Negotitations are very much on between Adani Enterprises, the biggest coal importer of the country and Coal India Limited, the largest coal producer of the world regarding an agreement for a long-term supply. If the deal is struck then Adani based in Ahmedabad will be supplying coal linkages to CIL from its mines located in Indonesia and Australia.  

According to sources aware of the development there will be an agreement based on long-term pricing for the total purchase of coal. Under the deal coal will be supplied taking the help of the infrastructure, ports and shipping of Adani.  

In addition to that CIL had been offered equity participation by Adani for its project of Australia. The firm has purchased coal mines in Australia and Indonesia.  

The Indonesian mine has a capacity of producing seven million tons of coal annually where as the Australian mine can produce sixty million tons of coal yearly. In a recent cash and royalty deal Adani had acquired coal assets of an Australian firm called Linc energy for an amount of two decimal nine billion Australian dollars.

The estimated reserves of the mines are in the tune of seven decimal eight billion tons. Coals from the Indonesian mine can reach India faster than coal from the Australian mine. According to estimates done India needs sixty million tons coal more to fulfill the rising demand. The demand is increasing by ten percent where as CIL is rising its production by just seven percent.  

The company was compelled to lower its production as seventeen of its projects got delayed due to problems regarding environmental issues.  

Adani spokesman could not be contacted for throwing light into the matter. According to sources Adani had talked with CIL in the beginning of October and the deal will be finalized by the end of this month.