Forty mineral blocks to be auctioned in Odisha

Odisha, the largest producer of iron ore, is ready to auction iron ore and associated mineral blocks as the Union ministry has approved the cap in mining lease area limits to 58 sq km in the state. Apart from the nine freehold blocks, 21 out of 22 merchant mines whose validity ceases by March 31, 2020 will also be put up for online auctioning. The state government has set an internal target to complete the auction related formalities for 40 mineral blocks by December this year, said official sources. The state is issuing Notice Inviting Tenders (NITs) for both freehold and lapsing merchant leases in two phases, this month. Odisha has 24 merchant mines and NITs have been issued for two chromite mines currently under the leasehold of BC Mohanty and Misrilal Mines. Around 30 bidders including Tata Steel, JSW Steel, Indian Metals & Ferro Alloys Ltd (IMFA) and Adani Group have submitted technical bids for the two chromite resources. One merchant chromite mine under Tata Steel's leasehold is proposed to be reserved for an Odisha government owned PSU. Of the balance 21 leases going for auctioning, 10 are iron ore mines, four manganese, one chromite lease, and seven mines with co-existence of iron and manganese and ore deposits.