Coal Ministry inks CMDPAs for Marwatola‑II & Namchik West Mines

Ministry of Coal has signed Coal Mine Development and Production Agreements (CMDPAs) for two more coal blocks—Marwatola‑II and Namchik West—under the 11th round of commercial coal‑mining auctions. These agreements advance India’s drive toward energy security, self‑reliance in coal production, and balanced regional growth.

Key Highlights

Blocks & Bidders

  • Marwatola‑II: Awarded to Singhal Business Private Limited
  • Namchik West: Awarded to PRA Nuravi Coal Mining Private Limited

Resource & Financials

  • Exploration status: one block fully explored; one partially explored
  • Combined Peak Rated Capacity (PRC): ~0.34 MTPA
  • Estimated annual revenue: ₹106.14 crore
  • Capital investment required: ~₹55 crore

Employment Impact

  • Approximately 460 direct and indirect jobs expected

Cumulative Commercial Mining Framework

  • Total CMDPAs signed: 120 coal mines
  • Aggregate PRC: 265.64 MTPA
  • Projected annual revenue: ₹37,300 crore
  • Total investments: ₹39,900 crore
  • Employment potential: ~360,000 persons

About CMDPA

  • Objective: A legal framework for private‑sector participation in commercial coal mining
  • Launch of Commercial Auctions: First held in 2020 under the Coal Mines (Special Provisions) Act, 2015

Coal Production in India

India has achieved a historic milestone by surpassing 1 billion tonnes of coal production in FY 2024–25 — a feat hailed by the Prime Minister as a reflection of the nation’s energy security and self‑reliance.

Historical Background

  • First Commercial Mine: 1774 at Raniganj Coalfields (Damodar River)
  • Nationalisation: Coking coal: Nationalised 1972 (Coking Coal Mines Act) and Non‑coking coal: Nationalised in 1973 (Coal Mines Nationalisation Act)

Categories of Coal in India

Gondwana Coal (Permian; 250–300 M years)

  • Regions: Jharkhand, Odisha, Chhattisgarh, West Bengal, MP, Maharashtra
  • Features: High carbon & calorific value; bituminous/sub‑bituminous
  • Uses: Power generation, steel, industry

Tertiary Coal (Tertiary; 15–60 M years)

  • Regions: NE states, J&K, Rajasthan
  • Features: Higher moisture, lower carbon; lignite/peat
  • Uses: Power generation, domestic heating

Types of Coal in India

  • Anthracite: 80–95% carbon (Jammu & Kashmir)
  • Bituminous: 60–80% carbon (major coal states)
  • Sub‑bituminous: Dull black, higher energy than lignite
  • Lignite: 40–55% carbon (TN, Rajasthan, Assam)

Major Coal Producers

ProducerFY 2023‑24 Production
Coal India Limited (CIL)773.81 MT
Singareni Collieries Company Limited (SCCL)70.02 MT
Captive & Private SectorGrowing share

Global & Domestic Rankings

Top World Producers

  1. China
  2. India ( More Than 1 billion tonne in 2024–25)
  3. United States

Top Coal‑Producing States in India

  1. Jharkhand
  2. Odisha
  3. Chhattisgarh
  4. West Bengal

Key Reforms & Initiatives

CMSP Act, 2015: Enabled auctioning of coal blocks to private players

Mines and Minerals (Development and Regulation) Amendment Act, 2021 (MMDRA Amendment, 2021):

  • Introduced Composite PL‑cum‑ML
  • Relaxed end‑use restrictions for captive miners

National Coal Index (NCI): Unified price index across sale channels

100% FDI: Opened coal mining to global investment & advanced tech

Coal Distribution Policy (2007 Amended): Transparent sale from closed/abandoned mines

Other Initiatives to Boost Domestic Production

  • Integrated Coal Logistic Policy & Plan, 2024: Strengthen cost‑effective evacuation networks
  • Coal & Lignite Gasification Scheme: ₹8,500 crore outlay for gasification projects
  • PM Gati Shakti – National Master Plan: Seamless multimodal infrastructure for coal sector

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