Coal India incorporates a JV SNG subsidiary company with GAIL

Coal India Ltd (CIL) received a 51% stake in the newly incorporated company for ₹51,000, including 5,100 shares at ₹10 each. GAIL is a 49% stakeholder in Coal Gas India, having paid ₹49,000, comprising 4,900 equity shares at ₹10. While the paid-up capital aggregated to ₹1 lakh, the authorised share capital stood at ₹11 crore, the regulatory filing said.

Last year, DIPAM and NITI Aayog had approved the formation of the CIL-GAIL joint venture.

The Ministry of Corporate Affairs, GoI, issued Coal Gas India Ltd’s Certificate of Incorporation in an email dated March 25, 2025.

The incorporation aims to set up the Coal to Synthetic Natural Gas (SNG) business and will utilise the end product, SNG, or any other product manufactured from Syn Gas, following studies and due diligence.

The company will carry on all kinds of business related to manufacturing SNG, various organic and inorganic chemical compounds and products of all types.

This includes setting up necessary plants, captive coal mining, coal beneficiation, and import of coal equipment and infrastructure facilities, CIL said in a regulatory filing.

Coal India accounts for over 80% of domestic coal output.

Coal India share performance

Shares of Coal India settled at ₹398.30 apiece, down 1.90% on the National Stock Exchange (NSE). It was among the top losers in the NIFTY50 space on Tuesday.

The stock gained 7.16% over the last eight days and 7.84% since the beginning of March. The scrip surged 3.68% on a year-to-date basis.

The state-owned company touched its 52-week low of ₹349.25 on February 17, 2025, and its high of ₹543.55 on August 26, 2024.

CIL has a total market capitalisation of ₹2.45 lakh crore as of March 25, 2025, on the NSE.