Coal India is likely to e-auction approximately 60 mt of coal in the second half of the current financial year, according to estimates indicated by the management. 

This represents a significant increase from the 32 mt sold in the first two quarters of the year, the company’s executives have said.

Coal India has informed analysts that it aims to sell 15 per cent of its production in the second half (H2) of the current financial year (October 2023-March 2024) through e-auctions, which currently command a premium of around 90 per cent over the Fuel Supply Agreement (FSA) price. 

“We are expecting 15 per cent of production to be e-auctioned in the second half,” Coal India Chairman P M Prasad has said. In the first half of the year, Coal India produced 360 mt, and the miner remained confident to produce 780 mt in this financial year. 

Coal India also informed of its plans to raise e-auction share of production from 10 to 15 per cent in the current financial year and further increase it to 20 per cent by FY25. 

Mr Prasad said: “For Coal India as a whole, the capex is Rs 16,500 crore. Land acquisition and mining equipment make up the majority of the annual capex.” 

Mr Prasad also said: “Coal India will be pursuing this (solar power) in a phased manner. Our net-zero target is to achieve 3,000 mw. By the end of this year, we will be installing 250 mw.”