Coal India plans to spend nearly ₹1 trillion over the next 5 years till FY31, with investments directed towards mining infrastructure, evacuation systems, coal gasification and thermal power projects, as per The Business Standard report.
The company said annual capital expenditure is to remain between ₹18,000 crore and ₹25,000 crore depending on project requirements.
Coal India had reported capital expenditure of around ₹16,500 crore in the previous financial year. The company accounts for more than 80% of India’s total coal production.
A major share of the planned expenditure will be used for improving coal evacuation infrastructure. The company is increasing investment in first-mile connectivity projects, including conveyor systems, silos, and mechanised rail-loading facilities.
Coal India currently operates 46 first-mile connectivity projects with handling capacity of 432 million tonnes. Another 13 projects with handling capacity of 133 million tonnes are expected to become operational during the current financial year.
By FY30, the company plans to increase the number of such projects to 94, with overall handling capacity projected to reach nearly 995 million tonnes.
The company has also started changing its coal supply strategy as pithead stock levels remain elevated. Coal India began FY27 with more than 130 million tonnes of coal stock at mine pitheads.
The company plans to gradually reduce stock levels to around 50 million tonnes while increasing direct dispatches to consumers.
Coal India is moving towards a “produce-and-sell” model instead of holding larger inventories before sale. The company said this is expected to improve coal movement and handling efficiency.
Coal India is expanding into coal gasification and thermal power generation as part of its diversification plans. A ₹25,000 crore coal gasification project is under development at Lakhanpur in Odisha with Bharat Heavy Electricals.
Separately, the company and Damodar Valley Corporation are jointly developing a 1,600 MW thermal power project at Chandrapura, with estimated investment of around ₹20,000 crore.
For FY26, Coal India reported consolidated net profit of ₹31,071 crore, down 11% year-on-year, while revenue from operations remained largely unchanged at ₹1.68 trillion.
As of May 11, 2026, 3:00 pm, Coal India share price was trading at ₹463.55, up 1.57% from the previous closing price.
Coal India plans to expand first-mile connectivity capacity, develop coal gasification projects and improve supply movement as part of its long-term capital expenditure programme.
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Published on: May 11, 2026, 3:11 PM IST
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