INDIA, Vedanta group firm Sesa Goa on Thursday reported 28 % decline in consolidated net profit at Rs 496.73 crore for the third quarter ended December 31, as several issues, including a mining ban in Goa, affected the company's performance.
“Iron ore mining operations in both Karnataka and Goa remain suspended due to regulatory restrictions. During Q3, approximately 0.03 million tonnes of iron ore was sold from Karnataka through court monitored e-auctions. There was no production or sale of iron ore during the quarter at the Goa operations,” Sesa Goa said in a separate statement.
Mining in Goa has been stopped since September 11, when the state government ordered a temporary suspension on extraction of ore across Goa. On October 5, the Supreme Court ordered complete ban on mining, including transportation of mined ore from mines or stockyards.
“In view of the foregoing, operations at the Company's mines in Goa remain suspended. The Company has filed an application before the Supreme Court seeking modification or vacation of the aforesaid order. The hearing in the court is yet to commence effectively,” it added.
Talking about Karnataka, it said that the apex court is in the process of resuming Category-B mines including company's mine and “we expect to commence mining in Karnataka, subject to receiving the court's and other necessary approvals”.
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