Coal India, IRCON To Develop Rail Links For Coal Transport
COAL & MINING

Coal India, IRCON To Develop Rail Links For Coal Transport

Coal India Ltd (CIL), the state-owned mining giant, has signed a non-binding memorandum of understanding (MoU) with IRCON International Ltd (IRL) to jointly develop railway infrastructure for CIL and its subsidiary companies. The agreement, announced on 8 October 2025, is intended to enhance the company’s reliance on railways for coal transportation and improve overall logistical efficiency.

CIL, which contributed around 76 per cent of India’s total coal production on a year-to-date basis until August, had earlier entered into a similar agreement with Konkan Railways in August 2025.

The move aligns with the government’s emphasis on strengthening rail connectivity to ensure the timely evacuation of coal from mines to consumption centres.

During a meeting held on 19 September, Rupinder Brar, Additional Secretary at the Ministry of Coal, urged all stakeholders to expedite completion of key coal rail projects. Brar specifically directed IRCON, CIL, and South Eastern Coalfields Ltd (SECL) to resolve pending issues to ensure timely completion of the Gevra–Pendra Road double rail line and Phase I of the Kharsia–Dharmajaigarh line, both located in Chhattisgarh.

Railways’ Key Role In Coal Logistics

Coal remains the largest contributor to Indian Railways’ freight traffic. According to government data, it accounted for an average of 49 per cent of total freight income, generating Rs 822.75 billion in FY 2022–23. The segment also contributed over 33 per cent of Indian Railways’ total revenue during the same period.

The new collaboration between CIL and IRCON is expected to accelerate project execution, reduce logistical bottlenecks, and boost the efficiency of coal movement, while supporting India’s broader energy security and infrastructure goals.

Coal India Ltd (CIL), the state-owned mining giant, has signed a non-binding memorandum of understanding (MoU) with IRCON International Ltd (IRL) to jointly develop railway infrastructure for CIL and its subsidiary companies. The agreement, announced on 8 October 2025, is intended to enhance the company’s reliance on railways for coal transportation and improve overall logistical efficiency. CIL, which contributed around 76 per cent of India’s total coal production on a year-to-date basis until August, had earlier entered into a similar agreement with Konkan Railways in August 2025. The move aligns with the government’s emphasis on strengthening rail connectivity to ensure the timely evacuation of coal from mines to consumption centres. During a meeting held on 19 September, Rupinder Brar, Additional Secretary at the Ministry of Coal, urged all stakeholders to expedite completion of key coal rail projects. Brar specifically directed IRCON, CIL, and South Eastern Coalfields Ltd (SECL) to resolve pending issues to ensure timely completion of the Gevra–Pendra Road double rail line and Phase I of the Kharsia–Dharmajaigarh line, both located in Chhattisgarh. Railways’ Key Role In Coal Logistics Coal remains the largest contributor to Indian Railways’ freight traffic. According to government data, it accounted for an average of 49 per cent of total freight income, generating Rs 822.75 billion in FY 2022–23. The segment also contributed over 33 per cent of Indian Railways’ total revenue during the same period. The new collaboration between CIL and IRCON is expected to accelerate project execution, reduce logistical bottlenecks, and boost the efficiency of coal movement, while supporting India’s broader energy security and infrastructure goals.

Related Stories

Gold Stories

Next Story
Resources

Schindler named among Forbes’ World’s Best Employers 2026

Schindler has been named among Forbes’ World’s Best Employers 2026, a global ranking recognising companies for their workplace environments.Compiled by Forbes in partnership with Statista, the ranking is based on independent employee feedback, including whether employees would recommend their organisation to friends and family.The company said the recognition reflected its focus on creating a workplace where employees can develop their expertise and build careers. ..

Next Story
Infrastructure Urban

India needs an export-execution mindset: Vishesh Jain

Interview with Vishesh Jain, Founder & CEO, EximpleWhat gaps in India’s global trade ecosystem led you to build Eximple, and what problem did you see businesses struggling with most?Eximple came out of a problem that all three founders had seen from different choke points in the trade ecosystem. India has millions of MSMEs and manufacturers, and many of them can make products that are genuinely competitive on quality. Yet only a small fraction is able to build meaningful international businesses. In our experience, the gap is usually not manufacturing capability; it is the ability to exe..

Next Story
Building Material

Nuvoco reports 13.5% revenue growth in Q2 FY27

Nuvoco Vistas Corp. Ltd. reported consolidated revenue of Rs 27.9 billion for Q2 FY27, up 13.5% year on year. Cement sales volume rose 9% to 4.7 million tonnes (MMT), while EBITDA increased 11% to Rs 4.11 billion.The company said it began its cement operations in 2014 with a 2.3 MMT per annum (MMTPA) operation at Nimbol. It now aims to reach 35 MMTPA of cement capacity by FY28, nearly 15 times its initial capacity. Its portfolio spans cement, ready-mix concrete and modern building materials.On sustainability and cost efficiency, Nuvoco partnered with CleanMax for a 46.4 MW wind-solar hybrid re..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code