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Coal India to reopen mines to increase output – CMD CCL

Mar 4,2019

It reported that Coal India Limited has decided to reopen a number of mines that were closed earlier due to safety or viability issues. It is an endeavor to generate local employment and increase the production of a higher grade of coal. Subsidiaries such as Central Coalfields, which had closed three mines, and Bharat Coking Coal, that has many such mines, are collating data and assessing feasibility. Gopal Singh, CMD at Central Coalfields, “Once ascertained, we would make sure safety issues are addressed and work on receiving environment clearances. Reopening mines will generate employment for locals and manufacture more coal, which will facilitate in furthering the country’s effort towards providing reasonable electricity for all and generating employment.”


A senior Coal India govt said surplus workforce can also be deployed at such mines. Central Coalfields reopened the Rajhara coal mine in Jharkhand, where operations had been suspended since 2010 because of safety concerns. Rajhara was initially an underground mine but after nationalization, it was converted into an opencast mine to recover good quality reserves of coal which otherwise would have been lost.


The mine, located close to Sadabah River, a tributary of North Koel, had to be closed since operations were below the high flood level of the river. A senior Coal India executive said the mine was opened after getting environmental clearance on February 14.


“We took several corrective and precautionary measures for the safety of mine and its environmental clearance so that the mine could be reopened,” said a senior executive from Central Coalfields.


The expected grade of coal from the mine is G9 which is priced at Rs 1465 per tonne for the power sector. Existing reserves in the mine is estimated at five million tonnes. With a capacity to extract three lakh tonnes of coal per annum, the life of the mine is pegged at eighteen years.