BigMint is a Market Intelligence and Price Reporting firm that caters to the data and analytics requirements of businesses in the commodities sector. It publishes real time prices and information, which is impartial, independent and reliable, sourced from all industry interfaces – sellers, buyers, agents and traders. This data is filtered and passed through very stringent, calculative assessments before final prices are derived, thereby giving our clients accurate pricing.

Go to List

Mining Auction 2020 : Odisha Govt Permits Storage of Iron Ore to State Based Units

...

Fines/Lumps

BigMint Bureau

1530 Reads

25 Jul 2019, 23:05 IST

Mining Auction 2020 : Odisha Govt Permits Storage of Iron Ore to State Based Units

In a big relief to the state based steel units, Department of Steel & Mines (Govt of Odisha) has permitted storage licenses for intermediate stockyards to state based end user units to facilitate smooth transition of mining leases that are due to expire by 31st March 2020.

This means end users based in the state of Odisha can store iron ore within the state, which is currently not allowed.

In a notification released today, state govt mentioned that in exercise of powers vested under rule 10 B of Odisha Minerals (Prevention of Theft , Smuggling and Illegal Mining and Possession , Storage, Trading and Transportation, Rules 2007) have been pleased to permit storage license for intermediate stockyards by end users industries located within the state in relaxation of the 6th proviso to the rule 3 of said Rule 2007 subject to following conditions:

-1. The storage license shall be valid only for iron ore and for maximum period upto 31 Mar 2022

- 2. The stockyard will be used only for storage of iron ore meant for captive use of the licensee of the plant located within the state and shall not be dispatched for trading purpose or for export outside the state.

-3. All the requisite clearances, approvals etc as required by law shall be obtained and maintained by licensee.

With this notification it seems that disruption in iron ore supply from Odisha would be minimised.

Major mining leases in Odisha lapsing by March 2020 include the ones held by Rungta Mines, KJS Ahluwalia, Serajuddin & Co, Kaypee Enterprises, Kalinga Mining Corporation, Mid East Integrated Steel Ltd, KN Ram, RB Das, Tarini Prasad Mohanty, KC Pradhan and Lal Traders.

According to SteelMint, combined EC (Environmental Clearance) limit of these mines is around 75-80 MnT pa, although they produced around 50 MnT iron ore in last fiscal.