Bharat Coking Coal plans expansion to cut losses

Bharat Coking Coal Ltd (BCCL), a subsidiary of Coal India Ltd (CIL), attempt to cut its losses by expanding output from existing mines to raise annual coal production by 5 million tonnes.

Partha Sarathy Bhattacharya, who assumed charge of the sick coal company only a few months back, said several cost cutting measures had also been adopted to reduce cash losses.

Increased production with minimum investment would help bring out BCCL from the Board for Industrial and Financial Reconstruction (BIFR). The plan to revive BCCL were yet to be sanctioned by the Union coal ministry.

BCCL has proposed expansion of 12 existing projects through acquisition of 240.60 hectares of land covering the villages of Keshargarh, Nadkurki, Jaiamdih, Barmesia, Pandedih, Gareria, Bhugatdih, Jairampur, Jeenagora, Dahibari, Mandira, Sonardih, Palasia and Kalyanichak.

BCCL sources said the Jharkhand government had been contacted for help with the acquisition of land. BCCL would be able to extract more prime coking coal.

The increase in production could be as much as 17,000 tonnes daily. BCCL would acquire another 275 hectares of land to rehabilitate the villagers displaced by its mines.

The rehabilitation process would focus on income generation for the villagers as BCCL would not be able to provide jobs to all the displaced. Income generation by the uprooted families would be equal to returns from a job, according to BCCL's plan.