South Eastern Coalfields Ltd (SECL), the largest coal producing subsidiary of CIL, has posted a hefty decline in coal output during the first 4 months of FY20.
Apparently, the company’s subdued overburden removal has restrained the output growth in the current fiscal.
SECL’s coal production has fallen 14% Y-o-Y to 44.65 MnT during Apr-Jul’19 compared with 51.68 MnT recorded in Apr-Jul’18 period.
SECL’s 13 mining areas are broadly divided into-Central India coalfields and Korba coalfields. Central India coalfields comprise of Baikunthpur Bhatgaon, Bishrampur, Chirmri, Hasdeo, Jamuna Kotma, Johilla and Sohagpur. Mining areas in Korba coalfields include Gevra, Dipka, Kusmunda, Korba and Raigarh.
Out of the total volume, production of 6.85 MnT coal was noted from Central India coalfields, while the remaining 37.8 MnT output was attained from Korba coalfields.
The company has seen a steady decline in monthly coal production y-o-y for each of the first 4 months of FY20. Production in Jul’19 had fell 12% on the year to 10.32 MnT, which was also down 9% M-o-M from 11.33 MnT in Jun’19.
SECL’s Coal Dispatch:
SECL’s coal dispatch of 11.9 MnT in Jul’19 had seen a slight uptick from 11.74 MnT in Jun’19, but remained 9% lower on the year from 13.05 MnT in Jul’18.
Overall dispatch in the 4-month period of FY20 was noted 7% lower on the year at 49.66 MnT compared with 53.65 MnT in the corresponding period of FY19.
Coal supplies to the tune of 22.05 MnT via road mode, followed by 16.02 MnT by rail and remaining 11.59 MnT via other means of transportation, was delivered during Apr-Jul’19 period.
Decline in coal stock at mines: SECL’s pit-head coal stock assessed at 4.26 MnT at the end of Jul’19 has fallen nearly 27% from 5.84 MnT recorded at the beginning of the month.
A lower stock level has affected SECL’s coal offering in the e-auctions, apparently no spot e-auction was held during the month of Jul’19.
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