India's NMDC Donimalai Iron Ore Mine Operations Halt Post Lease Expiry

According to trade sources report to SteelMint, lease validity of NMDC's Donimalai iron ore mines in Karnataka has ended following which operations at these mines have come to a halt.

If sources are to be believed, operations have come to halt earlier this month. However few market participants shared that lease renewal is in pipeline and amid some issues going on in renewal, resumption of operations is being delayed.

However, no confirmation was received from a concerned company official.

NMDC (National Mineral Development Corporation ) is India's largest iron ore miner with annual production of around 35.5 MnT p.a. in FY18. Out of this, 12 MnT was produced from NMDC's mine in Karnataka, combining from Donimalai and Kumaraswamy.

NMDC Donimalai has EC limit of 7 MnT pa and produces around 6-6.5 MnT iron ore annually.