Coal India’s pit head stocks dip to 5-year low of 31 million tonnes


Coal India’s pit head stocks dip to 5-year low of 31 million tonnes

Combined stocks at mine pit heads of Coal India and power plants have dwindled to a five-year low of about 31 million tonnes, just enough to supply thermal power plants for 18 days, because the company sold more than it produced under pressure to meet demand.

At power plants, fuel stocks are down to six days requirement, much below the norm of the Central Electricity Authority, which stipulates enough coal to generate electricity for at least 21days. Coal stocks are at critical levels at 28 power plants, meaning they will last a week or less. A senior Coal India executive said coal stocks at mines have touched a five-year low of 21 million tonnes this month from about 55 million tonnes towards the beginning of the fiscal.

Between April and October it produced 306.24 million tonnes of coal and sold 340.81million, eating into pit head stocks by 34.57 million tonnes in an effort to meet increased demand from the thermal power segment. Read More

Leave a Reply

Your email address will not be published.