As per the senior state-level officials, NMDC (National Mineral Development Corporation) – India’s largest iron ore mine has approached the Karnataka High Court for an urgent hearing on NMDC Donimalai lease renewal pending decision on the representation by the Karnataka Govt.
As per the reports, Court will hear the matter on Jan 10, 2019.
“A senior state-level officials said, Karnataka plans to auction the Donimalai iron ore mine as NMDC, majority owned by the Indian government, refused to pay an additional levy on ore sales from the mine”.
Iron ore operations are still on hold at NMDC’s Donimalai mine which was recently renewed lease. On 3rd Nov’18 NMDC lease got expired and was later renewed for the next 20 years.
State govt has asked NMDC to pay 80% premium on iron ore sale value from Donimalai to the Karnataka state Govt. NMDC India’s biggest iron ore mine has been on the negotiation with the Govt of Karnataka over its decision to impose an 80% premium on iron ore sales from Donimalai as the company’s earlier license did not include the premium, as per reports.
NMDC Donimalai has EC limit of 7 MnT p.a. and produces around 6-6.5 MnT iron ore annually.
~ Sourced
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