Delhi: Coal India Limited (CIL) is expanding beyond its conventional coal-mining operations to build a diversified, technology-driven portfolio spanning energy, minerals, advanced materials and research and development (R&D).
The company’s Business Development portfolio is structured around five key platforms: coal gasification and coal-to-chemicals, thermal power, renewable energy and energy storage, critical minerals and advanced materials, and diversified minerals including iron ore.
CIL’s diversification programme already includes large-scale projects such as around ₹69,346 crore across four coal-to-chemicals initiatives, a 2×800 MW Chandrapura ultra-supercritical expansion, approximately 550 MW of commissioned solar capacity, grid-scale Battery Energy Storage System (BESS) projects and opportunities in critical minerals and downstream materials.
The company’s stated approach is “diversification with purpose”, with a focus on energy and mineral security, import substitution, indigenous technology, low-carbon growth, efficient public-asset utilisation and resilient domestic manufacturing.
CIL Builds Five-Platform Diversification Portfolio
Coal India is using its mining and project-development experience, nationwide presence, government relationships, land and coal resources, procurement capabilities, balance sheet and partnership ecosystem to enter new areas.
The five major diversification platforms are:
- Coal gasification and coal-to-chemicals
- Thermal power
- Renewable energy and energy storage
- Critical minerals and advanced materials
- Diversified minerals, including iron ore
CIL plans to evaluate projects through commercial sustainability and risk-adjusted returns while also supporting broader objectives such as import substitution and domestic technology development.
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Coal Gasification and Coal-to-Chemicals Projects
Coal gasification converts coal into synthesis gas, or syngas, which can be used to manufacture products such as synthetic natural gas, ammonia, urea, ammonium nitrate and methanol.
CIL has four major coal-to-chemicals initiatives:
- Talcher Fertilizers Ltd. – 1.27 MMTPA urea capacity; estimated project cost of ₹19,062.22 crore.
- Bharat Coal Gasification & Chemicals Ltd. – 0.66 MMTPA ammonium nitrate capacity; estimated project cost of ₹25,015.89 crore.
- Coal Gas India Ltd. – 633.6 million Nm³/year SNG capacity; estimated project cost of ₹13,052.81 crore.
- CIL-BPCL Chandrapur coal-to-SNG project – 633.6 million Nm³/year SNG capacity; estimated project cost of ₹12,214.86 crore.
Together, these initiatives represent an estimated investment of around ₹69,346 crore.
Technology priorities include:
- Adapting gasification processes for high-ash Indian coal
- Process optimisation
- Localisation of critical equipment
- Advanced process control and digital twins
- Predictive maintenance
- Improved water, ash and emissions management
CIL plans to consider replication of these projects after operating data and commercial performance have been validated.
Underground Coal Gasification Pilot Underway
Coal India is also exploring Underground Coal Gasification (UCG) for deep-seated or otherwise unmineable coal resources.
Since UCG has not yet been commercially proven globally, CIL is pursuing a phased pilot project at the Kasta West Block of Eastern Coalfields Limited (ECL).
- Phase I: Completed on May 31, 2025
- Phase II: Started on June 20, 2025
- Phase II focus: Detailed engineering, directional drilling, injection and production wells, ignition and control systems
- Scheduled completion: 2026
The project is intended to generate operational and technical experience before any wider commercial application is considered.
CIL Expands Thermal Power and Solar Portfolio
CIL and Damodar Valley Corporation (DVC) are implementing a 2×800 MW ultra-supercritical brownfield expansion at Chandrapura, Jharkhand, through a proposed 50:50 joint venture.
DVC will facilitate the sale of power from the project.
The future technology focus for the thermal power portfolio includes:
- High-efficiency generation
- Predictive maintenance
- Flexible plant operations
- Emission-control systems
- Water recycling
- Scientific utilisation of ash
Alongside thermal power, CIL is expanding its renewable-energy portfolio. The company has already commissioned approximately 550 MW of solar capacity, while additional rooftop, ground-mounted, captive, interstate and market-linked projects are under development.
Floating Solar Project Planned in Uttar Pradesh
CIL is developing a 20 MW AC grid-connected floating solar project at Chilwa Taal in Gorakhpur, Uttar Pradesh.
Floating solar provides a land-efficient option for suitable water bodies. However, CIL plans to assess site-specific risks before implementation.
These assessments will cover:
- Water-level variations
- Bathymetry
- Wind and wave conditions
- Anchoring requirements
- Corrosion
- Maintenance and safety
- Ecological considerations
CIL is also following two broad solar models: captive projects aimed at reducing electricity costs and carbon footprint, and utility-scale projects for commercial renewable-power generation.
Battery Energy Storage Projects Gain Focus
Battery Energy Storage Systems are being developed to support renewable-energy integration, peak-demand management, grid flexibility and improved utilisation of transmission infrastructure.
CIL’s BESS initiatives include:
TGGENCO Choutuppal BESS
The Telangana project has a proposed capacity of 187.5 MW/750 MWh with a four-hour duration.
- Project awarded to CIL
- EPC selection is in progress
- Long-term operation and maintenance arrangements are being developed
Odisha BESS Portfolio
CIL is also developing an 80 MW/320 MWh BESS portfolio across four locations in Odisha.
- Four-hour duration
- Capacity secured through SECI
- EPC tender issued
CIL has identified availability, state-of-charge management, dispatch compliance and future augmentation planning as important factors for the commercial performance of BESS projects.
Critical Minerals and Graphite Value Chain
Coal India is expanding into critical minerals that are important for batteries, electric vehicles, renewable-energy systems, electronics, advanced manufacturing, aerospace and defence.
Domestic opportunities identified by CIL include:
- Graphite assets in Madhya Pradesh and Chhattisgarh
- Rare earth element and rare-metal opportunities in Andhra Pradesh and Maharashtra
The company is focusing on the complete value chain, including:
- Resource definition
- Geometallurgy
- Beneficiation
- Recovery
- Product specification
- Waste management
- Market linkage
CIL is supporting these efforts through collaborations with Indian Rare Earths Limited (IREL), NFTDC, Curtin University, Hindustan Copper and state entities.
CIL Plans Integrated Graphite Value Chain
CIL aims to develop an integrated graphite value chain covering mining, beneficiation, purification, spheronisation and coating, along with production of anode materials.
In collaboration with NFTDC, a demonstration plant for coated spherical purified graphite (CSPG) with a proposed purity of at least 99.95% has been proposed.
Commercial scale-up will depend on consistent product quality, process performance and successful customer qualification.
Digital Architecture to Support Diversification
CIL plans to establish a common digital architecture across mining, process industries, power, renewable energy, grid services and advanced materials.
The proposed digital framework includes:
- Secure enterprise data room
- Standard project financial models
- GIS-based opportunity mapping
- Portfolio dashboards
- Project-stage and approval tracking
- Investment and schedule monitoring
- Risk and return tracking
- Digital engineering and asset-information requirements
A common stage-gate model will cover opportunity screening, concept validation, feasibility, contracting, demonstration and commercial operation.
CIL also plans to use joint ventures and strategic partnerships to access specialised technologies and markets, with emphasis on technology transfer, localisation and time-bound milestones.
CIL Strengthens Risk Management and Project KPIs
Coal India plans a stage-gated approach to risk management covering technology, resources, markets, finances, execution, ESG, supply chains, cybersecurity and operational capabilities.
Risk mitigation measures will include:
- Pilot validation and independent reviews
- Customer qualification and offtake arrangements
- Detailed project reports and contingencies
- Lifecycle assessments and localisation
- Operational technology security
- Targeted training and knowledge transfer
Key performance indicators will cover project delivery, operational availability, renewable capacity, storage capacity, mineral-resource development, downstream product qualification, import substitution, indigenous technology, financial returns and ESG outcomes.
CIL R&D Framework Focuses on Indigenous Technology
Coal India’s R&D framework has evolved from the Standing Committee on Science and Technology established in 1975, followed by the R&D Board in 1994 and the Apex Committee in 2003.
The company has now moved to an independent R&D Policy and Guidelines of 2026, with priority given to projects at Technology Readiness Level (TRL) 4 and above.
The major R&D focus areas include:
- Mine planning, productivity and safety
- Exploration
- Artificial intelligence and machine learning
- IoT-based smart mining
- Environment and sustainability
- Waste-to-wealth
- Technology innovation and indigenisation
- Alternative uses of coal
- Renewable energy
- Clean coal, beneficiation and mineral processing
NaCCER to Anchor CIL’s R&D Ecosystem
The R&D governance structure provides for project approvals through the CIL Board, R&D Board, Apex Committee and subsidiary-level R&D committees, depending on project value.
NaCCER functions as the independent nodal agency and central hub for the R&D ecosystem.
Its hub-and-spoke network connects:
- CIL Centres of Excellence
- IITs and NITs
- CSIR laboratories
- Research institutions
- CIL subsidiaries
- Incubation centres
- Start-ups
- Industry partners
The objective is to accelerate the movement of research from laboratories towards field deployment and commercial applications.
Major Centres of Excellence Supported by CIL
Coal India has supported several Centres of Excellence focusing on sustainable energy, clean coal, smart mining and innovation.
Key centres include:
- CIL Centre of Sustainable Energy at IIT Madras: ₹87.90 crore support; focus on sustainable materials, mine repurposing and energy transition.
- CLEANZ at IIT Hyderabad: ₹98 crore support; focus on clean coal technology and low-grade Indian coal.
- CIL Centre for Innovation in Mining at IIT (ISM) Dhanbad: ₹67.45 crore support; focus on Mining 4.0, IoT, smart mines, immersive technologies and 5G.
- CII Centre at IIT (ISM) Dhanbad: ₹10 crore support; focus on innovation, incubation, prototyping, virtual reality, simulation and automation.
CIL R&D Portfolio and Expenditure
The company’s R&D portfolio comprises 20 individual projects with an approved outlay of ₹231 crore.
High-impact initiatives include:
- Underground Coal Gasification at Kasta West
- 5G captive networks for opencast and underground mines
- Bifacial perovskite solar cells
- AI and geophysical exploration for critical minerals
R&D expenditure has increased significantly in recent years:
- FY 2023-24: ₹61.31 crore
- FY 2024-25: ₹245.38 crore
- FY 2025-26: ₹183.88 crore
- FY 2026-27 planned: ₹225 crore
- FY 2027-28 planned: ₹350 crore
- FY 2028-29 planned: ₹400 crore
- FY 2029-30 planned: ₹500 crore
Patents, Technology Transfer and New Centres of Excellence
During FY 2026-27, CIL reported several R&D developments.
These include:
- Five patents filed
- Two additional patents under process
- One patent granted for bifacial perovskite solar cells
- Technology transfer for commercialisation of Velocity of Detonation measurement equipment
- Discussions for new CIL Centres of Excellence with IIIT Roorkee and IIT Kharagpur
The company plans to further strengthen NaCCER and expand its R&D hub-and-spoke ecosystem while accelerating the transition from research to deployment.
Business Development Division to Drive Diversification
CIL’s Business Development Division will function as the enterprise integrator for technology-led diversification.
Its responsibilities will include:
- Identifying new opportunities
- Structuring partnerships
- Validating technologies
- Developing commercial models
- Securing approvals
- Moving projects into disciplined execution
Immediate priorities include preparing a unified diversification and technology roadmap, establishing standard technical, financial and ESG evaluation templates, and taking up demonstration projects with predefined success criteria and independent validation.
About Coal India Limited
Coal India Limited (CIL) is a major coal-producing public sector enterprise with a nationwide operational footprint. The company is now expanding its business portfolio beyond conventional coal mining into coal gasification, thermal power, renewable energy, battery storage, critical minerals, advanced materials and technology-led R&D. Through its diversification and innovation initiatives, CIL is seeking to strengthen energy and mineral security while developing new technology and business platforms.
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