Borewells driven in the now famous peasant Mr Jambulinga Mudhaliyar's land in 1935 revealed the presence of 'black particles'. The analysis of the 'black particles' led to the discovery of a huge lignite reserve beneath the areas in and around Neyveli. The Neyveli Lignite Corporation was formed as a Corporate Body in 1956 under the Government of India. It is still a Central Government Public Sector Undertaking (PSU). Mining of first lignite seam started in 1962. The first thermal power station was commissioned in 1962 with a capacity of 600 MW. The current capacity of the thermal power stations in Neyveli exceeds 2500 MW
