CIL plans to monetise 4 old washeries, aimed at long term supply contract

State-owned Coa India Ltd is exploring options to monetise its four old washeries by leasing out those assets and plans to bundle lease contracts with long-term coal supply agreements.

The move aims at optimising asset utilisation.

"We are exploring the monetisation of four old washeries," Coal India Ltd (CIL) said in a report.

The company which accounts for over 80 per cent of domestic coal output is diversifying its portfolio by setting up a non-coking coal washery at Ib Valley, Lakhanpur in Mahanadi Coalfields Ltd (MCL) -- one of the subsidiaries of CIL.

The public sector enterprise commissioned the operation of Madhuband Washery having 5 million tonnes of annual capacity during 2023-24 to further enhance coking coal beneficiation capacity.

The company is also setting up three new washeries in Bharat Coking Coal Ltd (BCCL) -- another arm of CIL -- with a total throughput capacity of seven million tonnes per annum.

Besides, five coking coal washeries with a total capacity of 14