Coal India arm BCCL steps up coking coal push; eyes ₹20,000 crore revenue by FY30

Bharat Coking Coal Ltd (BCCL), a subsidiary of Coal India, plans to increase its coking coal production to 54 million tonne by the fiscal year 2029-30 (FY30), as India works toward a national target of 140 million tonne to reduce import dependence, senior company officials said.Manoj Kumar Agarwal, Chairman and Managing Director of BCCL, said the company currently produces about 40.5 million tonne of coking coal and accounts for nearly 58.5% of India’s total coking coal output. He said BCCL has reserves of around 8 billion tonne, which ensures long-term availability. “Demand of coking coal will never come down,” Agarwal said.

He said BCCL is increasing coal washing capacity to support steel producers. The company currently has a washing capacity of 13.65 million tonne, which is planned to rise to 27 million tonne in the coming years. He said washed coal is the main raw material for steel and cleaner output will support higher supplies to the sector.

Also Read | Bought Coal India shares before Jan 1, 2026? Here’s some news for youSanjay Kumar Singh, Director (Technical Operations and Projects & Planning) at BCCL, said future production growth will be largely directed toward steel. He said supply to steel is expected to rise from current levels to 9–10 million tonne, nearly a six-fold increase, while supplies to the power sector will remain largely unchanged.

“Our growth from 40 to 54 million tonne is focused towards steel,” Singh said.

Mukesh Agrawal, Director (Finance) at Coal India, said BCCL’s revenue could rise to about ₹20,000 crore by FY30, compared with around ₹13,800 crore earlier, as production scales up.Singh explained that the revenue decline seen in the first half of the current year was due to temporary factors. “It’s a one-time phenomenon,” he said, citing heavy rainfall that disrupted open-cast operations and lower realisations linked to subdued imported coking coal prices, which influence domestic pricing.

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Mukesh Agrawal said Coal India’s planned sale of 10% stake in BCCL, expected to raise about ₹1,071 crore, will be used mainly for diversification projects. He said Coal India has a broader ₹1 lakh crore capital expenditure plan over five years, and there is no fixed timeline yet to dilute the remaining 15% stake permitted under the mandate.

Addressing concerns about coal quality, Manoj Agarwal said Indian coking coal has higher ash content compared with Australian coal, but blending helps meet steel industry requirements. He said this geological characteristic cannot be changed, but washing and blending allow the company to supply usable grades to steel producers.

For the full interview, watch the accompanying video

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