Coal India Limited (CIL) is set to diversify its operations beyond coal as it ventures into graphite mining. The Ministry of Mines has granted CIL a composite license for prospecting and mining in the Khattali Chhoti Graphite Block in Alirajpur, Madhya Pradesh.
Debasish Nanda, Director of Business Development at Coal India, expressed excitement about this new venture, stating, “This is the first mineral other than coal for us.” The company is required to pay a mining premium of 150.05 percent of the value of minerals dispatched to the state government.
With a timeline of one year for the grant of the composite license and three years for the execution of the mining lease deed, CIL is gearing up for the project, which is currently in a preliminary phase, requiring further exploration.
In line with the government’s Atmanirbharta vision, Coal India has formed a special team to focus on critical minerals, both globally and within India. Graphite, with its multiple applications including usage in batteries, is a key focus area for CIL, especially amidst the ongoing electric vehicle revolution in the country.
While the capital expenditure for the project is yet to be estimated, Coal India plans to leverage its coal mining expertise from its subsidiary, Central Mine Planning & Design Institute Limited (CMPDI), during the initial phase.
This move marks a significant milestone for Coal India Limited as it expands its horizons and ventures into the world of graphite mining, a crucial step towards diversification and growth.
