Nalco's Damanjodi Refinery faces closure as renewal of its mining lease unlikely to happen anytime soon

BHUBANESWAR: State-run National Aluminium Co Ltd (Nalco) faces the prospect of its refinery in Odisha's Koraput district shutting down with renewal of its mining lease unlikely to happen anytime soon.

The country's third-largest aluminium producer sources bauxite for its Damanjodi refinery from its captive mine at Panchpatmali, whose 30-year-old lease expires on November 16. The renewal of the lease is likely to be delayed as the public hearing mandatory for its clearance is yet to take place.

According to people with knowledge of the development, Nalco had lined up a public hearing on October 3, but people stayed away due to threats from extremists.