Coal India Limited (CIL) recorded a 27% year-on-year capex growth, with capital expenditure rising to ₹7,966 crore during the first half of FY 2026-27. The company exceeded its planned outlay for the period by 9%, as investments in mining infrastructure, land acquisition and equipment procurement remained key spending areas.
The company had incurred capital expenditure of ₹6,283 crore during April-September FY 2025-26. Coal India capex during H1 FY27 exceeded the target of ₹7,286 crore, achieving 109% of the planned outlay and accounting for more than 48% of its annual capex target of ₹16,500 crore.
Mine infrastructure development accounted for the largest share of expenditure during the six-month period, attracting ₹2,152 crore. The investments covered railway sidings and corridors, coal handling plants, silos and weighbridges aimed at strengthening coal evacuation and handling infrastructure.
Land acquisition was another major component, with Coal India spending ₹2,033 crore under this category during H1 FY27. The company also incurred more than ₹1,000 crore on mine development to support the expansion and operational readiness of mining projects.
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Plant and machinery, diversification projects attract investments
Coal India’s expenditure on plant and machinery stood at ₹1,394 crore during April-September FY27. The spending included heavy earth moving machinery (HEMM), washeries and other equipment. Of this amount, ₹452 crore was allocated to HEMM procurement to strengthen mining operations and improve operational efficiency.
The state-owned coal producer also continued to invest in business diversification, spending more than ₹739 crore on projects involving solar energy, critical minerals, coal gasification and thermal power generation.
Mine infrastructure, plant and machinery, land acquisition and diversification together accounted for more than 79% of Coal India’s total capital expenditure during the first half of the financial year.
Coal India targets ₹16,500 crore capex in FY27
Coal India has set an annual capital expenditure target of ₹16,500 crore for FY 2026-27. The ₹7,966 crore spent during H1 represents more than 48% of the full-year target. The company expects its investments in mining infrastructure, equipment, land acquisition and diversification projects to strengthen operational capabilities and support its production and supply targets for the ongoing financial year.
