Coal India Limited (CIL) has accelerated its investment drive, recording capital expenditure (capex) of Rs. 3,399 crore in the first quarter of FY 26–27, marking a 16.64% increase over the Rs. 2,914 crore spent during the same period last year.

 

The state-run coal major also exceeded its quarterly capex target of Rs. 3,349 crore, achieving 101.5% of the planned expenditure. The Q1 outlay accounts for 20.60% of CIL’s total annual capex target of Rs. 16,500 crore for the current fiscal.

 

Land acquisition and related rehabilitation and resettlement (R&R) activities emerged as the biggest investment area during the quarter, receiving Rs. 804 crore — nearly one-fourth of the company’s total capex. Coal India has identified land acquisition as a key priority, with the segment receiving the highest annual capex allocation of Rs. 4,173 crore for FY’27.

 

The company also stepped up investments to strengthen coal evacuation infrastructure, spending Rs. 754 crore on railway sidings and rail corridors. An additional Rs. 195 crore was deployed for coal handling plants (CHPs), silos, weighbridges and roads, taking the total investment in evacuation infrastructure to Rs. 949 crore during the quarter ended June 2026.

 

Capital expenditure under the Plant & Machinery (P&M) segment stood at Rs. 819 crore, covering the procurement of Heavy Earth Moving Machinery (HEMM), expansion and construction of washeries, and other equipment-related projects. The segment accounted for nearly one-fourth of the company’s Q1 capex.

 

“Expenditures on land acquisition, development of coal evacuation infrastructure, and plant & machinery constitute the major components of our capital expenditure. Together, these three broad heads accounted for over 75% of the total capex incurred during the first quarter. These strategic investments have laid a strong foundation for the company to achieve its production and supply targets for the ongoing fiscal,” said B. Sairam, Chairman, Coal India.

 

As part of its clean energy expansion strategy, Coal India invested Rs. 278 crore in solar projects during the quarter. Investments in the company’s joint ventures (JVs) stood at Rs. 207 crore, highlighting its continued push into renewable energy and allied sectors.

 

Coal India had recorded capex of Rs. 19,607 crore during FY 25–26, surpassing its annual target of Rs. 16,000 crore. The achievement underscores the company’s sustained focus on strengthening mining infrastructure, improving coal evacuation capacity and advancing its clean energy initiatives.