India produces 51.7 MT coking coal in 2021-22, targets 140 MT production by 2030

NEW DELHI: India has produced 51.7 million tonnes (MT) of raw coking coal during the Financial Year 2021-22, which is 15% more as compared to 44.8 MT during FY21.

According to the latest coal ministry data, the domestic raw coking coal production continues to witness an increasing trend in the current fiscal as well with production of 8.3 MT up to May 2022. It is 20% more compared to 6.9 MT during the same period of the previous year.

At present, the government said, domestic raw coking coal washing capacity is about 23 MT per annum including 9.26 MT of the private sector.  "Coal India Ltd (CIL) is planning to set up and operationalise nine more new washeries with a capacity of 30 MTPA. With the setting up of new washeries, it is estimated that CIL will be able to supply about 15 MT of washed coking coal to the steel sector, thereby reducing import of coking coal," said the coal ministry.

Coking coal, also known as metallurgical coal, is used exclusively as an essential ingredient for steel production.

The coal ministry noted that there is a need to set up more washeries to enhance capacity to meet the fast increasing demand of coking coal in the country. During FY 22, Coal India supplied 1.7 MT washed coking coal to the steel sector and it has set a target of 3.45 MT during FY23.

The government has also auctioned 10 coking coal blocks to the private sector with a PRC of 22.5 MT during the last two years to increase coking coal production in the country. These coal blocks are expected to start production by 2025.
Coal India has planned to increase raw coking coal production from existing mines up to 26 MT and identified nine new mines with PRC of about 20 MT by FY 2025. Also, CIL has offered six discontinued coking coal mines, out of the total 20 discontinued mines, on an innovative model of revenue sharing to the private sector with expected PRC of about 2 MT.