Jharkhand to Re-auction 62 Closed Coal Mines – Indian PSU

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The Jharkhand government is preparing to re-auction 62 non-operational coal mining leases as part of a major drive to revive dormant mineral assets, improve mineral resource utilisation and crack down on illegal mining across the state.

Mining Secretary Arwa Rajkamal has sought action-taken reports from all District Commissioners (DCs), Superintendents of Police (SPs), Divisional Forest Officers and concerned agencies on the implementation of directives issued by Chief Minister Hemant Soren.

The directions were originally issued during a review meeting of the Department of Mines and Geology chaired by the Chief Minister on June 3, 2026. In a communication dated November 6, the Mining Secretary asked the concerned authorities to expedite action and submit compliance reports.

According to the department, Jharkhand has approximately 165 allocated coal mining leases, of which 103 are operational while around 62 remain closed.

Of the 62 non-operational coal mining leases, 58 have been allotted to Coal India subsidiaries Bharat Coking Coal Limited (BCCL), Central Coalfields Limited (CCL) and Eastern Coalfields Limited (ECL). The remaining four leases belong to Steel Authority of India Limited (SAIL), Tata Steel, Hindalco and Aranya Mines Private Limited.

The Chief Minister has directed the department to review all closed mines and initiate cancellation of leases, followed by fresh auctions, wherever land acquisition, environmental clearance and forest clearance have already been obtained but mining operations have not commenced.

The move is aimed at ensuring that valuable mineral resources are not left unutilised and that mining leases are held by entities capable of commencing operations within the stipulated timelines.

49 Closed Non-Coal Mineral Leases Under Scanner

The government’s review will also cover 49 non-operational mining leases involving major minerals such as iron ore, bauxite, limestone and graphite.

The Chief Minister has directed officials to examine these leases and take appropriate action, including cancellation and re-auction, where statutory clearances and land acquisition have been completed but mining activities have failed to begin.

49 Out of 85 Major Mineral Leases Remain Non-Operational

Jharkhand has approximately 85 allocated leases for major minerals, including iron ore, bauxite, limestone, graphite, copper, uranium, kyanite, gold and manganese.

Of these, only 36 are currently operational, while 49 remain closed.

The department has been asked to review these non-operational leases and initiate action in accordance with mining regulations. Officials have also been directed to prepare a list of expired and lapsed mining leases and initiate fresh auction proceedings.

The government is also exploring the potential for exploration and auction of gold mineral blocks. In addition, proposals are to be prepared for the optimal extraction and transportation of iron ore, keeping the state’s revenue interests in mind.

Auction of Sand Ghats and Crackdown on Illegal Mining

The state government has also intensified its focus on the auction and regulation of sand ghats.

Of the 444 identified sand ghats in Jharkhand, the auction process for 300 has been completed. The Chief Minister has directed officials to expedite the auction of the remaining ghats and ensure that already-auctioned sand ghats become operational.

District administrations, the Forest Department and the State Pollution Control Board have been asked to extend the necessary cooperation to facilitate their operations.

The government has also called for the installation of check posts and CCTV cameras at sand ghats and major transportation routes to monitor the movement of sand and prevent illegal extraction and transportation.

Mining Task Force to Intensify Enforcement

The Chief Minister has directed the State Mining Task Force and district-level task forces to become more active against illegal mining, transportation and storage of coal and other minerals.

The monitoring mechanism is also expected to make greater use of modern technology to track illegal mining activities and unauthorised transportation of minerals.

The government has further directed officials to examine non-operational mining leases where the prescribed period has expired but the leaseholders have failed to obtain mandatory statutory clearances. Such leases are to be reviewed, their Viability Gap Requirement determined as applicable, and the blocks considered for fresh auction in accordance with the rules.

With 62 coal leases and 49 other major mineral leases under scrutiny, the Jharkhand government’s initiative could potentially unlock substantial untapped mineral resources while creating opportunities for fresh investment, employment and additional revenue for the state.



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