State-run Coal India Ltd. mined 175.5 MT of coal during the April-June period, which is 22 percent of its financial year 2024 output target of 780 MT. Growth during the June quarter stood at 10 percent compared to the same period last year. On a standalone basis for the month of June, output stood at 58 MT, rising by 12.4 percent year-on-year.

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For the quarter, most of Coal India's subsidiaries — Eastern Coalfields, Central Coalfields, Bharat Coking Coal Ltd., Western Coalfields and South-Eastern Coalfields — saw double-digit growth compared to last year.

June quarter production for Coal India was the highest ever recorded for the first quarter of any year. A senior Coal India executive said that the output could have been much higher but for the heavy rainfall witnessed in the company's mining areas during the last week of June.

Offtake for the June quarter stood at 187 MT, which is a growth of 5.3 percent compared to last year. For the month of June, offtake grew by 3 percent to 61 MT.

India's largest miner also got a new chairman. PM Prasad, formerly the chief of Central Coalfields, took over the mantle of leading the company recently. Prasad reiterated that the company would look to achieve its full-year target with all means available at its disposal. Among other priorities, Prasad highlighted ensuring uninterrupted coal flow to the power sector.

Coal India's Over Burden Removal (OBR) also grew 30 percent compared to last year. For the June quarter, the company excavated 497.5 million cubic metres of Over Burden. In many mineral industries like coal, particularly in open-cast mines, coal can be extracted only after removing layers of stone, soil etc. This soil and stone are known as Over Burden and removal of that is Over Burden Removal. This process involves significant costs.

"This (30 percent OBR growth) is an encouraging signal for us that facilitates faster future production," the company executive said.

After ranking among the top performers in 2022, shares of Coal India have risen only 2.6 percent so far in 2023.

First Published:Jul 3, 2023 7:56 AM IST