A novel functionally effective organic molecules with various molecular weights are produced by cleaving lignite with hydrogen peroxide or alkaline hydrogen peroxide predominantly below 1000 molecular weight, the said functionally effective organic molecules, molecular weights varies depending on the reaction conditions such as concentration of hydrogen peroxide, time of reaction, temperature, ratio of lignite to hydrogen peroxide, lignite quality etc. conditions. These organic molecules are functionally effective than normal organic molecules (humic, fulvic acids etc.) present naturally in lignite or leonardite due to enhanced reactive nature obtained by treating with hydrogen peroxide or alkaline hydrogen peroxide which are resultant of cleavage of lignite. These functionally effective organic molecules have utilities in various areas such as agriculture and medicine.