IRCON International and Coal India sign MoU to boost rail infrastructure development

IRCON International Ltd. and Coal India Ltd. have signed a Memorandum of Understanding (MoU) to collaborate on the development of rail infrastructure projects across India. The agreement was formalized in Kolkata on October 8, 2025, with the official announcement made later the same day.

The partnership aims to strengthen logistics connectivity for coal transportation by enhancing railway infrastructure supporting Coal India’s operations. The initiative is expected to improve the evacuation of coal from mines to end-users, aligning with the government’s broader push for efficient, sustainable freight movement.

IRCON International, a leading public sector engineering and construction enterprise under the Ministry of Railways, specializes in turnkey railway projects and diversified infrastructure works. Over the years, the company has expanded its expertise to include roads, metro rail systems, buildings, airports, and electrical substations.

Financially, IRCON reported a consolidated net profit of ₹164.10 crore for Q1 FY26, down 26.75% from ₹224.03 crore in the corresponding quarter of FY25. Revenue from operations also declined by 21.89% year-on-year to ₹1,786.28 crore.

Coal India Ltd., the world’s largest coal producer, remains majority-owned by the Government of India, which holds a 63.13% stake as of June 30, 2025. The company posted a 20% decline in consolidated net profit to ₹8,734 crore for Q1 FY26, while net sales fell 4% to ₹31,880 crore compared with the same period last year.

The MoU marks a strategic step toward improving coal supply chain efficiency and enhancing the nation’s transport infrastructure through coordinated rail development.