Coal news and updates

Despite a poor Oct, CIL confident of achieving despatch target

November 7: Notwithstanding the poor offtake numbers for October, Coal India Ltd (CIL) was confident of achieving the annual target of 492 million tons (mt) despatch set for 2013-14, CIL chairman and managing director S Narsing Rao said.

"We have a target of 5.4% growth in despatches for this year. I am happy to share with you that in the first half of this year, despite severe problems, we could achieve a growth of 4.7%. Not quite there, but we have a belief in ourselves and our growth in the second half would be there and we will be able to achieve the target of 5.4% growth in production," Rao said at the 39th Foundation Day celebration held recently in Kolkata.

Noting that the October number has not been satisfactory, he said, "It is absolutely essential that all of us show good progress in the next five months."

In order to achieve the yearly target, Rao said, the company needed to achieve 9.5% growth every month. "Our asking rate has gone up to 9.5% and every month we need to despatch not less than 43 mt of coal… I am sure that with the hard work and blessings of all we will be able to achieve the target of 5.4% for this year," he said.

The chairman, however, said that to achieve the same CIL would need support from other stakeholders such as the Railways.

"There are also many other agencies and we propose to work together to achieve this mammoth task of 492 mt this year. As on October 31, we had managed to despatch 260 mt tons of coal and in the balance five months of this financial year we must do the balance 232 mt," he said.

CIL's coal offtake dropped marginally to 35.51 mt in October 2013 against 35.79 mt in September 2013. Offtake during the first seven months (April-October) of 2013-14 stood at 259.87 mt which is 97% of the target of 268.78 mt and a 2.58% increase over 253.31 mt reported for the same period last year.