Coal India secures ₹2,831 crore order to set up solar plant in Uttar Pradesh; all you need to know

Coal India shares will be in the limelight after the state-owned company on Wednesday, July 1, said it has secured a Letter of Award (LoA) for setting up a solar plant in Uttar Pradesh.

The company said it has received LoA for setting up a 600 MW solar power project, comprising two units of 300 MW each, at the Jalaun Solar Park in Uttar Pradesh. The project will be developed at a tariff of ₹2.73 per kWh.

Estimated to be around ₹2,831.11 crore, the project awarded by Bundelkhand Saur Urja is expected to be executed 18 months from the signing of PPA.

In a regulatory filing, Coal India said the key terms of the contract require the submission of necessary documents as per the LoA, followed by the signing of the Power Purchase Agreement (PPA), Implementation Support Agreement (ISA), and Land Rights Usage Agreement (LRUA).

The company also needs to pay the upfront solar park development charges prior to executing the ISA with Coal India Limited.

Coal production in Q1

In a separate filing, the state-owned company said coal production dropped 7.5% to 169.6 million tonne (MT) in the first quarter of the current fiscal year. The drop came despite robust demand from the power sector, which has seen unprecedented consumption levels this summer.

Coal India, which accounts for over 80% of the country's coal output, produced 183.3 MT in the April-June period of the previous fiscal year.

Coal production by the maharatna firm also dropped marginally by 0.6% to 57.4 MT in June from 57.8 MT in June last year. Coal arms of CIL that registered a negative growth in June include Bharat Coking Coal Ltd (BCCL) and Mahanadi Coalfields Ltd (MCL).

The subsidiaries, which registered positive growth during the month under review, are South Eastern Coalfields (SECL), Eastern Coalfields (ECL), Central Coalfields (CCL) and Western Coalfields (WCL), the filing said.

However, Coal India's offtake, or sales to customers, rose 7.5% to 65.8 MT during the last month over 61.2 MT a year ago. The coal offtake in the April-June period also increased 3.5% to 197.7 MT, over 191 MT in the year-ago period, CIL said.

Coal India share price trends

On Wednesday, Coal India shares were closed at ₹434.75 apiece on the National Stock Exchange, falling 0.98%.

Shares of the firm have slipped 8% over a month, while they have climbed 9% from the beginning of the year.

Shares of the company had touched their one-year high of ₹491.25 apiece on April 30, 2026, while their 52-week low of ₹368.65 was hit on August 28, 2025.

As of July 1, 2026, Coal India has a market capitalisation of ₹2.68 lakh crore, NSE data showed.