COALINDIA

Coal India was being incorporated as a private limited company with the company name as the ‘Coal Mines Authority Limited’, also under the Companies Act, 1956, being amended (“the Companies Act”) on June 14, 1973, according to a shareholder’s resolution on October 15, 1975 and also approval of the Ministry of Law, Justice and the Company Affairs as on October 21, 1975, and soon its name was changed to ‘Coal India Limited.’ Soon, it received a fresh certificate of incorporation being consequent upon name change on October 21, 1975, from the Registrar of Companies, in West Bengal (“the RoC”). Soon after, according to a resolution passed by the shareholders as on February 16, 2010, and approval of the Ministry of Coal, it was being converted into a public limited company with effect from February 24, 2010. Also, established in 1973, the company is wholly-owned by the GoI. Its coal production operations are mainly carried out via seven of its wholly-owned subsidiaries in India. Besides, the other wholly-owned subsidiary named as, CMPDIL, carries out several exploration activities for its subsidiaries and also offers technical & consultancy services for its operations and to the third-party clients for coal exploration, processing, mining, and associated activities. On April 1, 2010, it had the total coal resources of about 64,786 million tons, that comprised, and according to the ISP classifications, also proved Geological Reserves of about 52,546 million tons, and Indicated Geological Reserves of about 10,298 million tons and about Inferred Geological Reserves of 1,942 million tons.

Business Divisions of the company:

The Company is the largest coal-producing company in the world and also based on the company’s raw coal production of about 431.26 million tons in the fiscal year 2010. On March 31, 2010, it operated 471 mines in 21 major coalfields in 8 states in India that include 163 open cast mines, and 273 underground mines, and 35 mixed mines that include both opencast and underground mines. Also, it produces non-coking coal and coking coal of many grades for different applications. The 11 coalfields in which it conducts its most vital mining operations in the Singrauli, Korba, Talcher, IB Valley, Wardha Valley, North Karanpura, Jharia, Central India Coalfields, Rajmahal/Deogarh, Raniganj, and East Bokaro coalfields. Also, its customers include large thermal power generation companies, and steel & cement producers and the other industrial companies in both the private and public sector with many, who has long-standing relationships with the company. Also, the majority of its coal is used in the thermal power sector in India. And NTPC, which is a public sector power generation company & utility, has been its most significant customer, and its five largest customers are all public sector power utilities.

Some of the subsidiaries:

It has 9 direct Subsidiaries and 2 indirect Subsidiaries. They all are as follows:–

Direct Subsidiaries:

Some of the Indian Subsidiaries:

• Bharat Coking Coal Limited (or BCCL)
• Central Coalfields Limited (or CCL)
• Central Mine Planning & Design Institute Limited
• Eastern Coalfields Limited (or ECL)
• Mahanadi Coalfields Limited (or MCL)
• Northern Coalfields Limited (or NCL)
• South Eastern Coalfields Limited (or ESCL)
• Western Coalfields Limited (or WCL)

Some of the Foreign Subsidiary:

Coal India Africana Limitada (or CIAL). The following are its indirect Subsidiaries that are held via its Subsidiary, Mahanadi Coalfields Limited:

1. MJSJ Coal Limited
2. MNH Shakti Limited

Some of the Milestones:

• 1973-74: The nationalization of coal mines, for providing higher growth in the coal sector to meet the growing energy needs of India.
• 1973-74: The incorporation of the Company took place as ‘Coal Mines Authority Limited.
• 1975-76: The company name was changed to ‘Coal India Limited.’
• Also, the incorporation of ECL, CMPDIL, and WCL, and also the formation of CCL, BCCL, CMPDIL, ECL, and WCL, as its subsidiaries.
• 1997-98: The Corporatization of the financial flow among the Company and Subsidiaries, such that the Company received only dividends under the applicable policy from its Subsidiaries as well as the corpus of the Company was to be utilized to offer strategic support to a loss-making entity only for, managing their productive capital assets.
• Loan Sanction of $1.03 billion from the World Bank as well as the Japanese Bank for International Cooperation for executing 24 highly viable open case projects, along with global sourcing of types of equipment, and of which $84.40 million was being availed during the period among Fiscal 1998 to Fiscal 2004.
• 2001-02: Also, laying down a minimum internal rate of return of about 12% at 85% capacity utilization as being cut off for the development of a project.
• Also, the launch of the sale of coal via the ‘e-auction method.’
• Both ECL and BCCL reported a profit of INR 363.8 crore and INR 202.67 crores in Fiscal 2006.
• 2006-07: Also, the decline in debt as a percentage of net worth from 66% in 2001-2002 to 10% in 2006-2007.
• 2008-09: An overall production of coal by the Company as well as its Subsidiaries also crossed 400 million tonnes.
• 2009-10: The establishment of Coal India Africana Limitada that was a foreign subsidiary in Mozambique.
• And, the conversion of the Company converted into a public limited company.

Some of the Accreditations:

• 2011: It was conferred with the ''Century International Quality ERA Award (or CQE)'' in the Gold Category in recognition of commitment to Leadership, Quality, Technology, and Innovation.
• 2012:
• Coal India Limited (CIL) the Maharatna coal mining monolith was awarded the ''IPE CSR Corporate Governance Award 2012'' for its outstanding success in Corporate Social Responsibility.
• It was named to 'Platts Top 250 Global Energy Company Rankings' for 2012 for having distinguished itself via its remarkable performance last year.
• CMPDI or Central Mine Planning & Design Institute, which is the Ranchi based mine consultancy arm of Coal India Limited (CIL) also received the reputed ''Geospatial World Excellence Award 2012'' as on 24th April 2012, in Amsterdam, Netherlands.
• 2013:
• It bags 1st prize in the corporate offices' category for the best implementation of Official Language Policy of the Union by TOLIC or Town Official Language Implementation Committee (PSU), Kolkata on the occasion of the prize distribution ceremony-cum-Half-yearly meeting being held on 30.08.2013.
• CIL or Coal India Limited, the Maharatna coal mining PSU was also conferred with the two Corporate Social Responsibility Awards as on 18 February 2013- on the World CSR Day.
• CIL or Coal India Limited, which is the Maharatna PSU, was being conferred with 'Best Geospatial Application in an Enterprise' Award, as on 22 January 2013, by both Geospatial Media and Communications Pvt. Ltd.