India: Odisha govt may put 14 mineral blocks for auction soon - sources

The pandemic and downward slide of the economy had cast doubts on exactly when a new set of mineral deposits would be auctioned. 'Unlock' measures and healthy prices of iron ore seem to have prompted Naveen Patnaik's government to prepare for the next round.

Earlier this year, just before Covid19 was declared a global pandemic, Odisha auctioned 24 mines. Marking the first ever transfer of working mines from one lessee to another under the amended Mines and Minerals Development and Regulation (MMDR) Act, these auctions were important.

The significant high bids raised expectations and a fair amount of cynicism too. The delay on the part of many of the preferred bidders in starting operations has kept the state's mining officials more busy than usual.

With lockdowns wiping out much of the state's other incomes, revenues from mining are even more critical today. The government may have to reconcile its expectations to the post Covid19 economic outlooks but can take solace from the fact that iron ore hasn't done all that badly.

Pre-embedded clearances

The Narendra Modi government has decided to experiment with pre- approved environment and forest clearances with an aim to reduce the hassle and time for prospective lessees. Two areas, Unchabali iron ore and manganese mine and the Kalimati manganese mine, have been set aside to be offered with pre-embedded clearances.