On the back of rising production and off-take performance, Coal India Limited stock price rose by 2.5 per cent to trade at Rs 117.75 in early trade on Monday as the company showed signs of revival in production from a year-ago period. Coal India’s performance in terms of production of coal for the month of January was 10 per cent better than what the company recorded during the same period last year.
In a regulatory filing, Coal India reported that the rise in production was on account of rising production at Central Coalfields Limited, South Eastern coalfields, Mahanadi Coalfields, and Western Coalfields. A growth of 10 per cent year on year was registered, however, the company reported a drop in production during the period of April 2019 – January 2020.
Off-takes at subsidiaries like Northern Coalfields limited, South Eastern coalfields, Mahanadi Coalfields, and Nort-Eastern coalfields registered a growth that helped Coal India increase its off-takes by 6.9 per cent in the month of January 2020, compared to the same period last year.
The Company on February 1, appointed Pramod Agrawal as Chairman-cum-Managing Director after the superannuation of Anil Kumar Jha. Coal India today is the single largest coal producer in the world and one of the largest corporate employer. The company produces around 83% of India’s overall coal production in India, CIL alone meets to the tune of 40% of primary commercial energy requirement.
Coal India was among the stocks that were trading in the green on the Nifty Metal index. Jindal Steel was up by 5.45 or 3.26 per cent, JSW Steel gained 4.25 or 1.74 per cent, while Tata Steel jumped 1.25 or 0.29 per cent. Among the losers were Hindustan Copper Limited that slumped 1.45 to trade at Rs 39.9 down by 3.51 per cent.
After shedding losses during the initial trading hours markets were largely flat BSE Sensex was trading down 4.46 points or 0.01 per cent at 39,731, meanwhile, Nifty 50 was up 9.25 points or 0.08 per cent to trade at 11,671 points.