CIL to invest Rs 3,300cr to set up 8 coal washeries in state

Kolkata: Mining major Coal India Limited (CIL) has decided to set up eight new coking coal washeries in Jharkhand at an estimated investment of Rs 3,300 crore.Expected to be operational by the end of 2029-30, these washeries will have a cumulative capacity of 21.5 million tonnes (MT) per year, and will have the potential to generate significant direct and indirect employment opportunites. Of the proposed washeries, five will be set up by Central Coalfields Limited (CCL), having a combined annual capacity of 14.5 MT, and three by Bharat Coking Coal Limited (BCCL), with a total capacity of 7 MT per year, Coal India said in a statement. CCL and BCCL are the two Jharkhand-based subsidiaries of CIL.The new coking coal washeries are in addition to the 10 that CIL already operates, having an annual cumulative capacity of 18.35 MT. Apart from the new washery projects, CIL would also be investing Rs 300 crore in renovation and modernisation of the existing coking coal washeries to ensure their optimal and gainful utilisation, the statement said. Coal washing or beneficiation is a process of mechanical separation of impurities, primarily ash content from the coal, in order to improve its calorific value and make it more suitable for industry use. This calibrated expansion of washing capacity and modernisation will improve domestic coking coal quality and also reduce import dependence in the coming years, CIL said. Coking coal is a vital ingredient for steel manufacturing. Though India is well endowed with coal reserves, domestic coking coal resources are scarce. Beside, the ash content ranges from 25% to 45%, much higher than other countries globally, making India dependent on imports of coking coal. CIL, in a public-private partnership model, is leveraging washing capacity and technical expertise from Tata Steel to enhance the supply of quality coking coal to the domestic steel sector, the statement said.