Coal India Ltd (CIL) has liquidated around 55 million tonnes (MT) of pithead coal stocks in the first five months of FY27, helped by higher dispatches, even as the state-run miner retains about 76 MT of inventory to meet power-sector requirements in the coming months.
The drawdown in stocks comes as CIL’s total coal supplies rose 5.5% year-on-year to 60.60 MT in August, compared with 57.40 MT in the corresponding month last year, indicating stronger evacuation despite the monsoon period.
Supplies to the power sector, CIL’s largest consumer segment, increased 4.5% to 48.46 MT during August from 46.39 MT a year earlier. The increase assumes significance as the company maintains sizeable pithead inventories while preparing to step up production and dispatches as intense rainfall recedes.
Growth was sharper in supplies to the non-regulated sector, which includes industries outside the power segment. Dispatches to these consumers jumped 9.6% to 12.12 MT in August from 11.06 MT in the same month last year.
The momentum has also lifted CIL’s cumulative performance. Total supplies during April-August FY27 increased 6.7% to 322.90 MT, compared with 302.60 MT in the first five months of FY26. The higher offtake enabled the miner to reduce accumulated coal at mine pitheads by around 55 MT during the period.
Despite the stock liquidation, CIL said approximately 76 MT of coal remains available at its pitheads, providing sufficient inventory to support power generation requirements over the coming months.
The company is now preparing to ramp up both production and supplies as intense rainy spells gradually recede and the relatively drier mining months begin, which typically allow higher mine output and smoother coal evacuation.