Gujarat's Mining Boom: GMDC to Open Six New Lignite Mines by 2027

Gujarat Mineral Development Corporation (GMDC) is set to operationalise six new lignite mines by the financial year 2026–27, responding to rising industrial demand for fuel. At present, GMDC runs four lignite mines—Mata No Madh, Umarsar, Tadkeshwar, and Rajpardi—following the closure of one.

According to Roopwant Singh, Managing Director of GMDC, “By the turn of this decade, we would have only one which is growing and probably 1 or 2 which are petering out.” Despite this, the company expects a 10–15% increase in lignite output from its existing operational mines this year.

Significant progress is being made at three upcoming lignite projects—Lakhpat (Kutch), Walia, and Damlai (Bharuch)—all of which are in various stages of obtaining statutory clearances. While these are considered long-gestation ventures, GMDC anticipates initial expenditures and movement of volumes to begin next year.

In addition to its lignite operations, GMDC is expanding its presence in coal mining with three coal blocks in Odisha—Burapahar, Kundali, and Lubri—collectively estimated to hold 2,095 million tonnes of reserves. This marks a strategic enhancement of the company’s coal portfolio.

News by Rahul Yelligetti