SECL Plans 75 Million Tonnes Coking Coal Output

South Eastern Coalfields Ltd (SECL), one of India’s largest coal producers and a key subsidiary of Coal India Limited, is targeting an ambitious ramp-up of coking coal output to around 75 million tonnes in coming years, according to industry projections and officials familiar with the strategy. The focus on metallurgical coal — critical for the steel sector — reflects broader pressures on domestic energy security and industrial supply chains as the country navigates its twin goals of economic growth and sustainable transformation.

Coking coal, a high-grade variety used in steelmaking, remains in high demand in India’s growing manufacturing economy. Domestic production has historically lagged consumption for this grade, leading to significant imports and supply volatility. Government policies such as the “Mission Coking Coal” aim to boost indigenous output significantly over the medium term.SECL’s strategic focus on scaling coking coal aligns with this national objective. In the broader Coal India group, domestic coking coal output was approximately 66.47 million tonnes in the 2024-25 period, accounting for a modest share of total raw coal production. Given this backdrop, SECL’s plans signal an effort to assert more control over supply for critical downstream sectors such as steel and heavy engineering, reducing dependence on imports and enhancing price stability across value chains.

The company’s flagship Gevra open-cast mine in Korba district, already among the world’s most productive coal blocks, has received environmental clearance for expanded capacity to 70 million tonnes annually and is targeting incremental output growth over the next fiscal years. While Gevra primarily produces thermal coal, expansion investments and infrastructure enhancements — including rail connectivity and rapid loading facilities — underpin SECL’s broader ambition to serve both thermal and metallurgical coal markets more robustly.Domestic industry stakeholders have emphasised that reliable coking coal supplies are essential for India’s aspirations in steel production, which underpins infrastructure, urban construction and heavy machinery sectors. The re-orientation toward higher output supports decarbonisation pathways by enabling steelmakers to plan long-term investments in cleaner processing technologies, including coke ovens and alternative reduction processes. Observers note that a strengthened domestic coking coal base could also catalyse private sector participation in beneficiation and washery infrastructure, improving fuel quality and reducing carbon intensity in steel value chains.

However, challenges remain. Expanding coking coal extraction at scale requires sustained regulatory engagement, land acquisition, and careful environmental management, particularly in ecologically sensitive coalfield regions. The pace and scale of infrastructure upgrades — including coal handling plants, washery expansions and evacuation corridors — will be decisive factors in SECL’s ability to meet its 75 million-tonne ambition.Environmental advocates and urban planners highlight another tension: while coal will likely remain a significant energy and industrial feedstock in the near term, its environmental footprint — including greenhouse gas emissions and particulate impacts — complicates India’s broader climate commitments. This underscores the need for parallel investments in carbon mitigation technologies, cleaner processing methods and diversification of energy sources.

Looking ahead, SECL’s strategic emphasis on coking coal expansion will be closely watched by steelmakers, policymakers and infrastructure planners. Its capacity to balance industrial demand with sustainable practices will shape how effectively India can meet the needs of its urbanising economy while navigating the energy transition.

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SECL Plans 75 Million Tonnes Coking Coal Output