Coal India’s capex grows 12% to Rs 14,834 crore in FY22
COAL & MINING

Coal India’s capex grows 12% to Rs 14,834 crore in FY22

Coal India Limited (CIL) told the media that its capital expenditure (capex) witnessed a 12% growth to Rs 14,834 crore in FY22. Its capital expenditure stood at Rs 13,284 crore in FY21.

According to a statement, CIL's FY21 capex doubled in a year from that of Rs 6,270 crore in FY20. It means FY22 capex growth came on the back of a strong base.

The capex growth of CIL was to boost the output growth and align it with evacuation outlets.

Most of the capital expenditure was on land, procurement of heavy earthmoving machinery, setting up coal handling plants (CHP), silos and creating rail infrastructure for coal transportation.

Land and heavy earth moving machinery (HEMM) accounted for 40% of the total capex at Rs 5,867 crore, and capital expenditure under land stood at Rs 3,262 crore in 2021-22.

Land acquisition is crucial for CIL to augment its output from opencast (OC) mines. Land procured for two projects, Searmal and Talcher of Mahanadi Coalfields Limited (MCL), would help the Public Sector Undertaking (PSU) further expand its mining operations.

The centralised procurement of HEMM for CIL subsidiaries, including Eastern Coalfields Limited (ECL), Northern Coalfields Limited (NCL) and South Eastern Coalfields Limited (SECL), amounted to Rs 2,605 crore.

The company has planned to replace the old fleet with modern equipment to be deployed in OC mines, especially in SECL and NCL ramp up output production.

The other crucial capex expenditure, at Rs 2,322 crore, was for setting up coal handling plants or silos, with a major share taken up by NCL, SECL and Mahanadi Coalfields Limited (MCL).

Strengthening the evacuation infrastructure through rail sidings and corridors accounted for Rs 2,307 crore of the total capex.

CIL accounts for more than 80% of the domestic coal output.

Image Source

Also read: CIL offered 160.5 mt till Feb under e-auction of coal

Coal India Limited (CIL) told the media that its capital expenditure (capex) witnessed a 12% growth to Rs 14,834 crore in FY22. Its capital expenditure stood at Rs 13,284 crore in FY21. According to a statement, CIL's FY21 capex doubled in a year from that of Rs 6,270 crore in FY20. It means FY22 capex growth came on the back of a strong base. The capex growth of CIL was to boost the output growth and align it with evacuation outlets. Most of the capital expenditure was on land, procurement of heavy earthmoving machinery, setting up coal handling plants (CHP), silos and creating rail infrastructure for coal transportation. Land and heavy earth moving machinery (HEMM) accounted for 40% of the total capex at Rs 5,867 crore, and capital expenditure under land stood at Rs 3,262 crore in 2021-22. Land acquisition is crucial for CIL to augment its output from opencast (OC) mines. Land procured for two projects, Searmal and Talcher of Mahanadi Coalfields Limited (MCL), would help the Public Sector Undertaking (PSU) further expand its mining operations. The centralised procurement of HEMM for CIL subsidiaries, including Eastern Coalfields Limited (ECL), Northern Coalfields Limited (NCL) and South Eastern Coalfields Limited (SECL), amounted to Rs 2,605 crore. The company has planned to replace the old fleet with modern equipment to be deployed in OC mines, especially in SECL and NCL ramp up output production. The other crucial capex expenditure, at Rs 2,322 crore, was for setting up coal handling plants or silos, with a major share taken up by NCL, SECL and Mahanadi Coalfields Limited (MCL). Strengthening the evacuation infrastructure through rail sidings and corridors accounted for Rs 2,307 crore of the total capex. CIL accounts for more than 80% of the domestic coal output. Image Source Also read: CIL offered 160.5 mt till Feb under e-auction of coal

Next Story
Infrastructure Energy

Vedanta Aluminium Uses 1.57 bn Units of Green Energy in FY25

Vedanta Aluminium, India’s largest aluminium producer, recently reported consumption of 1.57 billion units of renewable energy in FY25, marking a significant milestone in its 2030 decarbonisation roadmap. The company also achieved an 8.96 per cent reduction in greenhouse gas (GHG) emissions intensity compared to FY21, reinforcing its leadership in India’s low-carbon manufacturing transition. During FY25, Vedanta Aluminium expanded its renewable energy portfolio through long-term power purchase agreements, strengthening its strategy to source nearly 1,500 MW of renewable power over the lon..

Next Story
Real Estate

Oberoi Group to Develop Luxury Resort at Makaibari Tea Estate

EIH Limited, the flagship company of The Oberoi Group, has announced the signing of a management agreement to develop an Oberoi luxury resort at the iconic Makaibari Tea Estate in Darjeeling. The project marks a key milestone in the Group’s long-term strategy of creating distinctive hospitality experiences in rare and environmentally significant locations. Established in 1859, Makaibari is one of the world’s oldest tea estates and is globally recognised for its Himalayan landscape, primary forests and exceptional biodiversity. Spread across 1,236 acres, the estate houses one of the world..

Next Story
Real Estate

GHV Infra Secures Rs 1.09 Bn EPC Order in Jamshedpur

GHV Infra Projects Ltd, a fast-growing EPC company in India’s infrastructure and construction sector, has recently secured a Rs 1.09 billion work order in Jamshedpur, Jharkhand. Awarded by a reputed group entity, the contract covers end-to-end civil construction, mechanical, electrical and plumbing (MEP) systems, along with high-quality finishing works for a large building development. The project will be executed over a 30-month period, with defined benchmarks for quality, safety and timely delivery. The order strengthens GHV Infra’s footprint in Jamshedpur, a key industrial hub known fo..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Open In App