NTPC modifies coal business transfer, approves hydro project cost

NTPC Limited, in its board meeting held on August 28, 2025, approved a partial modification concerning the transfer of its coal mining business to its wholly-owned subsidiary, NTPC Mining Limited (NML). This update follows an earlier disclosure from July 29, 2023. The transaction involves the transfer of six coal blocks/mines and related assets/liabilities on a slump sale basis, as a going concern.

The total revenue for FY 2024-25 from the coal mining business proposed for transfer is ₹7,735.54 crore, representing 4.05% of NTPC's consolidated revenue. The net worth of the coal mining business as of March 31, 2025, is ₹3150.98 crore. The purchase consideration, initially ₹10,503.27 crore as of March 31, 2025, will be remitted in a phased manner by NML. An amended business transfer agreement is to be entered into by September 30, 2025, subject to regulatory approvals.

In a separate development, also disclosed on August 28, 2025, the board of directors approved the revised cost estimate-I (RCE-I) for the Rammam-III HEPP (3 x 40 MW) at a cost of ₹2865.56 crore. This follows a previous disclosure on September 10, 2014.