Coal Ministry Auctions Three Blocks With 3.3 Billion-Tonne Reserves

02 Dec 2025 CW Team

The Ministry of Coal has auctioned three fully explored coal blocks in the 13th round of commercial coal mine auctions held between 20 and 25 November, securing projects with combined geological reserves of 3,306.58 million tonnes.

These blocks carry a cumulative peak rated capacity (PRC) of 49 million tonnes per annum, the maximum output permitted for the mines. The ministry said the three auctioned blocks are expected to generate around Rs 4.62 billion in annual revenue, attract Rs 7.35 billion in investment and create 66,248 jobs.

The auctioned non-coking coal blocks include Pirpainti Barahat and Dhulia in Jharkhand and Mandakini-B in Odisha. Damodar Valley Corporation (DVC), a public sector enterprise under the power ministry, emerged as the preferred bidder for all three mines.

Launched on 21 August, the 13th commercial coal auction concluded with DVC placing a final revenue-share offer of 5.50 per cent for the Pirpainti Barahat and Dhulia blocks, and 12.75 per cent for Mandakini-B. The Takua block in Odisha received no bids during the final-offer stage.

Since the introduction of commercial coal mining in 2020, the government has auctioned 136 coal blocks, representing a potential production capacity of 325 million tonnes per annum. Together, these blocks are expected to generate Rs 43.33 billion in annual revenue and mobilise Rs 48.756 billion in investment. The ministry said these outcomes reflect efforts to position the coal sector as a key driver of economic growth.

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