The project cost is estimated at Rs.3600Cr and will stretch from Ramagundam (Peddapalli) to Manuguru (Bhadradri Kothagudem). It forms part of a vital supply chain for moving coal from the Telangana belt to various regions across the country. The route is often referred as the coal corridor, particularly connecting to the Singareni coal mining regions of Ramagundam and Bhadrachalam. In addition, the railway line will enable a convenient route for passengers travelling from the tribal regions to the nation’s capital, New Delhi, via Ramagundam, Balarshah, and Nagpur.
A detailed project report has been submitted to the central government regarding the project and land acquisition process is under progress. Additionally, there are plans to establish a railway line linking Kothagudem with Malkangir in Odisha. This will provide access to the eastern state and Chhattisgarh.