New Delhi, July 2 -- The Ministry of Coal has amended the Coal Blocks Allocation Rules, 2026 to allow the use of Insurance Surety Bonds (ISBs) in place of Performance Bank Guarantees (PBGs) for coal blocks allocated under the Mines and Minerals (Development and Regulation) (MMDR) Act, 1957.

Under the amended rules, coal block allottees can choose either a Performance Bank Guarantee or an Insurance Surety Bond to meet their performance security obligations.

Existing allottees will also be permitted to replace Performance Bank Guarantees already submitted with Insurance Surety Bonds, subject to the prescribed conditions.

According to the ministry, the amendment is intended to provide greater financial flexibility by reducing the dependen...