NMDC urges Odisha Government to reserve mega Iron Ore block for it
Bhubaneswar: Public sector mining giant NMDC has urged the Odisha government to reserve an Iron Ore block having more than 200 million tonne (MT) deposit in the state. A mega iron Ore block in Odisha will be crucial for NMDC to achive its 67 MTPA Iron Ore output target by 2025.
The PSU has requested the Odisha government for the reservation under Section 17 (A) of MMDR Act, which allows the state governments to reserve any mining block in favor of government owned corporations.
As per sources, the PSU has requested the Odisha Government to reserve any one of the mega iron ore deposits like Khandadhar, Malangtoli, Mankadnacha, Ramka, and Pandulposi. While Khandadhar is the biggest among all the five iron ore blocks covering more than 68 square kilometres (Sq.Km.), Malangtoli is covering over 52 Sq. Kms is the second biggest iron ore mines in Odisha.
N Baijendra Kumar, CMD NMDC has requested the State Government to reserve the mega iron ore block, so that the Central PSU will set up mega iron ore project.
With the massive target of Ministry of Steel to produce 300 MTPA by 2025, NMDC requires to acquire an iron ore deposit with +200 MT. NMDC wants to increase its iron ore production capacity to 67 MTPA by 2025, said sources.
However, sources in the State Government say that if NMDC comes up with firm commitment for investment in Odisha, its proposal could be worked out. Secondly, State Government expects NMDC to join hands with OMC to float a joint venture in order to give boost to iron ore mining in the State. NMDC is required to come up with detailed proposal for allocation of iron ore block under reservation route with proposed premium amount and commitment for area development under CSR.