BALLARI: The Supreme Court (SC) dismissed a Special Leave Petition (SLP) filed by Sandur Manganese and Iron Ores Limited (SMIORE) challenging the conditions imposed by the Karnataka government for extension of forest clearance (FC) for its mining lease in Ballari.
A Bench comprising Justices Dipankar Datta and Augustine George Masih declined to interfere with the Karnataka High Court order, which had upheld the government’s demand notice issued to the company. The HC had earlier ruled that the demand notice issued by the government was legally valid and that the relief sought by the petitioner could not be granted. It had also upheld the levy of charges and land transfer requirements under the Forest Conservation Act.
With the dismissal of the plea, SMIORE will now have to provide 714.90 hectares of compensatory forest land and pay Rs 131.25 crore towards compensatory afforestation charges to the forest department.
The company had contended that the communication issued by the Ballari Deputy Conservator of Forests (DCF) on June 20, 2025, directing it to comply with the guidelines issued by the Union Ministry of Environment, forest and climate change.
The dispute pertains to SMIORE’s mining operations in the Swamimalai and Ramandurg forest regions of Sandur taluk. The forest clearance for the mining area, spread across 142.58 hectares, is set to expire in December 2026, while the mining lease itself remains valid till December 2033. Seeking extension of the forest clearance till 2033, the company approached the Union Forest Ministry.
However, the State government issued a demand notice directing the company to provide alternative forest land and pay compensatory afforestation charges.
Before the High Court, SMIORE argued that the mining area had been in use even before the enactment of the Forest Conservation Act, 1980, and therefore, under the Centre’s 2015 guidelines, it was exempt from providing compensatory forest land or paying additional charges. The company had also sought directions for extension of the forest clearance till 2033.