JSW Steel Ltd. has been declared the successful bidder by Bharat Coking Coal Limited (BCCL) to operate the Dugda Coal Washery in Jharkhand. The 2 MTPA capacity washery will be under JSW Steel’s management for 25 years, ensuring a steady supply of raw coking coal.
Under this agreement, BCCL will supply raw coking coal to JSW Steel at a 2.35% premium over its notified price. The processed coal will enhance JSW Steel’s raw material security, helping reduce dependence on imported coking coal. Additionally, JSW Energy (Utkal) Limited, a consortium partner, will utilize by-products from the washery at market-linked prices.
JSW Steel has been actively working towards domestic coking coal security. The company is also in the process of commissioning three coking coal mines in India, aiming to optimize costs and enhance supply chain efficiency.
The Letter of Intent (LoI) for the Dugda Coal Washery was issued on March 28, 2025, and received by JSW Steel on March 29, 2025. This move aligns with the company’s strategic focus on strengthening its domestic coal supply and reducing reliance on imports.