Coal India Ltd (CIL) has reported a drop of 10% in its monthly coal production to 40.56 MnT in Jul’18, which was also the lowest total since Sep’17.
Domestic coal production generally takes a hit during monsoon season affecting the mining activities; besides low demand from power sector also provide a reason to limit the production.
The abundance of coal stock reported at the beginning of FY19, also restrains CIL to raise its coal production, hence the company is compelled to dispatch more coal in order to get rid of the excess coal stock in hand.
During Jul’18, CIL had dispatched 7.69 MnT more coal than its corresponding monthly production.
However, in order to address the rising demand in the country, CIL’s coal production has posted an increase of 11% over the year ago month’s production of 36.69 MnT. While during the first 4 months of FY19 (Apr’18-Jul’18), the company’s production has reached 177.43 MnT, up 14% Y-o-Y compared with 155.53 MnT in the same period last year.
CIL is also reported to have 15 new mines under its belt, which will augment the production by 104.82 MnT per annum in the long term.
CIL’s Coal Off-take Crossed 200 MnT Mark during Apr’18-Jul’18:
CIL coal dispatch in Jul’18 decreased 3% M-o-M to 48.25 MnT in Jul’18, but was 9% higher on the year compared with 44.29 MnT in Jul’17.
The coal company has attained the 200 MnT mark in coal dispatch during the first 4 months of FY19.
Total coal dispatch of 201.68 MnT was 11% higher on the year compared with 181.17 MnT in Apr’17-Jul’17, and was also 14% more than the corresponding production in Apr’18-Jul’18.
Subsidiary-wise Coal Production:
SECL remained the largest coal producing subsidiary in Jul’18, followed by MCL. SECL’s production increased 18% Y-o-Y to 11.73 MnT in Jul’18.
Out of the 8 coal producing subsidiaries, only BCCL had recorded noticeable growth in coal production on the monthly basis in Jul’18. Though, each subsidiary had dispatched more coal than its corresponding production during the month.
Source: CIL | Quantity in MnT
Leave a Reply