India: Rungta Mines granted Permission For Expansion of Iron Ore Production

Bhubaneswar: Rungta Mines has been granted clearance for production enhancement by the Union Ministry of Environment and Forests at its Oraghat & Sanindpur in the Koira mining circle.

Now, the miner has permission to enhance Iron ore production at the Oraghat mines to 5 MnT from the existing 1.94 MnT. The miner would also increase the production at its Sanindpur mines from 1.65 to 4.5 MnT.

However, the miner has not granted any permission to increase production at its Jajang Iron ore mines from 5.5 MnT to 16.5 MnT.

Another leading miner Serauddin has also been granted to increase production at its Balda mines from 4.5 MnT to 15.15 MnT. According to sources, the permission was granted to the two miners in 3rd week of December.

In December, the Odisha government had requested the Central government to clear the mining output enhancement applications, which were kept in abeyance by the Ministry of Environment and Forest (MoEF) since April this year. The approval of these applications is crucial as the state government is trying to boost its falling mining revenue owing to closure of major mines.

Mines having Permission for Production Expansion

Quantity in MnT pa
Source: Steel & Mines Dept, Government of Odisha

Iron Ore Prices down by INR 200-400/MT in Odisha

Rising Iron ore production has resulted in price correction by major miners like Rungta and Essel in the month of January. Prices have corrected by INR 200-400/MT.