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Central Coalfields charts Rs 5k-cr annual capex plan by 2030

Monday, 22 Jan 2024
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Central Coalfields (CCL) plans to increase its annual capital expenditure to Rs 5,000 crore by 2030, as it expands its operations to increase coal output. This is against a targeted Rs 2,100 crore in the current financial year.

The Coal India’s subsidiary is pursuing a 26 percent growth in its coal production, taking it to 106 million tonne in the financial year 2024-25 from the current output of 84 million tonne. In FY26, the company will produce 135 million tonne of coal.

Furthermore, CCL is building five new washeries, enhancing its coking coal washing capacity, whereby it will be able to reduce the ash content in the produced coal to 16 percent from the current 19 percent. These will be built on build-own-operate (BOO) model, which will have a combined throughput capacity of 14.5 million tpa. Through this, it will be able to improve the country's contribution to coking coal availability.

Overall, this aligns with the government’s goal of producing 1.5 billion tonne of coal domestically by 2030, and halting imports of coal by 2026.

Currently Bharat Coking Coal and CCL, both subsidiaries of CIL are engaged in production of coking coal in the country. However, the reliance on imports is due to the high amount of ash content in the coal produced indigenously.

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