Kothagudem is the main industrial town in Telangana state which is located in Khammam district located about 270 km from Hyderabad. Kothagudem popularly known as coal town is the mandal HQ (Mdl code-17) in Khammam Dt, Telangana. Kothagudem and palvancha are the twin industrial towns in the state. Kothagudem is located at . It has an average elevation of 89 metres (295 ft) above seal level. The North of Kothagudem borders Chhattisgarh state which is approximately 120 km from the town. Kothagudem is the commercial capital of khammam district.
Kothagudem is the headquarters for Singareni Collieries Company Limited, the coal producing company in Telangana state, India. It produces 40 million tonnes of coal every year. The area is endowed with rich forests, industries and landscape. Kothagudem is located very near to the temple town of Lord Rama, known as Bhadrachalam. It is approximately 40 km from Bhadrachalam. The Railway station was originally named "Bhadrachalam Road", being the closest railway station to Bhadrachalam, an important pilgrimage location of Rama.