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Coal Ministry Allocates 5 New Blocks to Boost Production, Investment, and Job Creation in India

New coal blocks with 3.45 MTPA capacity and 1,556 MT reserves expected to generate ₹360 crore annually, attract ₹517 crore investment, and create 4,600+ jobs
Indian Masterminds Stories

New Delhi: The Ministry of Coal has issued Vesting Orders for five additional coal blocks under its ongoing commercial coal block auctions, marking another milestone in its efforts to boost domestic coal production and reduce import dependency. These latest vesting orders come following the signing of the Coal Mine Development and Production Agreements (CMDPA) on August 21, 2025.

The newly vested coal blocks include:

  • Tandsi III & Tandsi III Extension
  • Senduri
  • West of Tubed
  • Chitarpur (Revised)
  • Phutamura

Among these, four blocks are partially explored, while one is fully explored. Collectively, these blocks have a Peak Rated Capacity (PRC) of approximately 3.45 million tonnes per annum (MTPA) and geological reserves of around 1,556.31 million tonnes (MT).

Read also: Star Rating Awards 2025: Ministry of Coal to Recognise Excellence in Coal and Lignite Mines in Mumbai

Boosting Investment, Revenue, and Employment

The newly allocated coal blocks are projected to bring in annual revenue of ₹360 crore and draw capital investments worth ₹517 crore, contributing significantly to the economic development of their respective regions. Additionally, these projects are expected to generate employment opportunities for approximately 4,664 people, both directly and indirectly, thereby supporting livelihoods and enhancing socio-economic outcomes.

Commercial Coal Auctions: A Transformational Shift

With these latest additions, a total of 125 coal blocks have now been vested or allocated under the commercial coal mining auctions since the policy was introduced. These blocks together have a cumulative Peak Rated Capacity of approximately 265.844 MTPA, with potential to generate annual revenue of around ₹37,463 crore and create employment for nearly 3.6 lakh people (359,400).

This initiative reflects the Ministry’s commitment to fostering a resilient, transparent, and investment-friendly coal sector, in line with India’s goals for energy security, self-reliance, and sustainable development.

Driving India’s Energy Security

The commercial coal mining scheme has emerged as a cornerstone of India’s strategy to harness its vast coal reserves, attract private investment, and reduce dependence on imported coal. By offering blocks with robust geological data and easing operational processes, the Ministry of Coal continues to open up opportunities for both public and private stakeholders, thereby accelerating domestic coal production and securing India’s long-term energy needs.

Read also: Ministry of Coal to Kick Off 13th Auction Round, CMDPAs for 11 Mines to Be Signed – All You Need To Know


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