Industry

Coal India output grows 12%

Coal India Ltd. (CIL) clocked a 12% growth rate in the first five months of this fiscal, producing 216.2 million tonnes of coal, according to a statutory filing. Most of the output growth came from CIL subsidiaries — Eastern Coalfields Ltd., Northern Coalfields Ltd., South Eastern Coalfields Ltd. and Assam-based North Eastern Coalfields.

CIL’s loading for the power sector increased by 11.8% between April and August 2018., the company said. in a statement. Coal offtake at 246.9 million tonnes was 9.5% higher during this period. Coal stock at linkage-based thermal power plants, as on August 30, stood at 14.7 million tonnes, CIL said.There were 11 plants with critical stocks (less than seven days) against 30 at the beginning of 2018-19.

However, coal output growth stood at a mere 3.2 % in August with three of CIL’s eight coal-raising g arms producing lesser than a year ago. CIL liquidated 30.7 million tonnes of inventories during the period under review.

Edelweiss Securities Ltd said in a research report that CIL growth rate in August looks ordinary being the lowest since July 2017. However, the offtake volume was encouraging as it came on the base of 19.1% year –on year growth in August 2017. The firm also said that, SECL, Mahanadi Coalfields Ltd. and NCL accounted for 70% of the offtake, which may increase once “seasonal weakness ebbs. Hence, there is a good possibility of CIL meeting/exceeding our full year estimate of 620 mt.”

Users sectors representing the non-power segments ( like aluminium, steel and cement said that they still faced challenges in coal supplies.


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Printable version | Oct 22, 2021 10:16:28 PM | https://www.thehindu.com/business/Industry/coal-india-clocks-12-growth-rate/article24857126.ece

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