Northern Coalfields is the only subsidiary of CIL that managed to avoid dropping production in April and May, when the company as a whole reported a decrease in output of more than 10% during the Covid 19 slowdown.
NCL, a Madhya Pradesh-based coal producer, produced 8.73 million tons of coal, which accounted for 96 per cent of the month's targeted production, and was able to stop a drop in growth compared to the previous corresponding period when coal production was hindered in many subsidiaries.
NCL, the third largest coal-producing affiliate, contributed 18 percent of CIL 's total coal production to 602.13 million tons in 2019-20. For two consecutive financial years, NCL hit its production target four days before the end of the fiscal year. The production of FY 20 NCL amounted to 108,05 million tonnes, or 102 per cent of its target.
During the first 15 days of May, NCL produced 4.32 million tonnes, an increase of 2.5% over the comparable period last year. It was the only CIL subsidiary to have registered growth. NCL expects to generate 113.25 MT during the current fiscal year, with a growth rate of 4.8 per cent.
"Generally , the rate of production for coal companies is increasing in the second half of the fiscal year and, in particular, in the fourth quarter. With growth patterns under its NCL belt, the past target could also be set this year, "said the company executive.
NCL has concentrated on removing the top soil needed for access to coal seams and through production when demand picks up. During April, the subsidiary extracted 29.33 million cubic meters of topsoil, an increase of 6.8 per cent compared to the same month last year. The first 15 days of May 20 saw a 15% rise in topsoil removal.
"The method of removing topsoil and stones is an important performance criteria because it enhances mine structure and opens coal seam to future mining operations. This also makes mining easier to run, "said the executive.