Mercator Lines of India will buy a coal mine in Indonesia with more than 30 million tonne capacity within the current financial year.

As per report, the company plans to invest USD 100 million to USD 150 million for the acquisition. The mine will be larger than Mercator’s existing coal mine in Mozambique which has a capacity of 10 million tonnes.

A Mercator Lines official said that the company is very aggressively looking at a relatively bigger mine and sure to close the deal during this financial year. It is very bullish on its coal mining business in Indonesia. Its coal production has increased from 0.3 million tonne in fiscal 2009 to 0.7 million tonnes in fiscal 2010 from existing coal mines in Indonesia. At present, Mercator Lines has four coal mines 3 in Indonesia and one in Mozambique. The Indonesian mines have reserves of up to 21 million tonnes.

(Sourced from www.dnaindia.com)