BackECONOMY
Singareni plans to focus on nine new mine projects for sustainable production
The State Government plans nine new coal mines for Singareni Collieries (SCCL) to ensure long-term sustainability and energy security, offset production losses from closing mines, and preserve employment. SCCL submitted proposals to central ministries for clearance, with some projects already progressing and VK Coal Mine near readiness in Kothagudem; the plan emphasizes higher-quality coal and production to sustain supply over the next two decades.
Why It Matters
If realized, the plan could stabilize coal supply and energy security for the state, while mitigating job impacts from mine closures and supporting ongoing demand.
Timeline
10 Events
MD review and directive to expedite approvals; start production from at least three projects this financial year
May 9, 2026
Chairman and Managing Director Buddhaprakash Jyoti reviewed progress and urged officials to expedite pending statutory approvals and take necessary steps to ensure commencement of production from at least three projects in this financial year.
Estimated coal reserves across the nine proposed mine projects
May 9, 2026
Officials list estimated coal reserves under the State Government initiative as follows: VK Coal Mine (Kothagudem) 190 MT; JK Open Cast Mine (Yellandu) 19.68 MT; Ramagundam OC-1 Expansion 181.60 MT; Goleti Open Cast Mine (Bellampalli) 38.98 MT; MVK Open Cast Project 30.34 MT; Manuguru Open Cast Extension 40.45 MT; RKP OCP Phase-2 (Mandamarri) 34.42 MT; PK Coal Mine, Kondapur (Manuguru) 62 MT.
Project scope: open-cast mines, extensions, and residual reserves
May 9, 2026
The projects include development of new open-cast mines, extensions of existing operations and extraction of residual coal reserves from previously closed underground mines.
Nine projects expected to bridge production gap for two decades
May 9, 2026
The proposed nine projects are expected to bridge the gap and ensure uninterrupted coal supply to customers for the next two decades.
Projected mine closures by 2027-28 and impact on production
May 9, 2026
By 2027-28, four more mines in SCCL are expected to cease operations, leading to an estimated reduction of 12.51 million tonnes in annual coal production.
Plan for higher-quality, higher-production mines for 20-year sustainability
May 9, 2026
Towards medium to long-term production sustainability for at least the next 20 years, SCCL management is planning to operate new mines with higher quality of coal and higher production.
VK Coal Mine in Kothagudem: statutory clearances completed
May 9, 2026
VK Coal Mine in Kothagudem has completed major statutory formalities and is ready for commencement of production; overburden removal activity has already commenced there.
Three projects approved; Naini Block production begins in Odisha
May 9, 2026
Approvals have already been secured for three projects, and coal production has commenced at the Naini Block in Odisha following coordination with the Government of Odisha.
SCCL submits nine-project proposals to Centre for clearance
May 9, 2026
In line with government instructions, SCCL has prepared detailed proposals for the nine projects and submitted them to the Centre – Ministry of Coal and Ministry of Forest and Environment for necessary clearances.
State government initiates plan for nine new SCCL coal mines
May 9, 2026
The State Government initiates a comprehensive plan for the development of nine new coal mines for Singareni Collieries Company Limited (SCCL) to ensure long-term operational sustainability and energy security. The plan aims to offset production losses from phased closure of existing mines due to depletion of reserves, maintain employment, and meet the state's growing energy demand. Officials are instructed to expedite preparatory activities and obtain necessary statutory approvals at the earliest.