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KNR Constructions Limited has secured a major coal mining contract through its joint venture, KNR-SIML (JV), after receiving a Letter of Acceptance (LoA) from South Eastern Coalfields Limited (SECL), a subsidiary of Coal India Limited. The contract is valued at ₹3,361.11 crore, excluding GST.
The joint venture is led by KNR Constructions, which holds a 51% stake, while Sushee Infra & Mining Limited owns the remaining 49%. The project will be executed at the Kusmunda Open Cast Project (OCP) in Chhattisgarh and is scheduled to run for 2,920 days, or nearly eight years, on an item-rate basis.
The scope of work includes large-scale overburden removal, mechanized coal extraction, and related transportation and logistics activities. As part of the contract, the JV will undertake the excavation, transportation, and disposal of approximately 258.15 million cubic metres of overburden, maintaining a minimum daily handling capacity of 88,410 cubic metres. The work involves removing soft soil and silt as well as excavating hard rock and inter-burden formations using heavy earthmoving and drilling equipment.
A significant aspect of the project is the deployment of surface miners equipped with dust suppression systems for mechanical coal cutting, reducing reliance on conventional drilling and blasting methods. The consortium is responsible for extracting approximately 142.89 million tonnes of coal, with a minimum daily production target of 48,934 tonnes.
The contract further covers coal handling, loading, and transportation operations. Extracted coal will be mechanically loaded using payloaders and transported through a fleet of tippers to designated destinations, including stockyards, railway sidings such as Gevra and NK-2, and in-pit conveyor systems.
The award marks a significant addition to KNR Constructions’ mining portfolio and strengthens its presence in the coal sector through a long-term project that combines large-scale excavation, mechanized mining, and integrated logistics operations at one of SECL’s key mining complexes.
News by Rahul Yelligetti.
