Shares of Prakash Industries Ltd surged 7.59% on Monday, 25 November, after the company announced that the Chhattisgarh government had signed a mining lease in its favour.

In its regulatory filing, the company said, “Mining Lease has been duly registered in favour of the company for mining of coal over a period of 30 years for its Bhaskarpara Commercial Coal Mine in District Surajpu, Chhattisgarh.  Now, the company will start overburden removal by next month and thereafter the coal extraction is expected to commence in the next quarter.”

The business added that the coal supply from this mine will result in considerable cost savings and stability for the company’s integrated steel operations. Furthermore, as this is a commercial mine, selling coal on the open market will increase earnings and profitability.

The main operations of Prakash Industries have been the production and distribution of steel goods as well as the production of electricity.

For the second quarter of 2024–2025, Prakash Industries reported revenue of Rs 1,082.77 crore, a 19.62% year-over-year growth. However, compared to the prior quarter, the company’s revenue decreased by 7.7% on a quarterly basis.

In Q2 2024-2025, the company’s net profit increased 1.07% year over year to Rs 90.39 crore. In comparison to the preceding three months, net profit decreased by 0.11% on a quarterly basis.

At 11:44 am, the shares of Prakash Industries were trading 3.91% higher at Rs 169.08 on NSE.

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