Coal is the major source of energy in India, where 66% of the thermal power is generated from different grades of coal. The surging energy demand for domestic and industrial sectors has accelerated coal production through intensive coal mining from existing mines and there is exploration for potential areas across the Country. More than 80% of the coal excavated from open cast mining, which is a damaging form of mining that is often associated with undesirable land use changes, soil degradation, and deforestation and is responsible for other environmental degradation. The present study has been conducted in Manendragarh coal mining area located in northern Chhattisgarh, Central India using the analytical hierarchy process (AHP) and geospatial tools. LANDSAT-TM and OLI satellite data from 1990 and 2020 were digitally analyzed applying a maximum likelihood supervised classification technique in ERDAS IMAGINE and Arc-GIS platforms. Spatial analysis of satellite data revealed that the area under forest, agriculture-fallow, and waterbodies fell by 14.5%, 12.9%, and 2.52%, respectively, due mainly to conversion into degraded land, while the mining area and built-up areas were proportionally enhanced by 3.2% and 0.59% between 1990 and 2020. The intense mining resulted in deterioration of soil health, where the organic C, pH, and soil depth were considerably decreased in mined sites and degraded lands, compared to agricultural and forest areas. The major determinant biophysical, topographic, and soil factors were integrated in a GIS platform to derive a land degradation vulnerability index (LDVI), which identified five vulnerability classes. The salient findings of study provides the critical inputs for the policy makers/environmentalists in prioritization and decision-making for implementing remedial measures for the eco-restoration of mining degraded landscapes and also the improvement of ecology and environment along with sustainable coal mining.