Sical Logistics Wins ₹5.35 Bln Coalfields Contract

Nikunj Parikh - Mumbai Bureau Sep 02, 2026 2,300 Views

Sical Logistics Limited has received a five-year contract worth ₹5.35 billion from Central Coalfields Limited for overburden removal and coal extraction at the SDOC Mine in Jharkhand's Bokaro district.

Letter of Acceptance for Dhori Area Project

Sical Logistics Limited announced that it has received an official Letter of Acceptance dated September 1, 2026, from M/s Central Coalfields Limited. The contract involves the hiring of heavy earthmoving machinery (HEMM) for overburden (OB) removal, encompassing 201.355 lakh cubic meters of re-handling and 336.533 lakh cubic meters of hard overburden, alongside the extraction of 91.036 lakh tonnes of coal.

The operations will take place within a diverted 143-hectare patch of lower seams at the SDOC Mine located in the Dhori Area of Bokaro District, Jharkhand. The total value of the five-year contract stands at ₹534,73,08,872.24, which is inclusive of 18% GST. The project execution period spans exactly five years, equivalent to 1,825 days, adhering to the e-tender guidelines issued under NIT No. CCL/GM(CMC)/DHORI/GeM/2026/10.

Corporate Context and Regulatory Disclosures

Operating from its registered office on Armenian Street in Chennai, Sical Logistics is a prominent player in integrated logistics and supply chain solutions, functioning as part of the Pristine Group. The company confirmed that the contract awarded by Central Coalfields Limited—a domestic entity—does not involve any promoter group interests or related-party transactions, ensuring execution strictly at arm's length.

The formal disclosure was authorized by Whole-time Director Seshadri Rajappan and submitted to stock exchanges pursuant to Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. Securing this large-scale mining and extraction project reinforces Sical Logistics' operational capabilities in heavy infrastructure support and resource handling.

Impact on Regional Industry and Investors

For the regional economy in Jharkhand's Bokaro district and the broader domestic energy sector, the deployment of advanced heavy earthmoving machinery accelerates mineral extraction efficiencies and supports sustained coal output for power and industrial consumption.

For investors and market stakeholders, securing a multi-year contract valued at over 5.35 billion rupees provides long-term revenue visibility, cementing Sical Logistics' footprint in high-value mining logistics and earthmoving operations.

Official Sources and Statements

According to official regulatory filings submitted to BSE Limited and the National Stock Exchange of India Limited by Sical Logistics Limited, the award details comply with statutory transparency guidelines under the SEBI Master Circular.

"According to officials, the contract encompasses comprehensive overburden removal and coal extraction over a five-year operational timeline in the Dhori Area of Jharkhand."

Key Facts at a Glance

Contracting Authority: M/s Central Coalfields Limited.
Executing Entity: Sical Logistics Limited.
Total Contract Value: ₹534,73,08,872.24 (inclusive of 18% GST).
Project Location: SDOC Mine, Dhori Area, Bokaro District, Jharkhand.
Contract Duration: Five years (1,825 days).

Frequently Asked Questions

What is the total value of the contract awarded to Sical Logistics? The total contract value is ₹534,73,08,872.24, including 18% GST.
Who awarded the Letter of Acceptance to Sical Logistics? The letter was issued by M/s Central Coalfields Limited.
What is the duration of the newly awarded mining contract? The contract execution period is set for five years, covering 1,825 days.
Where will the project operations be conducted? Operations will take place in the diverted 143-hectare patch of lower seams of the SDOC Mine in the Dhori Area of Bokaro District, Jharkhand.