viewOracle Power PLC

Oracle Coalfields told coal price for Thar power station

Price has been set at an average US$60.23/tonne over the thirty year life of the mine

Picture of coal truck
Coal contract will run for thirty years

Oracle Coalfields PLC (LON:ORCP) has had the coal price for its thermal power project in Thar in Pakistan set by the regional government.

Sindh’s Coal and Energy Board has regulated the price at an average US$60.23/tonne over the thirty year life of the mine at production of 4mln tonnes per year.

Mine capital costs (including financing costs) were reduced to US$673mln from US$879mln by the regulator.

The proposed 70:30 debt to equity financing structure has also been permitted. 

Shahrukh Khan, Oracle’s chief executive, said the regulated coal pricing mechanism that applies to Thar coal isolates the project from the price fluctuations of internationally traded coal.

Two weeks ago, Oracle said it had agreed a shareholder framework agreement, whereby "a consortium of new and existing Chinese partners will take 70% equity in its subsidiaries in Pakistan in order to advance the development of the project".

Broker Shore Capital noted that Oracle had been seeking a price of  US$76.48/t, though the tariff determination rules allow for further coal price petitions “as costs change” according to the company.

Quick facts: Oracle Power PLC

Price: 0.255 GBX

Market: AIM
Market Cap: £3.72 m

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events


The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

In exchange for publishing services rendered by the Company on behalf of Oracle Power PLC named herein, including the promotion by the Company of Oracle Power PLC in any Content on the Site, the Company receives from...



Oracle Power hails funding MoU with two chinese state-owned enterprises

Shahrukh Khan, chief executive of Oracle Power PLC (LON:ORCP), discusses with Proactive their memorandum of understanding (MoU) with two China state-owned companies to advance their lignite coal mine and power station project in Pakistan. The UK energy developer said the MoU with Sichuan...

on 22/11/17

2 min read