CIL absorbs price shock from rising operational costs

New Delhi: State-owned CIL on Friday said it has absorbed the price shock from rising operational costs, including higher prices of explosives and industrial diesel, as any pass-through would trigger a cascading effect, and stressed that the company is committed to supplying the dry fuel at affordable prices.

Coal India Ltd (CIL), which accounts for over 80 per cent of domestic coal output, is also compensating the increased price of the industrial diesel to contractors operating in its mines, who purchase it in bulk quantities.

The cost of ammonium nitrate, which makes up around 60 per cent of the material composition in the manufacturing of explosives.