Government Auctions 6 Coal Blocks Across States; Mines Hold 1,504 Million Tonnes Reserves

Written by: Team Angel OneUpdated on: 5 Aug 2026, 6:29 pm IST
Centre auctions six coal blocks with reserves, expected to generate nearly ₹2,000 crore in annual revenue after operations begin.
Government Auctions 6 Coal Blocks Across States
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The Ministry of Coal has completed the auction of six coal blocks under the 15th round and the second attempt of the 13th round of commercial coal mine auctions, as per a PIB  report.  

The auction process, launched on April 17, 2026, concluded with forward bidding held on August 3 and 4. Of the six mines, four are fully explored while two are partially explored.  

Together, they contain geological reserves of around 1,503.93 million tonnes and have a combined peak rated production capacity of 11.62 million tonnes per annum (MTPA). 

Revenue and Investment Estimates 

The ministry estimates that the six blocks will generate around ₹1,983.67 crore in annual revenue for coal-bearing states after mining operations begin. The projects are also expected to bring in capital investment of nearly ₹1,743 crore. 

In addition, around 15,710 direct and indirect employment opportunities are expected to be created during the development and operational phases of the mines. 

Winning Companies Across Four States 

The Singareni Collieries Company Limited secured the Dip Side Extension of the PKOC block in Telangana. Gallantt Ispat Limited won the Dongeri Tal-II block in Madhya Pradesh, while Jharkhand Exploration and Mining Corporation Limited emerged as the successful bidder for the Margo West and Margo East blocks in Jharkhand. 

CG Syn-Gas and Chemicals Limited won the Tara (Revised) block in Chhattisgarh, while Qube Commercial Private Limited secured the Mandla South block in Madhya Pradesh.  

The Tara (Revised) block recorded the highest bid premium at 37.5%, the highest among the six mines auctioned. 

Commercial Mining Programme Since 2020 

The latest auction takes the total number of coal blocks awarded under the commercial coal mining programme to 147 since the sector was opened for commercial mining in 2020. 

According to the ministry, these 147 blocks have a combined production capacity of 377.974 MTPA.  

Once operational, they are estimated to generate annual revenue of about ₹48,215 crore, attract capital investment of ₹54,315 crore and create nearly 4.9 lakh employment opportunities. 

Read MoreSBI Research Sees India GDP Growth At 7% In Q1 FY27 Despite Global Headwinds! 

Conclusion 

With six more coal blocks awarded, the commercial coal mining programme continues to expand. The mines will be developed before contributing to domestic coal production and state revenues. 

For daily market updates and regular stock market news in Hindi, stay tuned to Angel One's share market news in Hindi. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.   
 
Investments in the securities market are subject to market risks, read all the related documents carefully before investing. 

Published on: Aug 5, 2026, 12:59 PM IST

Team Angel One

Team Angel One is a group of experienced financial writers that deliver insightful articles on the stock market, IPO, economy, personal finance, commodities and related categories.

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