaining 54 square kilometres, valid until 6 August, 2019, the agency said, citing the ministerial report.
