Coal news and updates

CIL expects to earn extra Rs 2119 crore due to price revision in May

December 12: The Coal India Ltd (CIL) is expected to earn an extra revenue of about Rs 2119 crore during the current financial year after it revised the basic price of coal on May 28, 2013, an official said.

"The revision is, however, likely to cause a decline in revenue of Eastern Coalfields Ltd (ECL) by Rs 99 crore as prices of G3 and G4 grade coal were reduced by 12% in view of the decline in equivalent grade of imported coal prices," the official said.

ECL’s maximum production is G3 and G4 grade.

However, the revenue of other subsidiaries, except North East Coalfields, are likely to go up anywhere between Rs 22 crore and Rs 686 crore as the price of G6 to G17 grades, which accounts for nearly 85% of CIL’s total coal production, were raised by 10% keeping in view the increasing cost of factors of production.

Mahanadi Coalfields Ltd (MCL) is expected to witness the highest increase in revenue of Rs 686 crore, Northern Coalfields Ltd (NCL) Rs 664 crore, South Eastern Coalfields Ltd (SECL) Rs 495 crore, Central Coalfields Ltd (CCL) Rs 248 crore,  Bharat Coking Coal Ltd (BCCL) Rs 103 crore and Western Coalfields Ltd (WCL) Rs 22 crore.