What will Coal India do with its huge cash ?

Coal India Holds Cash of over 45000 cr as on 31^st March 2011. During last ten year, since 2001 when cash balance was around 1000 cr, every year cash balance has gone up to reach this level, even after spending for capex.

I can imagine if this trend continues, Coal India will be having more than 1 lac cr in cash in next 5 years. Even if we take into account all the expansions that Coal India proposes to undertake in next 5 years, it will not be able to use this mammoth cash and future its cash flows.

Co or the Govt. must find better use of this money rather than keeping the same in the bank. It is pity that when entire power and other  sectors in the country is starved of coal, Coal India  keeps on adding cash balance year after year. Can’t the company become more aggressive in opening more mines and help the country in developing infrastructure.

We blame shortage of funds for our poor infrastructure but when it is available there is no taker.