Coal India Limited (CIL) reported a 27% increase in capital expenditure for the first half of FY 2026–27, reaching ₹7,966 crore. This figure surpassed the planned outlay by 9%, achieving 109% of the target. Investments were concentrated in mine infrastructure, land acquisition, heavy earth-moving machinery, and diversification projects like solar energy and critical minerals, bolstering operational capabilities and production targets.
Coal India Reports Strong Capex Growth
Kolkata, October 26, 2026 – Coal India Limited (CIL) has announced a significant surge in its capital expenditure (capex) for the first half of the Financial Year 2026–27 (H1 FY’27). The company incurred a capex of ₹7,966 crore during April-September 2026, marking a substantial 27% growth compared to the ₹6,283 crore spent during the corresponding period of FY 2025–26.
Exceeding Financial Targets
This robust expenditure not only demonstrates CIL’s commitment to infrastructure development but also comfortably exceeded its planned outlay for the period. The achieved capex of ₹7,966 crore represents 109% of the H1 FY’27 target of ₹7,286 crore, and more than 48% of the annual capex target set at ₹16,500 crore. This performance underscores CIL’s ongoing focus on enhancing its core mining operations and pursuing strategic diversification initiatives.
Key Investment Areas
The company’s capex has been strategically allocated across several key areas. Mine infrastructure development emerged as the largest investment segment, attracting ₹2,152 crore. This included crucial upgrades to railway sidings, corridors, coal handling plants (CHPs), silos, and weighbridges to improve coal evacuation and handling efficiency. Land acquisition was another significant contributor, accounting for ₹2,033 crore. Furthermore, over ₹1,000 crore was invested in mine development to support the expansion and operational readiness of existing and new mining projects.
Plant & Machinery and Diversification
Capital expenditure dedicated to the Plant and Machinery (P&M) segment amounted to ₹1,394 crore. This investment covers heavy earth-moving machinery (HEMMs), washeries, and other essential plant equipment, aimed at strengthening mining operations and boosting operational efficiency. Notably, ₹452 crore of this was specifically allocated for procuring HEMMs.
CIL also continued to advance its diversification initiatives, investing over ₹739 crore in projects spanning solar energy, critical minerals, coal gasification, and thermal power generation. These strategic investments across mine infrastructure, plant and machinery, land acquisition, and diversification collectively accounted for over 79% of CIL’s total capex during H1 FY’27, positioning the company for sustained growth and achievement of its production and supply targets.
Source: BSE
