In the most awaited hearing on illegal mining in Odisha, the Supreme Court on 28 Apr, 2014 against a PIL filed by NGO named Common Cause, has left Indian mining & steel industry in panic.
The Supreme Court has reserved its interim order with a slight hint that court may not put a blanket on mining ban in Odisha but may temporary suspend mining operations of 40 mines running under deemed renewal.
Sponge & Steel manufacturers fear temporary mining embargo in Odisha, which may hamper supply of Iron ore for short term, till the state government comes out with some decision over pending applications for renewal of mining leases. Odisha is the largest Iron ore producer, having an annual production of above 65 MnT (27 MnT captive and 38 plus MnT for merchant sale).
Manufacturers fear if mines running under deemed renewal gets suspension notice; almost 5-6 MnT of Iron ore will wipe out from merchant market.
Trade sources based at Odisha stated, “Mining ban in Odisha will the last nail in the coffin, impact may be severe. It is heard that some manufacturers have offered high rates to transporters in order to lift Iron ore booked in different mines. Transport charges have gone up by INR 300-400/MT.”
In the previous report by Shah Commission, it was noted that about 109 mines are operating under deemed renewal with delayed EC or without EC. Some of the mines running on second deemed renewal is as follows:
List of 26 mines, likely to get impacted. These names have been named in CEC report. There are total 109 mines listed which are working under deemed renewal and these 26 mines (attached) are working on second deemed renewal.
|
Name of Lessee |
Name of mines |
MoEF approval date |
Upper Limit of Production (MT) |
Date of Expiry of Lease Period |
Remarks |
|
Bhanja Minerals |
Inganijharan |
03 Sep’08 |
240,000 |
26 Feb’93 |
Not Operating |
|
Dr. S Pradhan |
Balita |
17 Jan’08 |
800,000 |
31 Jan’84 |
Not Operating |
|
Dr. S Pradhan |
Inganijharan |
24 Aug’07 |
240,000 |
31 Jan’84 |
Not Operating |
|
OMC |
Khandbandh |
15 Dec’08 |
1,000,000 |
30 Nov’93 |
Not Operating |
|
OMC |
Gandamardan (Block A) |
16 Jan’09 |
350,000 |
21 May’93 |
Not Operating |
|
OMC |
Kurmitar |
02 Sep’08 |
2,400,000 |
28 Apr’85 |
Operating |
|
Gandhamardan Sponge Iron |
Putulpani |
24 Aug’07 |
360,000 |
07 Apr’94 |
Not Operating |
|
Essel Mining |
Kasia |
16 Jun’06 |
7,500,000 |
13 Sep’85 |
Not Operating |
|
K N Ram & Co. |
Roida II |
05 Mar’08 |
2,200,000 |
02 Sep’87 |
Operating |
|
Kalinga Mining Corporation |
Jurudi |
10 Dec’08 |
101,346 |
21 Jun’93 |
Operating |
|
SAIL |
Bolani |
23 Apr’98 |
5,650,000 |
10 Apr’90 |
Operating |
|
Tata Steel |
Malda |
13 Apr’07 |
550,000 |
12 Aug’90 |
– |
|
R P Sao |
Guali |
30 Nov’07 |
1,800,000 |
26 Jun’93 |
Not Operating |
|
B C Deb |
Inganijharan |
– |
– |
19 Nov’73 |
Not Operating |
|
B D Patnaik |
Kalaparbat |
– |
– |
30 Jul’89 |
Not Operating |
|
BPMEL |
Thakurani |
– |
– |
30 Sep’84 |
Not Operating |
|
OMC |
Sakradihi |
– |
– |
28 Dec’89 |
Not Operating |
|
OMC |
Dubuna |
– |
– |
08 Sep’91 |
Operating |
|
Kalinga Mining Corporation |
Jurudi |
– |
– |
21 Jun’93 |
Operating |
|
Kalinga Mining Corporation |
Jurudi |
– |
– |
21 Jun’93 |
– |
|
M G Mohanty |
Ganua |
– |
– |
29 Nov’91 |
Not Operating |
|
T B Lal & Co. |
Kasia- Barpada |
– |
– |
01 Dec’87 |
Not Operating |
|
T B Lal & Co. |
Jajang |
– |
– |
10 Oct’91 |
Not Operating |
|
Matadin Sarda |
Khajuridiha |
– |
– |
30 Aug’87 |
Not Operating |
|
S C Padhi |
Bansapani |
– |
– |
28 Nov’93 |
Not Operating |
|
BPMEL |
Dalki |
– |
– |
30 Sep’74 |
Not Operating |
Data extracted from CEC report
Still there is no official declaration by the Odisha Government.
NMDC to Benefit
Biggest beneficiary in any adverse order on Odisha mining will be NMDC, which is the largest Iron ore mining company in India. Sources say, any embargo in Odisha will increase demand and prices for Iron ore from NMDC.
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