SCCL Denies Privatisation Plans for Underground Mines, Reassures Workers

Singareni Collieries Company Limited (SCCL) management has firmly denied proposals to privatise its underground coal mines, dismissing recent reports regarding privatisation as completely false. The state-run mining company issued a clarification from Hyderabad on Wednesday, addressing claims surrounding its operations.

SCCL officials clarified that active coal production is currently underway across 21 underground mines and 17 opencast mines. Management stated that despite facing financial losses in underground operations, the company will continue running them to safeguard employee job security.

The management highlighted that SCCL's core objective remains boosting coal production while cutting operational expenses to guide the underground mines back toward financial profitability.

Addressing concerns over an Expression of Interest (EOI) floated for the Shanthikhani mine in Mandamarri, located in Mancherial district, the management explained that the move was solely an exploratory pilot study. The exercise was designed to evaluate whether a Mine Developer and Operator (MDO) model could help curb operational losses and reduce expenditure, rather than serve as a transition toward privatization.

According to the company, the narrative linking the Shanthikhani EOI to a broader privatisation initiative is factually incorrect. SCCL noted that the EOI process for the Shanthikhani mine was formally withdrawn after it received no response from participants.

Singareni management issued an appeal to both the public and media outlets, requesting them to refrain from circulating unverified reports that could create unnecessary anxiety among mine workers and their families.