Coal India approves 32 mining projects worth Rs 47,000 cr this fiscalAdministrator_India | March 9, 2021 | 0 | Business
National miner, Coal India limited (CIL), said it has approved 32 new coal mining projects in the ongoing financial year with an estimated cost of Rs 47,000 crore.
Of the 32, twenty-four are expansion of existing projects and the remaining eight are greenfield. The combined incremental peak capacity of these projects is projected at 193 million tonnes per annum (MTPA). This will be in addition to the already sanctioned capacity of 303.5 MTPA, said the company.
The incremental production by FY’24 from the approved 32 expansion and the new greenfield projects would be to the tune of around 81 MTPA.
CIL said this is a record capacity addition in its history. “Such high number, either in terms of projects or capacity addition, has not been cleared in a single financial year so far” said a senior official of the company.
CIL Board and Boards of the respective subsidiary companies have given their nod for the move, CIL said in a statement.
The company said the record capacity addition is in line with its efforts to replace coal imports in the country.
Of the 193 MTPA capacity of 32 projects, the three subsidiaries of CIL, South Eastern Coalfields Limited (SECL), Central Coalfields Limited (CCL) and Mahanadi Coalfields Limited (MCL) at 167 MTPA between them form the bulk at 86.5 per cent.
SECL with 6 projects at an estimated incremental investment of Rs 18,657 crore accounts for 63.5 MTPA followed by CCL at an investment of Rs 7,520 crore for 10 projects of 56.6 MTPA. MCL with 3 project would add up to 47 MTPA at an investment of Rs 14,057 crore. Balance 26 MTPA would be met through ECL, NCL and WCL with the remaining investment between them.
“Concurrently, in tandem with production the company is also strengthening the rail evacuation infrastructure through setting up rail lines, sidings and first mile connectivity projects in the companies from where the majority of the output is expected” CIL said.