Sambalpur: Mahanadi Coalfields Limited (MCL) is prepared to recommence coal production from the Talcher colliery, which dates back to 1928, in the August district of Odisha, according to an official statement. The company has issued a Letter of Acceptance (LOA) under the Mine Developer cum Operator (MDO) Mode to TMC Mineral Resources Private Limited, the entity responsible for revitalizing coal mining at the Talcher underground mine. The mine holds an estimated coal reserve of 11 million tonnes.

Upon the commencement of operations and a gradual increase in production capacity, the mine is projected to achieve a peak production level of 360,000 tonnes per annum starting from the fifth year of the project's initiation.

Having been developed using the Bord & Pillar method, this 95-year-old underground mine has its origins in 1928 when it was initiated by the Madras and Southern Maharatta Railway (MSM Railway). Following changes in ownership, the Talcher UG was ultimately transferred to MCL in 1992, which now stands as the largest coal-producing subsidiary of Coal India.

A team of 18 subject-expert officers from various departments at MCL collaborated with the Department of Contract Management at MCL HQs for over 10 months to strategically plan and execute the revival of Talcher UG through the MDO mode.

Commending the team for their successful efforts, MCL's Chairman-cum-Managing Director, OP Singh, expressed, "We are dedicated to ensuring a sufficient quantity of coal for our diverse consumers and the resumption of coal production from Talcher underground."

The reopening of the Talcher UG marks a significant milestone in revitalizing underground coal production in the region, aligning with the Government of India's commitment to promoting responsible coal mining and efficient utilization of the nation's natural resources.

This public-private partnership (PPP) between MCL and TMC Mineral Resources Private Limited, operating under a revenue-sharing model, is expected to create a mutually beneficial scenario that supports economic growth while ensuring sustainable mining practices for a better and greener future, as stated by an MCL official.

With minimal direct investment in this 25-year arrangement, MCL aims to generate revenue of Rs 111 crore and also provide employment opportunities for numerous skilled youth in Talcher.