The Ministry of Coal has successfully auctioned six coal blocks under the 15th round of commercial coal mine auctions together with the second attempt of the 13th round.
The blocks are spread across four states — Telangana, Madhya Pradesh, Jharkhand and Chhattisgarh — and the bidding was conducted on 3 and 4 August 2026.
Four of the six blocks are fully explored and two are partially explored, with combined geological reserves of about 1,503.93 million tonnes.
Their cumulative peak rated capacity is 11.62 million tonnes per annum, projected to generate roughly Rs 1,983.67 crore in annual revenue and about 15,710 jobs.
Final bids ranged from 4.50% to 37.50% against reserve prices of 4% or 5%, with capital investment of nearly Rs 1,743 crore expected.
| Block | State |
|---|---|
| Dip Side Ext. of PKOC | Telangana |
| Dongeri Tal-II | Madhya Pradesh |
| Mandla South | Madhya Pradesh |
| Margo West | Jharkhand |
| Margo East | Jharkhand |
| Tara (Revised) | Chhattisgarh |
Commercial coal blocks in India are not sold for a lump sum. Bidders compete on a percentage of revenue share — the proportion of the value of the coal produced that the successful bidder will pay to the state government where the mine lies. The government sets a floor, here 4% or 5%, and the auction proceeds upward from there, which is why the winning bids in this round spanned a wide band from 4.50% to 37.50%. A high bid signals that the bidder expects good quality coal, easy logistics or an assured buyer; a bid barely above the floor usually means the block is difficult or remote. The other number to read alongside it is peak rated capacity, the maximum annual output the mine is permitted to reach, because the revenue share applies to what is actually produced. Reserves tell you how much coal exists in the ground; PRC tells you how fast it may be taken out.
Simple Analogy: It is less like buying a field outright and more like agreeing to hand the landlord a share of every harvest — so the bidder's confidence in the crop is what sets the percentage.
GS Paper 3 > Infrastructure: Energy; Mineral Resources
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Mining of coal for sale in the open market by any eligible entity, as distinct from captive mining tied to a specific end-use plant.
The percentage of the value of coal produced that a successful bidder pays to the state government; the bidding parameter in commercial auctions.
The maximum annual production a coal mine is permitted to reach, expressed in million tonnes per annum.
The total quantity of coal estimated to be present in a block, as against the quantity that can economically be extracted.
A fully explored block has detailed drilling data establishing reserves; a partially explored block leaves exploration risk with the bidder.