The Centre has transferred Rs 704 crore upfront payment that it received from the sixth round of coal mine auctions to six states, an official statement said on Thursday.

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The amount has been transferred to coal-bearing states of Chhattisgarh, Jharkhand, Madhya Pradesh, Maharashtra, Odisha, and West Bengal, the Ministry of Coal statement said.

"The Ministry of Coal has transferred Rs 704 crore upfront amount received from auction of coal mines to these six coal-bearing states. This financial transfer marks a substantial initiative to empower and support developmental growth of these states," it said.

The allotted amount of Rs 704 crore represents the first installment of upfront amount for 18 coal mines that were successfully auctioned in the sixth round of auctions and second attempt of the fifth round of commercial coal mine auctions.