BHUBANESWAR: The Steel and Mines department has identified 16 of 29 mineral blocks cleared by the high-level committee of the State Government for auction in next phase.The Directorate of Mines is all set to issue notice inviting tenders (NIT) for 16 mineral blocks, including 9 greenfield mines and three mines reserved for end use of industries, on October 4. The lease period of seven mines will expire by March 2020.
Eight of nine virgin mines are iron ore blocks and six of those are located in Sundargarh district while the other two are in Keonjhar district. The new iron ore blocks identified for auction have an estimated reserve of 574 million tonne, informed sources said.
Of the new iron ore blocks, Gandhalpada block in Keonjhar district has the highest ore reserve of 314.37 million tonne while Unchabali has mineral occurrences of about 3.6 million tonne. The newly explored iron ore blocks in Sundargarh district that will go for online auction in MSTC e-auction platform in next phase include Jhumka Pathiriposi block with a reserve of 114 million tonne (MT), Pureibahal block (38.30 MT), Chandiposhi block (33.73 MT), Dholtapahar (23.92 MT), Netrabandh Pahar (West) with a reserve of 17.27 MT and Rangelbedha NE (28.87 MT).
Nuagaon iron ore block of KJS Ahluwalia in Keonjhar district with a reserve of 792.93 million tonne is one of the four merchant mines whose leases are expiring next year. The other three merchant mines kept ready for auction include Essel Mining’s Jilling-Langolata iron ore block in Keonjhar district, Mahulasukha iron and manganese block of Arayan Mining and Silijora-Kalamati iron and manganese block of Rungta.
The three captive mines - Narayanposi iron and manganese block (190 MT) of Aryan Mining in Sundargarh district, Thakurani iron ore block (180 MT) of KayPee in Keonjhar district and Gonua iron ore block (119 MT) of PK Ahluwalia in Sundargarh district - are also slated to be auctioned, sources said.
The Government has decided to invite tenders for 13 iron ore and manganese blocks in next phase on October 14. These blocks are among 24 iron ore blocks, leases of which will expire by March 31, 2020.
The Balda iron ore block of Serajuddin in Keonjhar district has an estimated ore reserve of 210.17 million tonne and Jalang iron and manganese block of Rungta with a reserve of 58.50 million tonne are among the 13 mines.
The State Government has reserved the Guali iron ore block of RP Sao with a reserve of 183 million tonne and Tata’s chromite block at Sukinda in Jajpur district for its PSU. The State has so far auctioned three iron ore blocks, Ghoraburhani-Sagasahi, Kalamang West and Netrabandh Pahar.