Prism Johnson Limited has been declared the successful bidder for significant coal supply contracts, enhancing its fuel security. The company secured linkages for 24,000 MT per annum from Eastern Coalfields Ltd (ECL) and 1,04,000 MT per annum from South Eastern Coalfields Limited (SECL). These agreements, with a total annual value of approximately ₹70.49 crore, extend for 10 years and will cover a substantial portion of the Cement Division’s fuel requirements.
New Coal Linkage Agreements Boost Fuel Security
Prism Johnson Limited has announced the successful acquisition of new coal linkage agreements through a recently concluded auction conducted by MSTC Limited. These agreements are crucial for the company’s cement manufacturing operations, ensuring a stable supply of a key raw material.
Key Contract Details
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Supplier: Eastern Coalfields Ltd (ECL) and South Eastern Coalfields Limited (SECL), both subsidiaries of Coal India Limited.
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Supply Volume: 24,000 MT per annum from ECL and 1,04,000 MT per annum from SECL.
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Contract Duration: Each agreement is for a period of 10 years from the date of execution of the Fuel Supply Agreement.
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Total Annual Value: The aggregate value of contracts with Coal India Limited subsidiaries is approximately ₹70.49 crore per annum.
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Execution Timeline: The contracts are expected to be executed within 90 days from the issuance of Letters of Intent dated August 17, 2026.
Impact on Operations
The newly secured coal linkages add 1,28,000 TPA to the company’s existing fuel supply, expanding its total coal linkage to 2,79,400 TPA. This significantly supplements the current linkage of 1,51,400 TPA and will cover approximately half of the Cement Division’s annual fuel needs. This strategic move is expected to ensure operational continuity and cost efficiency in fuel procurement.
Source: BSE
