India: SC Allows Essel Mining to Resume Operations

In a major development in the Odisha illegal mining case, the Supreme Court has today (i.e 15 Feb’18) allowed two mines of Essel Mining – Jilling Langalota and Koira mines to resume operations. However resumption at Serajuddin mines is still awaited and the miner’s case will again be heard on 23 Feb’18.

Key learning  from today’s SC case hearing:

1. Essel Jilling and Koira mines have been allowed to resume operations by the Apex Court. As per sources, Essel’s Koira mines may become operational shortly. However for resumption of operations at the Jilling Langalota mines may take some time owing to orders from state government.

2. Serajuddin Mines case next hearing is scheduled on 23 Feb’18. Amid violations in Rule 37, the miner’s resumption in operations have been postponed.

3. As per sources, Patnaik Minerals have also received the permission to resume operations. The miner has EC limit of around 0.9 MnT pa. However the details could not be confirmed at the time of publishing this report.

S.no Mine Name EC Limit (MnT pa) Remarks
1 Essel Mining, Jilling Langalota 6.2 SC allows mine to resume operations. 
Owing to necessary awaited orders from state govt., 
resumption may take some time
2 Essel Mining, Koira 4 SC allows mine to resume operations. 
Operations are likely to resume shortly
3 Serajuddin Mines 15.15 Amid violations in Rule 37, the miner’s resumption 
has been postponed and next hearing scheduled on 23 Feb’18
4 Patnaik Minerals 0.9 Sources say that mine has been allowed to start operations. 


Earlier, on 02 Aug’17 the Supreme Court of India issued a judgment on illegal iron ore mining case in the state of Odisha. In a common cause notice issued to Odisha based merchant miners; they were alleged of excess production beyond the granted EC (Environmental Clearance) limits. In its order, the Supreme Court (SC) called for the recovery of 100% compensation in lieu of the excess ore lifted to be submitted 31 Dec’17.

Five operational iron ore miners which could not submit the penalty amounts by the mentioned deadline were asked to shut off operations. Few days after, it was reported that IDCOL and Essel Mining submitted the penalty amount. The Apex court condoned the delay and granted IDCOL permission to operate the mines subject to payment of 12% interest for 11 days. In case of Essel Mining the Apex Court granted few days for verification of EC and FC clearances.

Towards the end of 1st week of Feb’18, Odisha’s Serajuddin Mines also submitted the penalty amount along with the interest and decision regarding resumption of operations at Essel Mining and Serajuddin Mines was expected to be taken up in the hearing scheduled today.


Comments

Leave a Reply

Your email address will not be published. Required fields are marked *