India's Premier Mining, Minerals & Mining Equipment Industry Review
India Mining Review
Ministry of Coal launches 16th commercial coal mine auction round

Ministry of Coal launches 16th commercial coal mine auction round

By September 29, 2026 6:28 pm IST


The Ministry of Coal has launched its 16th commercial coal mine auction round and executed development agreements for six previously auctioned mines.

The Ministry of Coal launched the 16th round of commercial coal mine auctions on September 17, 2026, in New Delhi. Minister of State for Coal and Mines Satish Chandra Dubey attended the event as the chief guest.

During the event, Dubey launched the 16th auction round and, along with Ministry of Coal Secretary Vikram Dev Dutt, handed over Coal Mine Development and Production Agreements (CMDPAs) to successful bidders of six coal mines auctioned in earlier rounds.

The CMDPAs were executed for Tara (Revised), Margo West, Margo East, Mandla South, Dongeri Tal-II and Dip Side of PKoC. The successful bidders include CG Syn-Gas & Chemicals Ltd., Jharkhand Exploration & Mining Corporation Limited, Qube Commercial Pvt. Ltd., Gallant Ispat Ltd. and The Singareni Collieries Limited.

The six mines have combined geological reserves of approximately 1,504 million tonnes and a Peak Rated Capacity of 11.62 MTPA. Once operational, they are expected to generate annual revenue of around Rs 1,984 crore, attract capital investment of nearly Rs 1,743 crore and create approximately 15,700 employment opportunities in the respective coal-bearing regions.

The 16th auction round offers 25 coal blocks, comprising 21 fully explored and four partially explored mines, across nine coal-bearing states: Arunachal Pradesh, Bihar, Chhattisgarh, Jharkhand, Madhya Pradesh, Maharashtra, Odisha, Telangana and West Bengal.

Of the 25 blocks, six coal mines are being offered under the Coal Mines (Special Provisions) Act (CMSP), while 19 are offered under the Mines and Minerals (Development and Regulation) Act (MMDR).

The blocks are open to experienced mining companies, new entrants and technology-driven enterprises under the commercial coal mining framework. The framework provides for no end-use restrictions, 100% foreign direct investment through the automatic route and low upfront payments adjustable against future revenue share.

With the launch of the latest round, the commercial coal mining programme has completed 16 rounds since the sector was opened to commercial mining in 2020. A total of 147 coal mines have been auctioned to date, with cumulative expected annual revenue of more than Rs 47,500 crore and projected capital investment exceeding Rs 55,000 crore across nine coal-bearing states.

Addressing the launch, Dubey highlighted coal’s role in India’s energy requirements and said coal accounts for around 55% of the country’s primary energy requirement and more than 70% of its electricity generation. He also referred to coal production crossing the one-billion-tonne mark for the second consecutive year.

He highlighted the Ministry’s efforts towards greater transparency, competition and technology-enabled processes in the coal sector. He also emphasised the need to unlock domestic coal resources, increase production and reduce dependence on imports while ensuring efficient and sustainable utilisation of coal reserves.

Rupinder Brar, Additional Secretary and Nominated Authority, said the coal sector was moving towards a transparent, technology-enabled and competitive ecosystem. She highlighted the growth in coal production from captive and commercial mines and the potential to unlock domestic resources, attract investment and create new opportunities.

Sanoj Kumar Jha, Additional Secretary, Ministry of Coal, highlighted coal gasification as an avenue for value addition and innovative utilisation of India’s coal resources. He stressed the need to accelerate technology adoption, strengthen the ecosystem for next-generation coal utilisation and develop solutions suited to India’s requirements.

Source: PIB