CIL arm gets loan to build railway line
Coal India subsidiary — South Eastern Coalfields Limited (SECL) — has received a credit support of Rs 3,976 crore from a consortium of banks, led by State Bank of India, to facilitate evacuation of coal by rail.
A loan agreement has been signed between Chhattisgarh East West Rail Ltd (CEWRL) — a joint venture SECL and banks — to provide credit to develop a 135km of double line from Gevra Road to Pendra Road in Chhattisgarh to evacuate coal from the mines at Gevra, Dipka and Kusuminda.
The project has a debt to equity ratio of 80:20 wherein the promoters are required to contribute about Rs 994 crore and the balance amount of Rs 3,976 crore is arranged from banks as rupee term loan.
