GMDC Targets New Lignite Mine Operations by 2026-27.

Gujarat Mineral Development Corporation (GMDC), currently operating with four lignite mines, is aiming to bring some of its six new lignite mines online by the financial year 2026-27. This move is critical for the state-owned enterprise as it faces dwindling reserves from its current operations.

"Till last year, we had five existing lignite mines. Now, we have only four; one has closed down. By the turn of this decade, we would have only one which is growing and probably one or two which are petering out, so production from these mines would be nearing exhaustion," stated Roopwant Singh (IAS), Managing Director, GMDC. The operational mines at Mata No Madh, Umarsar, Tadkeshwar, Rajpardi, and Bhavnagar have historically formed the backbone of the company's lignite production.

Addressing investors recently, Singh expressed optimism for the immediate future of existing operations. "This year we are looking at a growth of 10-15% in the existing lignite business from our four existing mines," he noted.

Regarding the new projects, significant headway has been made on the larger mines that are anticipated to deliver major volumes, specifically Lakhpat in Kutch and Walia and Damlai in Bharuch. These new mines are undergoing various stages of statutory clearances. "These are large and long gestation projects. We will see a lot of progress, some expenditure there, volumes next year onwards," Singh affirmed, signaling a renewed focus on expanding GMDC's lignite output and securing its long-term operational sustainability.