Strategic Diversification of NMDC – Commencement of Coal Mining in Tokisud North Coal Mine, Jharkhand

NMDC today marked the commencement of coal mining operations at the Tokisud North Coal Mine in Hazaribagh district, Jharkhand. The inauguration on 23 January 2026 signifies NMDC’s formal entry into coal mining and represents a major milestone in the company’s strategic expansion beyond iron ore, strengthening its footprint in eastern India.

The Tokisud North Coal Mine is a key step in NMDC’s strategic diversification journey, complementing its established presence in iron ore mining, diamond mining, and overseas gold projects. The addition of coal mining capacity is expected to augment domestic coal availability, support the power sector, and reinforce India’s energy security in alignment with the vision of Viksit Bharat.
 

The strategic direction of NMDC’s diversification aligns with the national vision articulated by Prime Minister Narendra Modi. In his address on August 15, 2025, the Hon’ble Prime Minister underscored the importance of mineral self-reliance, stating that “Self-reliance in critical minerals is very essential for us too. Be it the energy sector, industry sector, defence sector or any other technology sector, today critical minerals play a very important role in technology and hence we have launched the National Critical Mission. Exploration campaigns are underway in more than 1,200 locations, and we are moving towards becoming self-reliant in critical minerals as well.”

Emphasising the importance of strategic diversification, H. D. Kumaraswamy, Union Minister of Steel and Heavy Industries, stated that “NMDC must transition from a single-mineral focus to a strategically diversified, future-ready mining company. NMDC needs to align its investments with national policy priorities by expanding into coal, critical minerals, and other strategic resource domains. This diversification is essential to strengthening India’s resource security and long-term economic resilience.”

The Tokisud North project underscores NMDC’s proven capabilities in the development and operationalisation of large-scale greenfield mining projects. Drawing on its long-standing legacy of responsible and sustainable mining, NMDC remains committed to maintaining the highest standards of safety, environmental stewardship, and community engagement at the mine.

The coal mine is also expected to contribute significantly to inclusive regional development in Jharkhand through employment generation, infrastructure development, and socio-economic growth in the surrounding areas, reinforcing NMDC’s role as a key driver of national development through strategic mineral diversification.