The shares of Gujarat Mineral Development Corporation (GMDC) jumped more than 7 percent on December 12 after the company announced that it has taken a "giant leap" towards operationalizing the Baitarni-West coal mine.

The shares of the company rose to Rs 529.90 apiece on Friday, the highest level in this week. The stock has now extended gains for the second consecutive session.

GMDC in an exchange filing released in the post-market hours of December 11 announced that it has acquired three coal blocks in Odisha, with the Baitarni-West coal mine emerging as the most "value-accretive" asset owing to its scale and geological potential.

"Anchored in the vision of Atmanirbhar Bharat, the 15 MTPA Baitarni-West coal mine is set to strengthen India’s energy ecosystem, with GMDC awarding operational responsibilities to a mining partner today at its corporate office in Ahmedabad to ensure planned production," the PSU company said.

GMDC said that it remains focused on disciplined execution, operational alignment and future-oriented growth as it expands its fuel portfolio. "The award of work to a mining partner reflects GMDC’s intent for phased development while strengthening visibility on sustainable coal business. This approach supports GMDC’s broader objective of building a balanced, diversified and future-ready mining portfolio that complements its lignite operations and enhances long-term value for stakeholders," it added.

The Ministry of Environment, Forest and Climate Change (MoEF&CC) has given Stage-I Forest Clearance (FC) and Environmental Clearance (EC) for the Baitarni-West Opencast coal mine. GMDC said that these clearances mark significant regulatory progress and enable structured advancement of the project.

"Advancing Baitarni-West coal mine to this stage within 2.5 years highlights GMDC’s focus on efficient project development and sustainable value creation. Our progress reflects a disciplined approach to building high-quality mining assets that support regional development and enhance the Corporation’s long-term growth trajectory," said GMDC MD Roopwant Singh.