Representative image of a coal mine.
Credit: Reuters photo
Delhi: State-owned CIL on Tuesday said that its capital expenditure increased by 7.6 per cent to Rs 10,492 crore in the first eight months of the ongoing financial year.
The public sector enterprise's captital expenditure was Rs 9,751 crore in the year-ago period, Coal India Ltd (CIL) said in a BSE filing.
"CIL's capital expenditure increased by Rs 741 crore in eight months ending November FY 2024 to Rs 10,492 crore," the company said in a statement.
Coal India accounts for over 80 per cent of domestic coal output.
"We are striving to achieve around 80 per cent of the current financial year's total targeted capex of Rs 16,500 crore by the third quarter ending December," a senior executive of the company said.
CIL's intensified focus on strengthening coal evacuation infrastructure in its mining areas saw the capex going up to Rs 3,247 crore, representing 31 per cent of the entire capex, till November in the current fiscal.
"Setting up railway sidings and corridors at Rs 1,842 crore; construction of coal handling plants (CHPs) and silos for mechanised transportation of coal including weighbridges at Rs 1,292 crore and establishing roads amounting to Rs 113 crore, cumulatively, made up Rs 3,247 crore," it added.
Capex on acquisition of land and related rehabilitation at Rs 2,486 crore was followed by the expenses on procurement of heavy earth moving machinery at Rs 1,954 crore.
Diversification and joint ventures like solar and Hindustan Urvarak Rasayan LtD and Talcher Fertilizers Ltd together accounted for Rs 1,040 crore.
The remaining capex heads includes mine development, exploration and prospecting.
Capex usually surges up in the last quarter and CIL said that the company may exceed this fiscal's target as well.
Coal India had earlier said that it has proposed a capital expenditure of Rs 16,600 crore in 2023-24.