Coal India surpasses annual production target growth in 2023

State-owned Coal India Ltd. (CIL) recorded a robust production of 460 million tonnes (MTs) of coal until November in the current financial year. Demonstrating a noteworthy year-on-year growth of 11.5%, CIL has surpassed the annual target rate of 10.2%. This surge in production amounts to an increase of 47.4 MTs when compared to the corresponding period of the previous year, which recorded a production of 412.5 MTs.

Each of the seven coal-producing subsidiaries under CIL has experienced growth, with BCCL and NCL notably reaching their progressive targets. In November 2023, the total coal output reached 66 MTs, showcasing an 8.7% increase compared to the 60.7 MTs recorded in November 2022, reflecting a substantial rise of 5.3 MTs.

The production from CIL’s leading 35 mines, each boasting a capacity of 5 MT/Year or more, constituted for approximately 75% of the total output during April-November 2023, reaching 344 MTs. This aligns with the anticipated contribution from these high-yielding mines, closely monitored by CIL, the report states.

CIL’s overall supplies experienced a substantial increase, rising by 39 MTs in quantitative terms to reach 485.4 MTs during the eight months concluding in November FY 2024, reflecting 8.7% growth. In the corresponding period of FY 2023, supplies amounted to 446.4 MTs. Furthermore, for November 2023, coal off-take reached 63 MTs, surpassing the 60.7 MTs recorded in November 2022 by 2.3 MTs, the report adds.

The supplies to the power sector from CIL reached 398.7 MTs, marking an increase of 18 MTs by the end of November in FY 2024, showcasing a growth of 4.7%, even in the face of a significant upswing in power demand. During April - November last fiscal supplies to this sector were 380.8 MTs. CIL expresses confidence in surpassing the demand projection of 610 MTs set by the Ministry of Power for the current fiscal year, as per the report.

Facing a challenging task, CIL aims to achieve growth over the elevated base of the penultimate four months of the previous financial year during the remaining four months of FY 2024. Intensive efforts are underway to meet this objective. The year-to-date coal stock at CIL's pitheads stood at 45 MTs, reflecting a substantial increase of approximately 58% compared to the 28.5 MTs recorded during the same period last year, the report adds.