The alarming crisis of Iron ore unavailability in Karnataka has hit the state based steel industries, which require about 30-35 mtpa of Iron ore for current installed capacities.
As on date, NMDC's output is 7 lac tons p.a. and the Monitoring Committee has e-auctioned 37 mt of Iron ore.
Around the end of February, the Monitoring Committee that has been appointed by Supreme Court to supervise e-auctions, is to allow e-auction of 6 million ton (mt) of Iron ore dumps.
The Monitoring Committee is waiting for Central Empowered Committee (CEC), which recently visited mines in Karnataka for assessment of dumps, to finally approve grading of the stockpile.
The raw material is expected to be of low grade (Fe% 45-50) and will have to be beneficiated for steel making.
On February 22, 1 mt of Iron ore will be offered through e-auctions.
It was produced by seven A grade mines named SMIORE i.e. having two leases, R Praveen Chandra, Vesco, Tiffin Barytes, Nadeem Minerals and B Kumar Gouda.
On the cost of mining by individual leaseholders, base price for e-auction of the raw material could be decided by the mining leases themselves.
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