Lloyds Metals wins bid for Tandsi-III coking coal mine with 23 MMT reserves

Lloyds Metals & Energy Limited on Tuesday (August 19) said it has emerged as the successful bidder for the Tandsi-III and Tandsi-III extension coking coal mine, securing the project with a premium of 10.5%.The mine, located on the Madhya Pradesh–Maharashtra border about 400 kilometers from Ghugus, covers an area of around 338 hectares and holds estimated total reserves of 23 million metric tonnes (MMT). It will be developed using a combination of opencast and underground mining methods.

The company has proposed a production capacity of up to 0.30 million tonnes per annum, with the development phase expected to span four years. The necessary agreements for the project will be executed in due course.

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In June this year, Lloyds Metals & Energy said it had received environmental clearance to expand its iron ore mining capacity to 55 million tonne per annum (MTPA). The stock has gained as much as 2% in response.”The expansion is poised to play a strategic role in the emerging steel industry in Gadchiroli, as the region witnesses a growing presence of companies venturing into steel production. LMEL’s mine will act as a foundational enabler for these downstream industries,” the company said.

Lloyds Metals said the mine will support cost-effective and sustainable steel production, ensuring long-term ore security for both captive use and potential external supply. The expansion will also enhance the company’s plans for pellet and steel making.

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Availability of in-house iron ore will significantly improve cost structures and contribute meaningfully to the company’s earnings before interest, taxes, depreciation and amortisation (EBITDA) margin, it said.

Shares of Lloyds Metals And Energy Ltd ended at ₹1,402.00, up by ₹22.70, or 1.65%, on the BSE.