PSU Watch logo

| Govt to provide liquidity to exporters by fast customs, duty drawback refunds |   | SpiceXpress airlifts 55K oxygen concentrators in 3 weeks |   | PowerGrid InvIT closes at 3% premium over issue price on debut |   | Govt to launch DSF round 3 for discovered oil & gas fields on May 18 |   | 1,000 power sector employees have succumbed to COVID-19, 15,000 positive: AIPEF |  

NCL to invest Rs 7,000 crore to ramp up its coal production

Northern Coalfields Limited (NCL) is planning to ramp up its coal production by investing 7,000 crore in the next four years

NCL to invest 7,000 crore to ramp up its coal production
NCL to invest 7,000 crore to ramp up its coal production

New Delhi: Northern Coalfields Limited (NCL), a Singrauli-based Miniratna PSU and Coal Indian subsidiary company under the Ministry of Coal, has planned to invest Rs 7,000 crore in the next four years to ramp up its coal production. Other social infrastructure by capacity building and expansion of projects Rs 1,250 crore of capital expenditure will be done during this fiscal only. This information has been given by the company on Friday.

NCL has plans to increase its production up to 130 million tonnes in FY2023-24 in order to contribute towards 1 billion tonne coal production target of Coal India Limited (CIL). NCL operations involve 10 open cast coal mines with heavy mechanization. Investment of about Rs 3,000 crore is planned for the procurement of heavy earthmoving machines (HEMMs) and another Rs 3,000 crore for the development of additional coal evacuation related infrastructure.

Construction of coal handling plants with Rapid Loading System at its Jayant, Dudhichua, Nigahi, and Bina coal Projects, development of Railway Sidings, and mechanisation of wharf walls is part of coal evacuation infrastructure which will curb the transportation of coal by road and improve the environmental condition. Huge employment will also be generated with infrastructure development.

In another frontier of diversification towards renewal energy, NCL is setting up a 50-megawatt solar power plant with an investment of Rs 200 crore near the Nigahi Project. Social infrastructure development includes the expansion of hospitals, new community halls, and other welfare amenities for its employees and the local population. 

NCL is a flagship subsidiary of Coal India Limited which produced 108.05 MT in FY'2019-20. It is significant to add that amid Coronavirus (COVID-19) and lockdown, the company has sustained positive growth and is moving on the track.

(PSU Watch- India's Business News centre that places the spotlight on PSUs, Bureaucracy, Defence and Public Policy is now on Telegram. Join PSU Watch Channel in your Telegram and stay updated)