After annulment of auctions, the Odisha government has issued fresh Notice Inviting Tenders (NITs) for 20 lapsing merchant mine blocks on 06 Dec’19. Moreover, the revised tender rules are set to promote equal competition for all iron ore and manganese blocks on offer as opposed to frenetic bidding for a single coveted block.
The state government has decided to insert some additional conditions in the tenders for the expiring merchant mine leases. A successful bidder after obtaining all statutory clearances needs to produce in the first two years at least 80 per cent of what the mine actually produced in the preceding two years.
Breakdown of 20 mining blocks notified for auctions
A. Iron ore mines reserved for captive use
| Mine | Present lessee | Area | Resources | Mine capacity |
| (in ha) | (in MnT) | (in MnT/annum) | ||
| Thakurani | Kaypee Enterprises | 228.04 | 180 | 5.5 |
| Gonua | P K Ahluwalia | 86.88 | 119.2 | 0.36 |
| Narayanposi | AMTC | 349.25 | 190.6 – Iron Ore, 0.05- Manganese | 6 |
| Jaribahal | Patnaik Minerals | 106.53 | 8.15 | 0.9 |
| Tanto, Roida-II | K N Ram & Company | 74.86 | 29.38 | 2.2 |
Source: SteelMint Research
B. Blocks set aside for merchant miners
| Mines | Present lessee | Area (in MnT) |
Resource (in MnT) |
| Nuagaon | KJS Ahluwalia | 767.28 | 792.93 |
| Siljora-Kalimati | ML Rungta | 715.63 | 4.02- Mn, 0.72- Iron |
| Jiling | Essel Mining | 456.1 | 79.12 |
| Jurudi | Kalinga Mining | 73.22 | 4.79 |
| Mahulsukha | AMTC | 399.83 | 32.81- Iron, 0.77- Mn |
| Gorumahisani | GS Mishra | 349.5 | 18.4 |
| Badampahar | Lal Traders | 129.61 | 6.16 |
| Jajang | Rungta Mines | 666.15 | 58.5 |
| Katasahi | Rungta Mines | 196.86 | 0.66 (Mn) |
| KanthorKoira | Rungta Mines | 73.65 | 0.06 (Mn) |
| Nadidihi | BICCO | 73.85 | 27.04 |
| Nadidihi | Feegrade | 121.4 | 23.69- Iron, 0.05- Mn |
| Teherai | BICCO | 137.46 | 11.52- Iron, 0.07- Mn |
| Kolomong | Rungta Mines | 218.53 | 1.39- Iron, 3.73- Mn |
| Balda | Serajuddin | 335.59 | 210.17 |
Source: SteelMint Research
Will India See a Major Iron Ore Disruption?
To learn how the mines auction 2020 unfolds, be a part of SteelMint Events’ 4th Indian Iron ore, Pellet and DRI Summit‘ which is scheduled on 2-3 March 2020, in Hotel LaLiT, New Delhi.
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