Orissa initiates hearing of mine lease applications
The Orissa government starts hearing applications seeking lease over Khandadhar iron ore mines which are being eyed by a host of steel companies, including South Korea's Posco.
By PTI |
BHUBANESWAR: The Orissa government has started hearing applications seeking lease over Khandadhar iron ore mines which are being eyed by a host of steel companies, including South Korea's Posco.
A government panel headed by Steel and Mines Secretary U P Singh has already held two rounds of hearing, at the end of which it would recommend a prospecting licence (PL) in favour of one company, official sources said today.
At a meeting of the Inter Ministerial Group (IMG) in New Delhi on October 30, the state government had said it would recommend name of a company for PL over Khandadhar iron ore mines. IMG was also informed of steps being taken to provide raw material linkage to Posco, which plans to invest Rs 52,000 crore for setting up a steel plant in the state, they added.
Besides Posco, Jindal Stainless, Monnet Ispat and many others were interested in Khandadhar mines in Sundergarh district because the ore has high ferrous (Fe) content of more than 65 per cent.
According to Orissa Steel and Mines Minister Padmanabha Behera, over 250 applications were received for the Khandadhar reserve. The state had earlier recommended Posco for the private lease by using its 'discretionary powers' as provided in the Mines and Minerals (Development and Regulation) Act, 1957.
Its decision was, however, challenged by Kudremukh Iron Ore Company (KIOCL) in the state High Court which referred the matter to the central mines ministry asking to resolve the issue within administrative framework.
The minister said, the state government decided to start hearing of all the applications for Khandadhar iron ore reserve after the Union Minies Ministry asked for it.
"The mines ministry wanted us to recommend the name of one company for the private lease over Khandadhar after hearing all the applications. Therefore, we have started hearing the applications which will be completed by end of November," Behera said.
Sources said the Steel and Mines Secretary was holding the hearing for the Khandadhar iron ore reserve where 15 parties appeared for the session on November 3.
The government would have to hear nearly 200 applications because it had already rejected 49 aplications including one from KIOCl before it recommended the name of Posco last year, the sources added.
A government panel headed by Steel and Mines Secretary U P Singh has already held two rounds of hearing, at the end of which it would recommend a prospecting licence (PL) in favour of one company, official sources said today.
At a meeting of the Inter Ministerial Group (IMG) in New Delhi on October 30, the state government had said it would recommend name of a company for PL over Khandadhar iron ore mines. IMG was also informed of steps being taken to provide raw material linkage to Posco, which plans to invest Rs 52,000 crore for setting up a steel plant in the state, they added.
Besides Posco, Jindal Stainless, Monnet Ispat and many others were interested in Khandadhar mines in Sundergarh district because the ore has high ferrous (Fe) content of more than 65 per cent.
According to Orissa Steel and Mines Minister Padmanabha Behera, over 250 applications were received for the Khandadhar reserve. The state had earlier recommended Posco for the private lease by using its 'discretionary powers' as provided in the Mines and Minerals (Development and Regulation) Act, 1957.
Its decision was, however, challenged by Kudremukh Iron Ore Company (KIOCL) in the state High Court which referred the matter to the central mines ministry asking to resolve the issue within administrative framework.
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The minister said, the state government decided to start hearing of all the applications for Khandadhar iron ore reserve after the Union Minies Ministry asked for it.
"The mines ministry wanted us to recommend the name of one company for the private lease over Khandadhar after hearing all the applications. Therefore, we have started hearing the applications which will be completed by end of November," Behera said.
Sources said the Steel and Mines Secretary was holding the hearing for the Khandadhar iron ore reserve where 15 parties appeared for the session on November 3.
The government would have to hear nearly 200 applications because it had already rejected 49 aplications including one from KIOCl before it recommended the name of Posco last year, the sources added.
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