CIL’s capex grows Rs.741 Crs to Rs. 10,492 Crs in Apr-Nov FY’24
New Delhi : Public sector coal miner Coal India’s (CIL) capital expenditure increased by Rs.741 Crores in eight months ending November FY 2024 to Rs. 10,492 Crores. This is 7.6% higher than Rs. 9,751 Crores of corresponding period last year.
“We are striving to achieve around 80% of the current financial year’s total targeted Capex of Rs. 16,500 Crores by the third quarter ending December.” said a senior executive of the company. CIL’s intensified focus on strengthening coal evacuation infrastructure in its mining areas saw the capex under the three heads going up to Rs.3,247 Crores, representing 31% of the entire capex, till November 2023. Setting up railway sidings and corridors at Rs.1,842 Crores; Construction of coal handling plants (CHPs) and silos for mechanized transportation of coal including weighbridges at Rs. 1,292 Crores and establishing roads amounting to Rs. 113 Crores, cumulatively, made up Rs 3,247 Crores. Capex on acquisition of land and related rehabilitation followed at Rs.2,486 Crores accounting for almost a quarter during April-November FY 2024. Procurement of heavy earth moving machinery (HEMM) reported Rs. 1,954 Crores. Diversification and joint ventures like Solar and Hindustan Urvarak Rasayan Limited and Talcher Fertilizers Limited put together made up Rs.1,040 Crores.
The remaining capex heads were mine development, exploration, prospecting, ERP and other residuals. “Land and HEMM are major Capex heads that catalyze production growth. Having a robust coal evacuation infrastructure to transport increased volumes of coal in future is a priority where we are upping investments. Capital expenditure is important for asset creation and future revenue” said the executive.