NTPC Board Approves Transfer of Coal Mining Business Worth ₹7,735 Crore to NML

29 Aug 2025 , 09:44 AM

State-run power producer NTPC Ltd on Thursday said its board has approved a partial modification in the transfer of its coal mining business to its wholly owned arm, NTPC Mining Ltd (NML).

The coal mining vertical contributed ₹7,735.54 crore in revenue during FY25, accounting for 4.05% of NTPC’s consolidated topline of ₹1,90,862.45 crore. As of March 31, 2025, the business had a net worth of ₹3,150.98 crore, or 1.72% of the group’s consolidated net worth of ₹1,82,881.09 crore.

The transfer will take place through an Amended Business Transfer Agreement (BTA) to be signed on or before September 30, 2025, with completion targeted within a year, subject to statutory approvals.

The purchase consideration, set at ₹10,503.27 crore as on March 31, 2025, will be paid by NML to NTPC in phases, in line with the progressive transfer of each coal mine or block. The deal, categorised as a related-party transaction, will be executed at book value based on audited financials, and has already been cleared by NTPC’s Audit Committee and Board. The transfer includes six coal blocks and all associated assets and liabilities, which will move to NML on a slump-sale basis as a going concern.

For feedback and suggestions, write to us at [e-mail]