Govt asks GSI to redefine TN tungsten mine block, exclude biodiversity site

The Centre on Tuesday asked the Geological Survey of India (GSI) to re-examine Nayakkarpatti tungsten mine of Tamil Nadu and explore the possibility of redefining the block boundary by excluding the biodiversity site. Further, the Tamil Nadu government has been requested to keep the process of issuing the Letter of Intent to the preferred bidder of the block on hold for the time being.

After declaration of preferred bidder, a number of representations have been received against auction of this block on the ground that there is a biodiversity heritage site within the block area.

Hindustan Zinc Ltd emerged as the preferred bidder for the tungsten block, which was put on auction.


The mines ministry had earlier said that inputs were taken from the Tamil Nadu government before the auction of the tungsten block and no communication from any quarter, including from the state, regarding any opposition to the sale was received.

The statement came in the wake of Tamil Nadu Chief Minister M K Stalin urging Prime Minister Narendra Modi to cancel the award of tungsten mining rights in Madurai district.

Stalin had asserted that the state government will not allow mining there considering aspects such as a biodiversity heritage site and people's opposition.

"The Nayakkarpatti tungsten block covering an area of over 20.16 sq km was proposed for the auction in February. Inputs were taken from the Government of Tamil Nadu before the block was put up for auction," the mines ministry said in a statement.

The block has been auctioned as a composite licence block, which means it has been partially explored and the successful bidder will have to carry out exploration before grant of mining lease.