May start mining 3 projects of 119 mines in next 5 years

The state-owned firm had asked for 138 mines in August 2008.

Updated: Jan 09, 2013, 16:08 PM IST

New Delhi: Amid the country facing coal shortage, Coal India (CIL) has informed the government that it may start production from three projects in the next five years out of 119 mines allocated to it.

With the state-owned firm drawing flak for the crisis of fossil fuel across the country, it had requested the Coal Ministry for mines allocation in order to reverse the declining trend of production and to augment output.

Elaborating about the planning preparedness of 119 mines, the state-owned firm -- which accounts for over 80 percent of the domestic coal production -- in a letter to the Coal Ministry also stated that in case of 14 blocks the production may begin during the 13th Plan period (2017-21).

"Naralnkuri block, ECL has already been projectised and PR (Project Report) approved....The project is likely to start contribution by the year 2015-16," the letter said.

"GR (Geological Report) for 16 coal blocks has been prepared. As per the present assessment PRs for 15 coal blocks for a tentative capacity of 19.62 Mty (million tonnes per year or annum) have been planned to be prepared during XII Plan Period. Out of these 15 PRs, 2 PRs...Are likely to start contribution during XII plan period," the letter added.

CIL, in the letter also stated that in case of 11 coal mines the exploration has completed and with regard to 24 projects the exploration activities.

"Exploration activities for 66 coal blocks...Have not yet been taken up," it said.

Earlier, CIL Chairman and Managing Director S Narsing Rao had expressed hopes that it can start mining by 2014 in 13 of the 119 blocks alloted to it.

The Ministry of Coal in May 2012 had alloted 116 blocks to CIL. In addition, it was alloted three de-allocated mines -- Brahmini, Chchro Pastimal and East of Damogoria.

The state-owned firm had asked for 138 mines in August 2008.

CIL has set a target to produce 464 million tonnes production for the current fiscal. Last fiscal, it had produced 435.84 MT and envisages to take its production to the level to 615 MT by 2016-17.

CIL at present has 466 mines.