### **SECMC to Increase Thar Coal Production by 47% from September 2026**

New-SECMC

### **SECMC to Increase Thar Coal Production by 47% from September 2026**

**KARACHI:** Sindh Engro Coal Mining Company (SECMC) is set to increase coal production from Thar Block-II by 47%, raising annual output from the current 7.6 million tonnes to 11.2 million tonnes from September 2026, as part of its ongoing expansion strategy.

Announcing the **Mining Technical Conference 2026**, scheduled for **Thursday, August 6, 2026**, SECMC Chief Executive Officer **Amir Iqbal** said the company has made a cumulative investment of **US$1.4 billion** in the Thar coal project since 2019, with additional investments planned for future expansion phases.

“The SECMC is currently producing 7.6 million tonnes of coal annually, which will increase to 11.2 million tonnes per annum from September 2026,” Iqbal told journalists.

He said the increased production will enable SECMC to fully meet the **3.6 million tonnes per annum** coal requirement of **Lucky Electric Power Company Limited (LEPCL)** in Karachi, allowing the power plant to completely transition from imported coal to indigenous Thar coal starting next month.

According to Iqbal, the shift will significantly reduce Pakistan’s reliance on imported coal from Indonesia, helping conserve valuable foreign exchange reserves.

He noted that even after including transportation costs from Thar to Karachi, locally mined lignite remains **8–10% cheaper** than imported coal, making it a more economical fuel source for power generation.

“The production of coal from Thar Block-II has helped Pakistan save approximately **US$1.7 billion** in energy import costs since 2019,” he added.

Looking ahead, Iqbal said SECMC plans to increase annual coal production to **20 million tonnes** under **Phase-IV**, targeted for completion by **2030**.

He added that higher production volumes would further reduce mining costs and could eventually create opportunities for coal exports, while continuing to strengthen Pakistan’s energy security through greater reliance on domestic resources.

Iqbal also shared an update on infrastructure development, stating that the **Thar–Chhor railway line** for coal transportation is expected to be completed in the early part of next year. Once operational, the railway will facilitate efficient transportation of Thar coal to power plants across the country, further improving supply chain efficiency and reducing logistics costs.

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