Image for representational purposes only. Photo credit: Special arrangement
In a bid to improve the quality of its coking coal, state-owned miner Coal India has informed that it will set up eight new coking coal washeries with a combined working capacity of 21.5 million tonnes per annum at an estimated capital expenditure of ₹3,300 crore.
Of the eight treatment plants, five would be set up by Jharkhand-based Central Coalfields Ltd. They should have a cumulative capacity of 14.5 million tons per year. The rest would belong to Bharat Coking Coal Ltd. This would represent a cumulative capacity of 7 million tons per year.
Coal India expects to have eight washers operational by FY30.
In addition, the Kolkata-based miner would also spend ₹300 crore on renovation and modernization of its existing coking coal washeries. At present, CIL operates 10 such washeries representing a cumulative capacity of 18.35 million tonnes per annum.
“This calibrated expansion of washing capacity and modernization is to improve the quality of domestic coking coal and is also an effort to reduce import dependence in the coming years,” the miner said.
It is important to note that India has an estimated 37.37 billion tonnes of coking coal resources, largely located in Jharkhand, with additional reserves in Madhya Pradesh, West Bengal and Chhattisgarh. Regardless of domestic availability, approximately 95% of coking coal requirements in the domestic steel sector are met by imports.
In fact, the union government announced coking coal as a strategic and critical mineral in January this year.
“Though India is well endowed with coal reserves, domestic coking coal resources are inherently scarce. The ash content ranges from 25% to 45% much higher than other countries around the world, making imports necessary,” noted Coal India.
Published – 27 March 2026 21:13 IST
