Ministry of Coal Advances Self-Reliance with New Allotments Under Azadi Ka Amrit Mahotsav
In a major step towards bolstering domestic coal production and achieving energy self-sufficiency, the Ministry of Coal successfully auctioned seven coal blocks during the 12th round of commercial coal mining, held from July 28 to July 31, 2025. This round marks another significant milestone in India’s ongoing energy reforms under the broader vision of ‘Atmanirbhar Bharat’.
Launched on March 27, 2025, the 12th round attracted robust participation from the private sector, reflecting strong investor confidence in India’s coal sector. Of the seven coal blocks auctioned, three are fully explored, and four are partially explored, collectively representing geological reserves of approximately 1,761.49 million tonnes.
Auction Summary
The Peak Rated Capacity (PRC) of the fully explored blocks is 5.25 million tonnes per annum (MTPA), and all seven blocks are non-coking in nature. Below is a summary of the auction outcomes:
| S. No. | Block Name | State | PRC (MTPA) | Geological Reserves (MT) | Bidder | Reserve Price (%) | Final Offer (%) |
|---|---|---|---|---|---|---|---|
| 1 | Chitarpur (Revised) | Jharkhand | 3.45 | 237.44 | Orissa Alloy Steel Pvt. Ltd. | 4.00 | 14.75 |
| 2 | Mahuagarhi | Jharkhand | NA | 305.95 | Damodar Valley Corporation | 4.00 | 7.00 |
| 3 | Rajgamar Dipside (Deavnara) | Chhattisgarh | 1.00 | 78.46 | TMC Mineral Resources Pvt. Ltd. | 4.00 | 31.50 |
| 4 | Rajgamar Dipside (South of Phulakdih Nala) | Chhattisgarh | 0.80 | 61.70 | Mivaan Steels Ltd. | 4.00 | 31.50 |
| 5 | Cholapathar | Jharkhand | NA | 25.00 | Shakti Bhumi Mining Pvt. Ltd. | 4.00 | 27.25 |
| 6 | Phutamura | Chhattisgarh | NA | 170.54 | Alom Solar Pvt. Ltd. | 4.00 | 65.25 |
| 7 | West of Tubed | Jharkhand | NA | 882.40 | Oriental Quarries and Mines Pvt. Ltd. | 4.00 | 9.50 |
The average revenue share from the auctions stood at an impressive 26.70%, signaling strong market interest and competitive bidding.
Economic and Employment Impact
These newly auctioned coal blocks are projected to generate an annual revenue of ₹719.90 crore (excluding partially explored blocks) and attract a capital investment of approximately ₹787.50 crore. In terms of employment, they are expected to create around 7,098 direct jobs in coal-bearing regions, contributing significantly to local economic development.
Progress Since 2020
Since the launch of commercial coal mining in 2020, the Ministry has successfully auctioned 131 coal blocks, with a cumulative peak rated production capacity of 277.31 million tonnes per year. Once operational, these blocks are expected to:
- Generate ₹39,359 crore in annual revenue
- Attract ₹41,597 crore in capital investment
- Create employment opportunities for 3,74,916 people
Vision for a Self-Reliant Energy Sector
These auctions are part of a broader strategy by the Ministry of Coal to transform the coal sector into a robust pillar of India’s economy. Through transparent auction processes, simplified rules, and proactive governance, the Ministry continues to facilitate private participation while addressing the country’s growing energy demands.
The successful culmination of the 12th round of auctions reflects not only the sector’s resilience but also its readiness to contribute meaningfully to India’s journey toward self-reliance and energy security.