The market research firm states that despite coal being an increasingly targeted commodity on environmental protection grounds, the demand remains strong.
COAL INDIA LTD. Mining News
Production growth to slow down in coming months, analyst says.
Coal India is diversifying its core business through a plan to install 600 megawatts of solar power in four states.
State-run Coal India is looking to acquire mines to feed its expanding steel industry.
Imports needed for struggling power plants.
Increasing demand from its domestic market, especially power producers, is pushing Coal of India to seek more overseas mines.
Later this month Coal India Ltd (CIL), the world's biggest coal producer, will sign an agreement with the Limpopo government in terms of which it will receive mining rights on various coal blocks in that province.
Coal India Ltd., facing a drop in output for the first time in more than a decade, is accelerating its search for overseas assets after talks with Massey Energy Co. and Peabody Energy Corp. failed.
Production by Coal India Ltd has been hit hard by a recent strike by workers and excessive rainfall at some of its collieries, affecting coal supply at most thermal power stations across India.
Coal India is planning to invest about INR280bn ($6.2bn) in 68 coal mining projects in India, which have a production capacity of 230 million tonnes per annum.