- Mine to produce 2.7 mnt of coking coal per year
- Move to cut coking coal imports, aid local output
Bharat Coking Coal Ltd. (BCCL) has successfully restarted the long-closed PB (Pootkee Balihari) Project mine in Jharkhand through a private partnership. This move is significant because it marks the first time any Coal India subsidiary has revived a mine using the Mine Developer and Operator (MDO) model.
The MDO model is a public-private partnership in which a private firm is contracted to develop, operate, and extract coal from a government-owned mine, while the public company earns a fixed revenue share per output.
Eagle Infra to operate mine
BCCL has signed a 25-year lease with Eagle Infra India Ltd., a private mining developer. The company will operate the mine and deliver coal, while BCCL earns revenue without direct operation.
Under the MDO agreement, BCCL will receive 6% of gross revenue. This ensures transparency and a steady income for the public sector firm without additional investment.
Boost to domestic coking coal output
The PB Project is expected to produce 52 million tonnes (mnt) of coking coal over its lifetime, around 2.7 mnt per year. This will help reduce India’s dependence on imported coking coal, which is used mainly in steelmaking.
Aligned with Atmanirbhar Bharat
This revival project supports India’s goal of becoming self-reliant in energy and mineral resources. It also complements the “Mission Coking Coal” initiative, which aims to increase local production of this vital raw material.
The restart of the mine will create local employment opportunities and bring in better mining practices and equipment through private sector involvement.
Sets new trend
This project is seen as a pilot that can be replicated across other abandoned or underutilised coal mines. It shows how public-private collaboration can unlock hidden resources efficiently.
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