MCL outsources work in 3 mines

TALCHER: The Bhubaneswari open cast mine of Mahanadi Coalfields Limited (MCL), with an annual capacity of 20 million tonne, has opted for complete outsourcing of its operations. The contract has been awarded to Essel Mining, a subsidiary of Aditya Birla Group, for 15 years.The open cast mine thus becomes the first coal mine under Coal India Limited (CIL) to outsource its entire operations to a private player. Operations at three coal mines under MCL will be outsourced as per the Government decision.While outsourcing has already commenced at the Bhubaneswari open cast mine, contracts have been awarded for the mines at Kaniha in Talcher coalfield and Kulda in Basundhara coalfield of Sundargarh district, MCL officials said.Bhumi Puja was performed at a site near Jilinda village. MCL Chairman-cum-Managing Director AN Sahay and officials of MCL and Essel Mining were present.Sources said, the ceremony was disrupted by agitating villagers from Jagannath area, allegedly upset over terms of rehabilitation and callousness of the local administration in redressing their grievances.However, Sahay chipped in with a promise that their  legitimate dues would be paid, following which the protest was withdrawn. Sources said all works in the mine, including production and removal of over burden, lighting of roads etc will henceforth be undertaken by Essel Mining.The company will produce coal and hand it over to MCL for sale. In turn, they will be paid per tonne of coal produced, sources said. The company has been set a production target of eight million tonne of coal in the first year. Sources said while Essel will deploy its manpower for the mining works, certain works will be carried out by MCL employees.