CIL notes capex worth Rs 10,717 cr in Apr-Dec with 37% growth

14 Jan 2022 CW Team

Coal India Limited (CIL) told the media that the company incurred capital expenditure (capex) worth Rs 10,717 crore during the April-December period, with 37.4% year-on-year (YoY) growth.

According to a statement, the capex of CIL was Rs 7,801 crore in FY22. The capex spend during April-December marks 86.3% of progressive target achievement.

The three main heads, including land acquisition, procuring heavy earth moving machinery (HEMM) and joint ventures (JVs) of Hindustan Urvarak Rasayan Limited and Talcher Fertilisers Limited at Rs 5,786 crore, constituted 54% of the total capex in FY22.

Other main heads are the construction of coal handling plants, silos with Rs 1,344 crore, and rail sidings and rail corridors at Rs 1,785 crore, constituting 29% of the total capex during the initial nine months of FY.

The company aims to increase its evacuation capacity via rail by an additional 330 million tonnes per annum (mtpa) by FY24 through strengthening its railway infrastructure.

It will replace its old machinery with advanced technology high capacity HEMM fleet of various types and sizes, which has been speeding up the process in recent times.

According to a statement, the company's major coal is produced in opencast coal mines. These machines will help in removing overburden and increase coal output.

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