25-05-2025
Mining ops at 40 low-grade ore dumps to resume soon
Panaji:
State govt is in the process of resuming operations at around 40 low-grade iron ore dumps located in different areas.
It is also in process of auctioning over 20 low-grade dumps besides directly allotting over 16 dumps to former leaseholders.
The state has set a target of exporting 25 million tonnes of low-grade iron ore.
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E-auction of dumps will begin soon. We are in the process of identifying more dumps for auction besides the 18 dumps which were already put up for auction. We have received 15 applications from erstwhile leaseholders to handle low-grade iron ore which is outside the mining lease,' director of mines and geology (DMG) Narayan Gad told TOI.
Govt postponed the auction of 18 low-grade iron ore dumps to Jan 30. It was supposed to take place in four phases. Initially, the auction was scheduled to be held from Jan 22 to 25.
In all, govt received 125 bids for the 18 dumps. A total of 173 mining companies and traders showed interest. A reserve price of 22% for the first e-auction of low-grade iron ore dumps was fixed.
In case the Indian Bureau of Mines price is Rs 100 per tonne for low-grade iron ore and the mining companies purchase the ore at auction at the 22% reserve price, the companies must pay Rs 22 per tonne to govt.
Govt also fixed criteria for traders and mining companies to participate in the e-auction — the bidders should have a minimum net worth of Rs 25 crore. Govt put up the 18 low-grade ore dumps with a total quantity of around 30 million tonnes for auction.
The Supreme Court allowed Goa govt to conduct dump mining activity in the state in accordance with an expert committee's report.
Accordingly, the policy for regulating iron ore dump handling was notified on Sep 14, 2023.
The Dump Handling Policy, 2023, paved the way to deal with the 700 million tonnes of low-grade ore lying inside and outside mining leases across Goa and to export 25 million tonnes per annum.
Goa iron ore mines: Image for representation
