Singareni to upgrade Adriyala Longwall Project

Informing that OCP-II has been linked to Adriyala project, he hoped that the face of ALP would be changed after one year since they have fixed a target to extract 10,000 tons of coal per day as against 5,000 to 6,000 tons. 7,000 tons production was enough to reach the breakeven point, he informed.

Peddapalli: The Singareni Collieries Company Limited (SCCL) management has decided to upgrade Adriyala Longwall Project, Asia’s largest underground coal mine. Located in Ramagundam-III area, Adriyala mine has unique features such as punch entry to access coal seam directly from opencast (OCP-II) high wall, Air chilling plant, concret road to transport material inside the mine, high capacity belt conveyor and others.

Though the project is running in losses, the SCCL management has decided to upgrade the mine since it has 30 years of life. As part of its plans, the management is contemplating to introduce the shaft system (Man Winding Shaft) to take employees to the workplace in a swift manner.

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1,750 regular employees and about 600 contract workers are working in the mines. Vehicles are being used to transport employees to work places being done in seven seams. Presently, it is taking one and half hours to transport workers to the workplace.

If the shaft is introduced, workers would reach 620 meter depth within ten minutes, informed K Venkateshwarlu, General Manager, Adriyala Project Area.

Interacting with media persons at project site, GM informed that they have proposed for the shaft to be developed in Adriyal project since it would be more helpful. Presently, shaft system is there in Shanthikhani coal mine in Bellampalli.

Informing that OCP-II has been linked to Adriyala project, he hoped that the face of ALP would be changed after one year since they have fixed a target to extract 10,000 tons of coal per day as against 5,000 to 6,000 tons. 7,000 tons production was enough to reach the breakeven point, he informed.

Since the project has a 30 years life, they have to purchase the equipment, which is being used to operate the mine, three times in the future. When asked about income generation of the project, GM informed that presently, ALP was running in losses.

The company got Rs 37 lakh loss in 2022-23 financial year while Rs 63 lakh loss occurred in 2023-24. SCCL has to bear Rs 4,000 to Rs 5,000 loss on the production of a ton of coal in UG mine.

Stating that the loss was natural in UG mines, he said that the company was bearing it for the sake of 39,000 employees working in 22 underground and 18 opencast mines in the entire Singareni.

Moreover, the production was essential to meet the coal needs of various industries. When compared to Singareni, the production cost was less in Coal India.

In Singareni, about 8 to 10 cubic meter of soil (over burden) has to be removed to produce one ton of coal. Whereas, one cubic meter OB was enough in coal India, he informed. Talking about the grade of coal being produced in SCCL, GM said D, E, F grade coal was being produced in Singareni.

D grade coal has a price of Rs 4,500 per ton in the market. Next year, 30 percent D grade coal would be produced in the ALP project and the remaining would be F grade. A majority of the SCCL coal is being utilized for power generation.