Coal mining in Surghar Range was started in 1913 by driving inclines from the outcrop of the coal seam. After the formation of Pakistan, it was declared as an evacuee property and ultimately assumed by the Federal Government in 1949. The mines were transferred to Pakistan Industrial Development Corporation (PMDC) in 1954.
PIDC undertook a major development program with USAID funding, and the services of foreign experts were acquired for the development of coal mines at greater depth. A scheme costing Rs. 16.7 million was executed between 1956 to 1965 for this purpose. This scheme was targeted to increase the annual production capacity to 300, 000 tons per annum. The proposed target could not be achieved due to a major geological disturbance/fault known as the main Makerwal. Maximum production of 218, 000 tons was achieved in 1967-68.