Friday, 17 Feb 2012
Oracle Coalfields Plc, the operators of Block VI of the Thar coal project have announced their plans to invest up to USD 610 million for a coal mine of 5 million tonnes per annum capacity.
Mr Shahrukh Khan CEO Oracle Coalfields said that “The institutional investors abroad have no reservations in investing in Pakistan and they are willing to expose in the resource sector particularly in a project that is expected to yield a return of 20.5%. Besides, the international lenders are also interested in the project.”
Mr Khan informed about the details of the feasibility of coal mining and power generation project at Block VI and continuing significant progress in the development of its 1.4 billion tonnes flagship coal resource project in Thar, Sindh.
He said that the results of the comprehensive technical feasibility study undertaken last year confirmed the technical and economic viability of the project. This represents a significant step towards providing the nation, Sindh and local communities in Thar with a new sustainable source of energy for decades to come by bringing into production its first large scale open pit coal mine.
Oracle has also signed MoU with Karachi Electricity Supply Company to develop initially 300 MW mine mouth power plant with the plan to develop up to 11 MW at the Block VI site. Initial coal production is expected in 2014 with mine development to be started by the end of the current year.
The feasibility study results concentrated on an initial mining area with Block VI of approximately 20 square kilometers and reported in accordance with the international recognized 2004 Australian JORC Code, a mineral resource of 529 million of wet tonnes.
Mr Khan said that within this overall mining area, a Phase 1 zone was determined with coal reserves of 113 MWT. With further potential increase in reserves in Phase 2 of the mining area, the life of mine could be extended by a further 30 years or more.
Mr Younas Dhaga Sindh Coal and Energy Secretary said that infrastructure development is underway on a fast pace and the provincial government had approved various schemes and allocated funds.
Mr Dhaga also informed about the Engro’s project and said that they have completed their bankable feasibility and are waiting some infrastructure updating. The Sindh government has decided to award Block IV of the Thar coal project to Chinese state owned Three Gorges.
(sourced www.thenews.com.pk)
Showing posts with label MoU. Show all posts
Showing posts with label MoU. Show all posts
Friday, February 17, 2012
Tuesday, January 17, 2012
ECT ink MoU with K Coal of Korea
Tuesday, 17 Jan 2012
Environmental Clean Technologies Limited advises that following meetings in South Korea it has signed a Memorandum of Understanding with Korean based energy company K-Coal Co Ltd. The MoU provides K-Coal with exclusive sales and marketing rights into Korea for ECT's Coldry technology.
Mr Michael Davies ECT Chairman and Managing Director stated that "K-Coal is well positioned to participate in supplying Coldry coal into the very large and growing thermal coal consumer industry in Korea. K-Coal will build on the very strong relationships its parent company S&J Group has with the major energy companies in the region."
S&J Chairman Dr Kim Sung-Ryeal commented that "S&J Group evaluated numerous coal drying technologies before we decided on Coldry. We like the fact that Coldry utilises a low temperature and low-pressure process, which means that the water released, is clean. S&J Group is a clean energy company and this is important to us. Also we are confident that ECT's Coldry process is cost effective when compared to other technologies."
S&J Group is a diverse, Busan Korea based group of companies. S&J have interests in Energy Distribution, Food Production, Leisure, Clean Technologies and Information Technology.
Mr Davies commented "I was very impressed with the support to Busan area companies that the city government provides. S&J Group and K-Coal are well known to the city government and it was evident from our meetings in Busan that there exists a very strong and supportive relationship between the companies and the city government".
He said that "In addition, S&J has commissioned a number of major projects in the energy sector and has relevant experience in the delivery of major infrastructure projects"
Environmental Clean Technologies Limited advises that following meetings in South Korea it has signed a Memorandum of Understanding with Korean based energy company K-Coal Co Ltd. The MoU provides K-Coal with exclusive sales and marketing rights into Korea for ECT's Coldry technology.
Mr Michael Davies ECT Chairman and Managing Director stated that "K-Coal is well positioned to participate in supplying Coldry coal into the very large and growing thermal coal consumer industry in Korea. K-Coal will build on the very strong relationships its parent company S&J Group has with the major energy companies in the region."
S&J Chairman Dr Kim Sung-Ryeal commented that "S&J Group evaluated numerous coal drying technologies before we decided on Coldry. We like the fact that Coldry utilises a low temperature and low-pressure process, which means that the water released, is clean. S&J Group is a clean energy company and this is important to us. Also we are confident that ECT's Coldry process is cost effective when compared to other technologies."
S&J Group is a diverse, Busan Korea based group of companies. S&J have interests in Energy Distribution, Food Production, Leisure, Clean Technologies and Information Technology.
Mr Davies commented "I was very impressed with the support to Busan area companies that the city government provides. S&J Group and K-Coal are well known to the city government and it was evident from our meetings in Busan that there exists a very strong and supportive relationship between the companies and the city government".
He said that "In addition, S&J has commissioned a number of major projects in the energy sector and has relevant experience in the delivery of major infrastructure projects"
Tuesday, December 6, 2011
Government update on private steel plants in Chhattisgarh
Tuesday, 06 Dec 2011
Indian union minister for Steel Mr Beni Prasad Verma has informed that details of MoUs signed between state government and private players for setting up of steel plants in the country during the last five years.
MoUs with Chhattisgarh government (Year 2006 onwards)
(Capacity in million tonne)
Indian union minister for Steel Mr Beni Prasad Verma has informed that details of MoUs signed between state government and private players for setting up of steel plants in the country during the last five years.
MoUs with Chhattisgarh government (Year 2006 onwards)
| Sl. No. | Name of the Company | Location | Capacity | Status |
| 1 | Ind Synergy Limited (Expansion Project) | Raigarh | Sponge Iron - 0.40 | Partially commissioned |
| 2 | Shree Bajranj Power and Ispat Limited (Expansion Project) | Raipur | Sponge Iron - 0.60 Blast Furnace - 0.231 | Production not Started |
| 3 | SKS Ispat Limited (Expansion Project) | Raipur | Sponge Iron - 0.33 Mini Blast Furnace - 0.5 | Production not Started |
| 4 | Raipur Alloys and Steel Limited (Expansion Project) | Raipur | Sponge Iron - 0.50 Steel - 0.24 | Production not Started |
| 5 | Shree Bajrang Metallics and Power Limited (Expansion Project) | Raipur | Pig Iron - 0.060 | Production not Started |
| 6 | Rajesh Strips Limited (Expansion Project) | Raipur | Steel Melting Shop - 0.30 | Production not Started |
| 7 | Jindal Steel and Power Ltd | Raigarh | Blast Furnace - 0.32 | Production not Started |
| 8 | Bhushan Power and Steel Ltd. | Rajnandgaon | Integrated Steel Making Facility - 1.2 | Production not Started |
| 9 | Monnet Ispat and Energy Ltd | Naharpalli, Raigarh | Blast Furnace - 1.0 Sponge Iron for captive use - 0.40 | Production not Started |
| 10 | Vandana Ispat Limited | Borai, Durg, Anjora, Rajnandgaon | Integrated Steel Plant - 0.83, Steel Melting Shop - 0.75 | Production not Started |
| 11 | Topworth Steel Pvt. Ltd | Borai, Durg | Blast Furnace - 0.50 | Production not Started |
| 12 | MSP Steel and Power Limited | Raigarh | Pig Iron - 0.40, Sponge Iron for captive use - 0.3 | Production not Started |
| 13 | Salasar Sponge and Power Ltd | Raigarh | Steel Plant - 0.10 | Production not Started |
| 14 | Prakash Industries Ltd | Champa, Janjgir, Champa | Steel Plant - 1.2 | Production not Started |
| 15 | Singhal Enterprises | Raigarh | Sponge Iron - 0.2, Steel - 0.3 | Production not Started |
| 16 | Anjani Steel Private Limited | Raigarh | Integrated Steel Plant- 0.25 | Production not Started |
| 17 | H.E.G. Limited | Durg | Sponge Iron - 0.35 | Production not Started |
| 18 | Mangal Sponge & Steel Limited | Bilaspur | Sponge Iron - 0.12 | Production not Started |
| 19 | S.K. Sarawagi and Company Pvt Ltd. | Bilaspur | Sponge Iron - 0.21, Steel - 0.15 | Production not Started |
| 20 | Aarti Sponge and Power Pvt. Ltd. | - | Sponge Iron - 0.105, Steel Melting Shop - 0.09 | Production not Started |
| 21 | API Ispat and Powertech Pvt. Ltd. | - | Sponge Iron - 0.525 | Production not Started |
| 22 | Jai Balaji Industries Ltd. | - | DRI Plant - 0.6, Steel Melt Shop - 1.0 | Production not Started |
| 23 | Baldev Alloys Pvt. Ltd | - | Sponge Iron - 0.54, SMS Plant - 0.2 | Production not Started |
| 24 | Crest Steel and Power Pvt. Ltd | - | Sponge Iron - 0.75, Steel Melting Shop - 0.5, EAF - 0.32 | Production not Started |
| 25 | Godawari Power and Ispat Ltd. | - | DRI - 0.6, Steel Billet - 0.6 | Production not Started |
| 26 | Jindal Steel and Power Ltd | Gram Saraipali, Kosampali, Dhanagar, Raigarh | DRI - 5.1 | Production not Started |
| 27 | Khetan Sponge and Infrastructure Pvt. Ltd | - | Sponge iron - 0.09, Induction Furnace - 0.06 | Production not Started |
| 28 | Nalwa Steel and Power Ltd | Gram Taraimal, Raigarh | DRI (coal based) -0.33, Steel Melting Shop - 0.336,DRI (gas based)-2.0 | Production not Started |
| 29 | Jaysawal Necco Industries Ltd. | - | Sponge Iron - 0.6, Steel Billet - 0.7 | Production not Started |
| 30 | Nova Iron and Steel Ltd | Bilaspur | Sponge Iron - 0.6 | Production not Started |
| 31 | Raipur Power and Steel Ltd | - | Sponge Iron 0.135, Induction Furnace - 0.09 | Production not Started |
| 32 | Rashmi Ispat Pvt. Ltd. | - | Sponge Iron - 0.315, Steel Melting Shop - 0.21 | Production not Started |
| 33 | Real Ispat and Power Ltd | - | Sponge Iron - 0.30 | Production not Started |
| 34 | RL Steel and Energy Ltd. | - | Sponge Iron - 0.4 | Production not Started |
| 35 | Satya Power and Ispat Pvt. Ltd. | - | Sponge Iron - 0.24 | Production not Started |
| 36 | Shri Shyam Sponge and Power Ltd | - | Sponge Iron - 0.135 | Production not Started |
| 37 | SKS Ispat and Power Ltd. | - | Sponge iron - 1.2, Blast furnace - 0.27 | Production not Started |
| 38 | Surya Global Steel and Jenpower Ltd. | - | DRI - 1.4, Blast furnace with PCM- 0.6 | Production not Started |
| 39 | Visa Steel Limited | - | Blast furnace with sinter - 1.5, Sponge iron - 1.0 | Production not Started |
| 40 | NMDC Limited | - | Integrated Steel Plant - 3.00 | Production not Started |
| 41 | K. Energy Limited | - | Sponge iron - 0.21, Induction furnace - 0.192 | Production not Started |
| 42 | Prakash Industries Limited | - | Blast furnace - 1.15, Sponge iron - 1.6, Steel Melting shop - 2.0 | Production not Started |
| 43 | Singhal Steel Pvt. Ltd. | - | Blast furnace - 0.3, Sponge iron - 0.2, Induction furnace - 0.3,EAF - 0.3 | Production not Started |
| 44 | MSP Steel and Power Ltd. | - | Sponge iron - 0.9, Blast furnace - 0.7, Steel melting shop - 1.5 | Production not Started |
| 45 | Mahendra Sponge and Power Pvt. Ltd. | - | Sponge iron - 0.27, Steel Billet - 0.15 | Production not Started |
| 46 | Hind Energy and Coal Beneficiation (India) Pvt. Ltd. | - | Sponge iron - 0.405, Steel melting shop - 0.216 | Production not Started |
| 47 | Sky Aloys and Power Pvt. Ltd. | - | Induction Furnace - 0.1 | Production not Started |
| 48 | Godwari Power and Ispat Limited | - | Steel Melting Shop - 0.2 | Production not Started |
| 49 | Rashi Strips Private Limited | - | DRI plant with gasification - 1.0, Steel Melting Shop - 0.9 | Production not Started |
(Capacity in million tonne)
Sunday, November 6, 2011
Canada’s Salmon River Resources signs iron ore partnership with Chinese holding company
Sunday, 06 November 2011
Vancouver, British Columbia-based Salmon River Resources announced Friday that it has signed a non-binding Memorandum of Understanding (MOU) with Beijing, China-based General Steel Holdings Inc. regarding rights to purchase part of any future iron ore production from properties currently under option to and/or to be acquired by Salmon River, and to provide assistance to Salmon River in raising up to C$110 million (US$108 million) in private placement financings as well as committing to fund future capital expenditures and other development costs.
The MOU is intended to lay the groundwork for Salmon River to fund the exercise of its exclusive option to acquire 100 percent of Treppo Grande Iron Pty Ltd. and to fund future development costs of the Treppo Grande iron ore project. Under the MOU terms, the GS Group has also committed to fund future capital requirements as well as provide project management and coordination services to the Company in return for compensation equal to up to a 51 percent profit interest in the Treppo Grande project, on terms to be mutually agreed in the final definitive agreements.
In return for providing financing and management assistance, the GS Group will be granted a right to acquire up to 2 million metric tons per annum of hematite ore production from the properties acquired by Salmon River under the Treppo Grande Option or other properties acquired by Salmon River in the future, at 95 percent of prevailing market prices once production has commenced.
Tags: iron ore , Canada , China , raw mat , East Asia and Pacific , Far East , North America , mining , M&A
Vancouver, British Columbia-based Salmon River Resources announced Friday that it has signed a non-binding Memorandum of Understanding (MOU) with Beijing, China-based General Steel Holdings Inc. regarding rights to purchase part of any future iron ore production from properties currently under option to and/or to be acquired by Salmon River, and to provide assistance to Salmon River in raising up to C$110 million (US$108 million) in private placement financings as well as committing to fund future capital expenditures and other development costs.
The MOU is intended to lay the groundwork for Salmon River to fund the exercise of its exclusive option to acquire 100 percent of Treppo Grande Iron Pty Ltd. and to fund future development costs of the Treppo Grande iron ore project. Under the MOU terms, the GS Group has also committed to fund future capital requirements as well as provide project management and coordination services to the Company in return for compensation equal to up to a 51 percent profit interest in the Treppo Grande project, on terms to be mutually agreed in the final definitive agreements.
In return for providing financing and management assistance, the GS Group will be granted a right to acquire up to 2 million metric tons per annum of hematite ore production from the properties acquired by Salmon River under the Treppo Grande Option or other properties acquired by Salmon River in the future, at 95 percent of prevailing market prices once production has commenced.
Tags: iron ore , Canada , China , raw mat , East Asia and Pacific , Far East , North America , mining , M&A
Indian steel minister Mr Verma to visit Russia to attend NMDC Severstal MoU signing ceremony
Sunday, 06 Nov 2011
The Pioneer reported that Indian steel minister Mr Beni Prasad Verma is scheduled to embark on his trip to Russia from November 9 till November 12.
Mr Verma told The Pioneer that he would be going to Russia as scheduled on November 9.
The Minister will attend the MoU signing ceremony between State run iron ore miner NMDC and Russia's Severstal.
(sourced Dailypioneer)
The Pioneer reported that Indian steel minister Mr Beni Prasad Verma is scheduled to embark on his trip to Russia from November 9 till November 12.
Mr Verma told The Pioneer that he would be going to Russia as scheduled on November 9.
The Minister will attend the MoU signing ceremony between State run iron ore miner NMDC and Russia's Severstal.
(sourced Dailypioneer)
Monday, October 31, 2011
Victory West Metals acquiring Indonesian coal concessions
Monday, 31 Oct 2011
Victory West Metals has provided an update on its agreement with South East Asia Energy Resources Pte Ltd to acquire nine coking and thermal coal concessions in Indonesia.
The company announced on September 9 that it had signed a Heads of Agreement to acquire 100% of SEAE which is a special purpose company registered in Singapore that has the rights to an 85% interest in the BEK Coal Project in East Kalimantan.
Victory West has reported that SEAE has reached an understanding with United Mining Group to supply Indonesian thermal coal to Vietnam National Coal Mineral Industries Group once those parties have negotiated and entered into binding agreements.
State owned Vinacomin is responsible for sourcing energy supply for several state owned coal fired power plants in Vietnam. Vinacomin operates the Tan Rai Bauxite Project and has entered into a non binding Memorandum of Understanding with United Mining Group. SEAE is part of the United Mining Group.
The non binding MOU is fully transferrable to SEAE Resources and provides all such coal supply and off take rights to SEAE Resources, starting in the second quarter of 2012 and onwards. An initial supply order of 50,000 tons per month has been agreed with the supply demand expected to reach 250,000 tons per month once the Tan Rai project is operating at full capacity.
The initial contract term is three years and the price is the full market indexed price for export thermal coal.
SEAE anticipates entering into binding agreements with Vinacomin upon completion of mining planning and production scheduling to meet SEAE Resources production allocated capabilities.
The proposed acquisition of SEAE is subject to specified conditions including legal and technical due diligence, shareholder approval and Australian regulatory approvals.
(sourced from ProActiveInvestors)
Victory West Metals has provided an update on its agreement with South East Asia Energy Resources Pte Ltd to acquire nine coking and thermal coal concessions in Indonesia.
The company announced on September 9 that it had signed a Heads of Agreement to acquire 100% of SEAE which is a special purpose company registered in Singapore that has the rights to an 85% interest in the BEK Coal Project in East Kalimantan.
Victory West has reported that SEAE has reached an understanding with United Mining Group to supply Indonesian thermal coal to Vietnam National Coal Mineral Industries Group once those parties have negotiated and entered into binding agreements.
State owned Vinacomin is responsible for sourcing energy supply for several state owned coal fired power plants in Vietnam. Vinacomin operates the Tan Rai Bauxite Project and has entered into a non binding Memorandum of Understanding with United Mining Group. SEAE is part of the United Mining Group.
The non binding MOU is fully transferrable to SEAE Resources and provides all such coal supply and off take rights to SEAE Resources, starting in the second quarter of 2012 and onwards. An initial supply order of 50,000 tons per month has been agreed with the supply demand expected to reach 250,000 tons per month once the Tan Rai project is operating at full capacity.
The initial contract term is three years and the price is the full market indexed price for export thermal coal.
SEAE anticipates entering into binding agreements with Vinacomin upon completion of mining planning and production scheduling to meet SEAE Resources production allocated capabilities.
The proposed acquisition of SEAE is subject to specified conditions including legal and technical due diligence, shareholder approval and Australian regulatory approvals.
(sourced from ProActiveInvestors)
Thursday, October 13, 2011
SAIL may ink Bokaro plant MoU with POSCO in November
Thursday, 13 Oct 2011
Reuters reported that Steel Authority of India Ltd is likely to sign an joint venture agreement with South Korean steel major POSCO for setting up a factory in eastern India.
Mr Beni Prasad Verma Indian steel minister told reporters “We are hopeful of signing the agreement in November. I will be going to Korea next month.”
SAIL and POSCO are looking to set up a 3 million tonnes steel plant in the eastern city of Bokaro with an investment of INR 160 billion (USD 3.2 billion).
(Sourced from Reuters)
Reuters reported that Steel Authority of India Ltd is likely to sign an joint venture agreement with South Korean steel major POSCO for setting up a factory in eastern India.
Mr Beni Prasad Verma Indian steel minister told reporters “We are hopeful of signing the agreement in November. I will be going to Korea next month.”
SAIL and POSCO are looking to set up a 3 million tonnes steel plant in the eastern city of Bokaro with an investment of INR 160 billion (USD 3.2 billion).
(Sourced from Reuters)
Sunday, October 9, 2011
Indian government to review 236 MoUs for setting up steel plants
Sunday, 09 Oct 2011
It is reported that unsatisfied with the progress of proposed steel projects entailing estimated investment of INR 11 lakh crore, the government will review hundreds of MoUs signed by companies in past 5 to 6 years as most of them have remained only on paper.
Mr Beni Prasad Verma steel minister said "Our companies have mastered the art of signing MoUs as most of them are on paper only. As many as 236 such agreements have been signed in last 5-6 years for setting up iron and steel units but most of them have neither acquired land nor have got mining leases to set up their units."
Most of the MoUs have been signed between private corporate houses with several states including Karnataka, Orissa, Chhattisgarh and Jharkhand. The government had set the target of producing 120 million tonnes of steel by March 2012 of which only 75 million tonnes to 78 million tonnes capacity has been created so far.
According to experts, the target looks unachievable in view of delays in setting up plants.
(sourced from ET)
It is reported that unsatisfied with the progress of proposed steel projects entailing estimated investment of INR 11 lakh crore, the government will review hundreds of MoUs signed by companies in past 5 to 6 years as most of them have remained only on paper.
Mr Beni Prasad Verma steel minister said "Our companies have mastered the art of signing MoUs as most of them are on paper only. As many as 236 such agreements have been signed in last 5-6 years for setting up iron and steel units but most of them have neither acquired land nor have got mining leases to set up their units."
Most of the MoUs have been signed between private corporate houses with several states including Karnataka, Orissa, Chhattisgarh and Jharkhand. The government had set the target of producing 120 million tonnes of steel by March 2012 of which only 75 million tonnes to 78 million tonnes capacity has been created so far.
According to experts, the target looks unachievable in view of delays in setting up plants.
(sourced from ET)
Thursday, October 6, 2011
India and Afghanistan ink pact for cooperation in mining
Thursday, 06 Oct 2011
PTI reported that further cementing bilateral ties, India and Afghanistan on Tuesday signed three pacts including an agreement on strategic partnership in mining.
The Strategic Partnership agreement was signed by Indian Prime Minister Dr Manmohan Singh and Afghan President Mr Hamid Karzai.
The MoU signed between the Indian and Afghan ministry of mines on cooperation in the field of mineral resources development aims at promotion of private and public sector investment in mining and mining-related activities as well as mineral exploration and exploitation and capacity building in the field of geosciences and mining in Afghanistan.
(Sourced from PTI)
PTI reported that further cementing bilateral ties, India and Afghanistan on Tuesday signed three pacts including an agreement on strategic partnership in mining.
The Strategic Partnership agreement was signed by Indian Prime Minister Dr Manmohan Singh and Afghan President Mr Hamid Karzai.
The MoU signed between the Indian and Afghan ministry of mines on cooperation in the field of mineral resources development aims at promotion of private and public sector investment in mining and mining-related activities as well as mineral exploration and exploitation and capacity building in the field of geosciences and mining in Afghanistan.
(Sourced from PTI)
Wednesday, August 24, 2011
Legacy Iron Ore in trading halt on pending NMDC transaction
Wednesday, 24 Aug 2011
It is reported that Legacy Iron Ore has been granted a trading halt by the ASX pending an update on the transaction with the National Mineral Development Corporation Limited of India, with the company's shares placed in pre open.
Legacy Iron will be in the halt until the earlier of trade opening on Friday 26 August, or the announcement being released.
NMDC, which is India’s largest iron ore group is looking to lock in iron ore supplies, and has inked an MOU with Legacy Iron to acquire 50% equity in the company.
This would enable Legacy Iron to unlock and monetize the value inherent at Mt Bevan and gain a large cash infusion.
Mt Bevan offers low strip ratios, coarse grind size, low silica and an average concentrate grade of 69.8% iron.
Importantly, the project is located close to road, rail and an existing deep water port, mitigating the need for excessive investment in infrastructure, notably port facilities.
There is potential for early cash flows from DSO hematite.
Legacy Iron Ore is a Perth based Australian exploration company, established to search for iron ore and gold deposits. The flagship project is Mt Bevan Iron Ore project located approximately 100 kilometres west of Leonora in the central Yilgarn region.
Mt Bevan is a joint venture between Legacy and Hawthorn Resources whereby Legacy will earn a 60% interest in the project by expending a minimum of AUD 3.5 million to develop the project to a pre feasibility status.
(sourced proactiveinvestors)
It is reported that Legacy Iron Ore has been granted a trading halt by the ASX pending an update on the transaction with the National Mineral Development Corporation Limited of India, with the company's shares placed in pre open.
Legacy Iron will be in the halt until the earlier of trade opening on Friday 26 August, or the announcement being released.
NMDC, which is India’s largest iron ore group is looking to lock in iron ore supplies, and has inked an MOU with Legacy Iron to acquire 50% equity in the company.
This would enable Legacy Iron to unlock and monetize the value inherent at Mt Bevan and gain a large cash infusion.
Mt Bevan offers low strip ratios, coarse grind size, low silica and an average concentrate grade of 69.8% iron.
Importantly, the project is located close to road, rail and an existing deep water port, mitigating the need for excessive investment in infrastructure, notably port facilities.
There is potential for early cash flows from DSO hematite.
Legacy Iron Ore is a Perth based Australian exploration company, established to search for iron ore and gold deposits. The flagship project is Mt Bevan Iron Ore project located approximately 100 kilometres west of Leonora in the central Yilgarn region.
Mt Bevan is a joint venture between Legacy and Hawthorn Resources whereby Legacy will earn a 60% interest in the project by expending a minimum of AUD 3.5 million to develop the project to a pre feasibility status.
(sourced proactiveinvestors)
Sunday, August 14, 2011
POSCO agrees for not exporting iron ore
Sunday, 14 Aug 2011
BS reported that even as POSCO India is yet to submit a written response on the draft prepared for renewal of MoU with the Orissa government, the company is understood to have raised certain reservations over the omission of the iron ore swapping clause in the revised pact.
While POSCO has verbally agreed not to export iron ore from Orissa, the steel maker has requested the state government to allow it to swap high alumina content iron ore found in Khandadhar mines with high grade ore of any other firm including state owned Orissa Mining Corporation within the state.
A mines department official familiar with the development said that "POSCO India is yet to submit its written reply to our draft MoU. However, the company, during discussions with the state government officials, has agreed to our other conditions including adhering to the employment clause and promoting ancillary industries around the mother plant.”
The Orissa’s state chief secretary Mr BK Patnaik maintained that POSCO India is yet to submit any written response in connection with the renewal of the MoU that lapsed on June 21 last year.
Despite commitments from top officials of the state government, the renewal of MoU with POSCO India had suffered an inordinate delay. The state government had jumped three of its stipulated deadlines in the road to renewal of the pact.
(Sourced from BS)
BS reported that even as POSCO India is yet to submit a written response on the draft prepared for renewal of MoU with the Orissa government, the company is understood to have raised certain reservations over the omission of the iron ore swapping clause in the revised pact.
While POSCO has verbally agreed not to export iron ore from Orissa, the steel maker has requested the state government to allow it to swap high alumina content iron ore found in Khandadhar mines with high grade ore of any other firm including state owned Orissa Mining Corporation within the state.
A mines department official familiar with the development said that "POSCO India is yet to submit its written reply to our draft MoU. However, the company, during discussions with the state government officials, has agreed to our other conditions including adhering to the employment clause and promoting ancillary industries around the mother plant.”
The Orissa’s state chief secretary Mr BK Patnaik maintained that POSCO India is yet to submit any written response in connection with the renewal of the MoU that lapsed on June 21 last year.
Despite commitments from top officials of the state government, the renewal of MoU with POSCO India had suffered an inordinate delay. The state government had jumped three of its stipulated deadlines in the road to renewal of the pact.
(Sourced from BS)
Friday, July 29, 2011
Chinese, Mongolian companies sign $250m coal deal
Friday,July29, 2011 |By China Daily
ULAN BATOR -- A Mongolian and a Chinese mining company have signed a coal deal worth $250 million, local media reported Friday.
Under the deal, the Aluminum Corp of China Ltd (Chalco) will purchase coking coal worth $250 million as an advance payment from Mongolian state-owned company Erdenes Tavan Tolgoi (ETT), which holds the license for the giant Tavan Tolgoi coal deposit in Mongolia's south Gobi region.
The South Korean company Korea Resources Corp (Kores) and the Japanese companies Itochu and Mitsui signed a memorandum of understanding on purchasing 30 percent of the coal from Chalco.
About 50 high-ranking Mongolian and Chinese officials, including Chinese Ambassador to Mongolia Wang Xiaolong, attended the signing ceremony.
Earlier this month, the Mongolian government said it has chosen China Shenhua Energy, US mining giant Peabody Energy and a Russian-Mongolian consortium to develop the coal mine.
Under the deal, the Aluminum Corp of China Ltd (Chalco) will purchase coking coal worth $250 million as an advance payment from Mongolian state-owned company Erdenes Tavan Tolgoi (ETT), which holds the license for the giant Tavan Tolgoi coal deposit in Mongolia's south Gobi region.
The South Korean company Korea Resources Corp (Kores) and the Japanese companies Itochu and Mitsui signed a memorandum of understanding on purchasing 30 percent of the coal from Chalco.
About 50 high-ranking Mongolian and Chinese officials, including Chinese Ambassador to Mongolia Wang Xiaolong, attended the signing ceremony.
Earlier this month, the Mongolian government said it has chosen China Shenhua Energy, US mining giant Peabody Energy and a Russian-Mongolian consortium to develop the coal mine.
Friday, July 8, 2011
JSW Steel withdrew iron ore petition as SC refused to entertain plea
Friday, 08 Jul 2011
The Hindu reported that JSW Steel on Wednesday withdrew its petition seeking direction to the Karnataka government for allotting captive iron ore mines for its steel plant in the state after the Supreme Court refused to entertain its plea.
A bench comprising Justices Mr VS Sirpurkar and Mr TS Thakur declined to entertain the plea of JSW Steel to direct the Karnataka government to lease a captive mine for steel plant at Vijaynagar in the State.
The bench said that “We cannot enlarge the scope of the petition and direct some one to surrender its lease or give lease to some one.”
The apex court was also not convinced by the submission of the company that it made an investment of INR 10,000 crore by setting a steel plant on the assurances of the state government that a captive mine would be allotted to it.
The bench said that “JSW are not an unknown villager, who would invest such a large sum on promises only.”
However, it gave liberty to the company to approach the Karnataka High Court if it feels that the state government has not fulfilled obligation under the MoU signed by it in 1994.
Senior advocate Mr Mukul Rohatgi appearing for JSW Steel submitted that while signing MoU with the State in 1994, it was assured that it would be allotted a captive mine in the state after National Mineral Development Corporation surrender some of the mines in the State.
He said that “From 1994 to 2011, 17 years has gone by, but we have not been given any mines. Even the small producers in the state have been allotted captive mines adding that JSW Steel is forced to buy iron ore from others and transport miles and it is hampering its growth.”
(sourced from TheHindu)
The Hindu reported that JSW Steel on Wednesday withdrew its petition seeking direction to the Karnataka government for allotting captive iron ore mines for its steel plant in the state after the Supreme Court refused to entertain its plea.
A bench comprising Justices Mr VS Sirpurkar and Mr TS Thakur declined to entertain the plea of JSW Steel to direct the Karnataka government to lease a captive mine for steel plant at Vijaynagar in the State.
The bench said that “We cannot enlarge the scope of the petition and direct some one to surrender its lease or give lease to some one.”
The apex court was also not convinced by the submission of the company that it made an investment of INR 10,000 crore by setting a steel plant on the assurances of the state government that a captive mine would be allotted to it.
The bench said that “JSW are not an unknown villager, who would invest such a large sum on promises only.”
However, it gave liberty to the company to approach the Karnataka High Court if it feels that the state government has not fulfilled obligation under the MoU signed by it in 1994.
Senior advocate Mr Mukul Rohatgi appearing for JSW Steel submitted that while signing MoU with the State in 1994, it was assured that it would be allotted a captive mine in the state after National Mineral Development Corporation surrender some of the mines in the State.
He said that “From 1994 to 2011, 17 years has gone by, but we have not been given any mines. Even the small producers in the state have been allotted captive mines adding that JSW Steel is forced to buy iron ore from others and transport miles and it is hampering its growth.”
(sourced from TheHindu)
Wednesday, May 4, 2011
Orissa objects to MoEF missive on iron ore export by POSCO
Wednesday, 04 May 2011
BS reported that the Orissa government has raised objections over the recommendation of the union ministry of environment & forests to discourage iron ore exports by POSCO from the state.
The state government has said stating that the move to allow or disallow exports of the raw material is not the prerogative of the MoEF, it will take a final call on the matter.
A top official of the state steel & mines department said that "We are going to renew the MoU with POSCO India very soon. But we are yet to decide on whether we will allow or disallow exports of the raw material. In any case the decision will be taken by the state government and the union environment ministry cannot impose any such condition."
The ministry which granted Stage II forest clearance for the POSCO project has suggested that the revised MoU between the state government and POSCO India needs to be negotiated in a manner that the exports of the raw material are completely avoided. (sourced BS)
BS reported that the Orissa government has raised objections over the recommendation of the union ministry of environment & forests to discourage iron ore exports by POSCO from the state.
The state government has said stating that the move to allow or disallow exports of the raw material is not the prerogative of the MoEF, it will take a final call on the matter.
A top official of the state steel & mines department said that "We are going to renew the MoU with POSCO India very soon. But we are yet to decide on whether we will allow or disallow exports of the raw material. In any case the decision will be taken by the state government and the union environment ministry cannot impose any such condition."
The ministry which granted Stage II forest clearance for the POSCO project has suggested that the revised MoU between the state government and POSCO India needs to be negotiated in a manner that the exports of the raw material are completely avoided. (sourced BS)
Thursday, March 3, 2011
Agreement reached with Japanese on clean coal
Thursday,03 Mar 2011
The Government of Saskatchewan and the Japan Coal Energy Center have a new memorandum of understanding to encourage more co-operation between the province and Japan on technologies respecting clean coal and carbon capture and storage.
Energy and resources minister Bill Boyd and JCOAL chairman Yoshihiko Nakagaki signed the MOU in Tokyo on January 25 during Boyd's resources investment mission to Asia.
The agreement sets the stage for future information exchanges and research projects involving scientists and companies in both jurisdictions, and it could lead to Japanese investment in Saskatchewan carbon capture and storage projects.
Mr Boyd said that "JCOAL has a great track record in clean coal technology research and Saskatchewan is a world leader in carbon capture and storage technology. It's taken a lot of work on both sides to make this MOU happen, and the relationships we establish through it will help both Saskatchewan and Japan as our industries and utilities work to reduce their environmental footprints."
Saskatchewan is Canada's third largest coal producer, with reserves that will last hundreds of years at current production levels.
Mr Boyd said that "The technical co-operation coming out of this MOU may well help us unlock some of our province's deeper coal resources, which require new and innovative technologies to be developed.” (sourced:LeaderPost)
Tags: Japanese investment in Saskatchewan carbon capture projects,
Energy and resources minister Bill Boyd and JCOAL chairman Yoshihiko Nakagaki signed the MOU in Tokyo on January 25 during Boyd's resources investment mission to Asia.
The agreement sets the stage for future information exchanges and research projects involving scientists and companies in both jurisdictions, and it could lead to Japanese investment in Saskatchewan carbon capture and storage projects.
Mr Boyd said that "JCOAL has a great track record in clean coal technology research and Saskatchewan is a world leader in carbon capture and storage technology. It's taken a lot of work on both sides to make this MOU happen, and the relationships we establish through it will help both Saskatchewan and Japan as our industries and utilities work to reduce their environmental footprints."
Saskatchewan is Canada's third largest coal producer, with reserves that will last hundreds of years at current production levels.
Mr Boyd said that "The technical co-operation coming out of this MOU may well help us unlock some of our province's deeper coal resources, which require new and innovative technologies to be developed.” (sourced:LeaderPost)
Tags: Japanese investment in Saskatchewan carbon capture projects,
Monday, February 28, 2011
Emami Ltd close to taking control of iron ore mining in Orissa
By Aniek Paul, Mint, New Delhi
Feb23, 2011
Diversified conglomerate Emami Ltd is close to taking control of an unexploited iron ore mine in Orissa for '400-500 crore in staggered cash payments.
A memorandum of understanding has been signed between Emami and the company that owns the lease right to the mine and the deal could be concluded within two weeks, according to people familiar with the deal.
Emami's co-chairman R.S. Goenka said the company was scouting for iron ore reserves in Orissa and collieries in Indonesia. Emami may consider diversifying into steel if it could secure iron ore mines. It has already decided to launch a power plant, for which it is looking to buy collieries producing energy coal in Indonesia, he added.
Emami is following other private miners in "securing iron ore reserves" in states such as Orissa, Jharkhand and Chhattisgarh through "intriguing deals structured to comply" with the restrictions on transfer of mining leases under Indian laws, said a person who has acted as an intermediary in several similar deals in the past couple of years. He did not wish to be identified.
Starting in the 1970s, several people, mostly from the "local landed gentry", were given mining leases in the iron ore-rich states--Orissa, Jharkhand and Chhattisgarh. The assets were leased out to them initially for 20 years, but at the end of the first term, the lease was renewable "automatically" for 20 more years even if the developer hadn't made any effort to extract minerals.
But on completion of 40 years, the state governments are to auction these assets, according to the person cited above. "For those owning the mining leases, the only way to retain them is to develop the mines much before the end of the lease term," he said. "Only if a mine is in operation, the company owning the lease right could request the state government to renew the lease again."
But most of these people do not have the cash to develop the mines on their own, so they approach large companies such as Emami to "capitalize" them, he said. Under Indian laws, companies owning mining leases cannot sell shares or receive funding from others to develop the mines, he said.
Notwithstanding the restrictions aimed at making sure that mining leases couldn't be transferred or mortgaged, lawyers have devised a way to "bring in new beneficiaries without breaking the laws", according to him.
One of the key determinants of valuation is the "number of years left in the (40-year) lease term". Those attracting the best valuations are the ones that have at least 15-20 more years left, he added. "But at least one mine with less than three years left in the lease term is known to have found an investor recently." This is significant because, at times, it takes years to obtain clearance from the ministry of environment and forests to start mining.
Companies such as Emami enter as "long-term buyers" of iron ore, paying an "advance to secure the right" to buy the future production of the mine. In some cases, the company owning the mining lease even stages a contest to determine the highest bidder. On conclusion of the deal, however, the "long-term buyer" effectively gets control of the mine.
Though a substantial amount is normally paid at the time of signing the deal, the payment of the best part of the consideration is "linked to milestones". "This is because, even though the long-term buyer would operate the mine going forward, it is entirely dependent on the company owning the mining lease for securing clearances," he said.
It isn't immediately known--and it may not have been firmed up either--how much Emami is to pay upfront for the mine that it is eyeing. "Talks are at final stages; the details are being discussed now," said another person familiar with Emami's deal, who also did not wish to be named.
There's a considerable amount of risk involved in these deals, said a lawyer familiar with them, speaking on condition of anonymity. "Considering the strict environment laws these days, there's no guarantee that all clearances could be obtained," he said. "All deals need not lead to commercial exploitation of reserves--if the investor has such doubts, it would pay a small amount, say '5 crore, at the time of signing the deal."
Another problem is that of "squatters", he added. During legal due diligence, it's often discovered that the firm owning the mining rights signed a similar agreement with another investor years ago, but has been unable to exploit the mine. "In some cases, the right of that person has to be bought out. But at times, the squatters are so demanding that the deal cannot be closed."
(sourced:livemint)
A memorandum of understanding has been signed between Emami and the company that owns the lease right to the mine and the deal could be concluded within two weeks, according to people familiar with the deal.
Emami's co-chairman R.S. Goenka said the company was scouting for iron ore reserves in Orissa and collieries in Indonesia. Emami may consider diversifying into steel if it could secure iron ore mines. It has already decided to launch a power plant, for which it is looking to buy collieries producing energy coal in Indonesia, he added.
Emami is following other private miners in "securing iron ore reserves" in states such as Orissa, Jharkhand and Chhattisgarh through "intriguing deals structured to comply" with the restrictions on transfer of mining leases under Indian laws, said a person who has acted as an intermediary in several similar deals in the past couple of years. He did not wish to be identified.
Starting in the 1970s, several people, mostly from the "local landed gentry", were given mining leases in the iron ore-rich states--Orissa, Jharkhand and Chhattisgarh. The assets were leased out to them initially for 20 years, but at the end of the first term, the lease was renewable "automatically" for 20 more years even if the developer hadn't made any effort to extract minerals.
But on completion of 40 years, the state governments are to auction these assets, according to the person cited above. "For those owning the mining leases, the only way to retain them is to develop the mines much before the end of the lease term," he said. "Only if a mine is in operation, the company owning the lease right could request the state government to renew the lease again."
But most of these people do not have the cash to develop the mines on their own, so they approach large companies such as Emami to "capitalize" them, he said. Under Indian laws, companies owning mining leases cannot sell shares or receive funding from others to develop the mines, he said.
Notwithstanding the restrictions aimed at making sure that mining leases couldn't be transferred or mortgaged, lawyers have devised a way to "bring in new beneficiaries without breaking the laws", according to him.
One of the key determinants of valuation is the "number of years left in the (40-year) lease term". Those attracting the best valuations are the ones that have at least 15-20 more years left, he added. "But at least one mine with less than three years left in the lease term is known to have found an investor recently." This is significant because, at times, it takes years to obtain clearance from the ministry of environment and forests to start mining.
Companies such as Emami enter as "long-term buyers" of iron ore, paying an "advance to secure the right" to buy the future production of the mine. In some cases, the company owning the mining lease even stages a contest to determine the highest bidder. On conclusion of the deal, however, the "long-term buyer" effectively gets control of the mine.
Though a substantial amount is normally paid at the time of signing the deal, the payment of the best part of the consideration is "linked to milestones". "This is because, even though the long-term buyer would operate the mine going forward, it is entirely dependent on the company owning the mining lease for securing clearances," he said.
It isn't immediately known--and it may not have been firmed up either--how much Emami is to pay upfront for the mine that it is eyeing. "Talks are at final stages; the details are being discussed now," said another person familiar with Emami's deal, who also did not wish to be named.
There's a considerable amount of risk involved in these deals, said a lawyer familiar with them, speaking on condition of anonymity. "Considering the strict environment laws these days, there's no guarantee that all clearances could be obtained," he said. "All deals need not lead to commercial exploitation of reserves--if the investor has such doubts, it would pay a small amount, say '5 crore, at the time of signing the deal."
Another problem is that of "squatters", he added. During legal due diligence, it's often discovered that the firm owning the mining rights signed a similar agreement with another investor years ago, but has been unable to exploit the mine. "In some cases, the right of that person has to be bought out. But at times, the squatters are so demanding that the deal cannot be closed."
(sourced:livemint)
Wednesday, February 23, 2011
Afripalm and India's SAIL sign steel mill pact
Wed Feb 23, 2011 4:24pm GM
* Feasibility study for 3-5 mln tonnes plant in SAfrica
* Mill expected to cost $2.95 billion
* Afripalm says SAIL to have big management role
JOHANNESBURG, Feb 23 (Reuters) - South Africa's Afripalm Resources signed a memorandum of understanding with Steel Authority of India (SAIL.BO: Quote) to build a steel mill in South Africa, Afripalm Chairman Lazarus Zim said on Wednesday.
The companies would conduct a feasibility study for a 21 billion rand ($2.95 billion) plant, expected to produce 3-5 million tonnes of steel a year, Zim said.
"There is a domestic market for steel and an export market. We believe South Africa has significant iron ore deposits and there is room for another steel mill," Zim told Reuters in an interview.
He said the feasibility study, expected to take six months, would start in the next few weeks.
Zim also said the Indian firm, also known as SAIL, would have a leading management role in the running of the plant, which is expected to take three to four years to build.
"We will sit down and decide who does what but (SAIL) will play a big role in management," Zim said.
Zim resigned last year from the board of Kumba Iron Ore (KIOJ.J: Quote), the world's 10th-largest iron ore supplier, to start a new steel firm.
The South African steel market is dominated by ArcelorMittal South Africa (ACLJ.J: Quote), a unit of the world's largest steel producer.
The government has accused ArcelorMittal of charging excessive prices to the detriment of the local steel industry and for failing to pass to consumers the benefits of an iron ore discount it used to receive from Kumba.
State-run SAIL said this week it plans to spend $12 billion to build four overseas plants in Indonesia, Oman, Mongolia and South Africa. [ID:nSGE71K04N]
($1=7.118 Rand)
(Reporting by Agnieszka Flak and Olivia Kumwenda; Editing by Jon Herskovitz and David Hulmes,sourced:Thomson Reuters)
Monday, February 7, 2011
RINL unveils further expansion plans
Monday, 07 Feb 2011
Rashtriya Ispat Nigam Limited on Sunday unveiled investment plans to expand its capacity to 8.4 million tonnes per annumof steel in the next five years.
Mr PK Bishnoi CMD of RINL told media persons in Bhubaneswar that RINL would add an additional production of 3 million tonnrs steel with an investment of INR 12,500 crore from the next fiscal.
He said “We will add another 1 million tonne of steel with an investment of INR 7,000 crore from the year 2013-14. We will appoint a consultant in next ten days for this purpose. It will increase the company’s capacity to 7.3 million tonnes.”
Mr Bishnoi said that the company plans to produce4.4 million tonnes of high quality steel of with an investment of INR 25,000 crore from the financial year 2014-15 because the consumption of steel will go up with the urbanization of India.
He added that “After expansion plan of RINL, we want to set up new steel plants in Orissa, Jharkhand and Rajasthan. We have signed a MoU with the Karnataka based Kudurnor Iron Company Ltd for setting up a steel plant.”
Rashtriya Ispat Nigam Limited on Sunday unveiled investment plans to expand its capacity to 8.4 million tonnes per annumof steel in the next five years.
Mr PK Bishnoi CMD of RINL told media persons in Bhubaneswar that RINL would add an additional production of 3 million tonnrs steel with an investment of INR 12,500 crore from the next fiscal.
He said “We will add another 1 million tonne of steel with an investment of INR 7,000 crore from the year 2013-14. We will appoint a consultant in next ten days for this purpose. It will increase the company’s capacity to 7.3 million tonnes.”
Mr Bishnoi said that the company plans to produce4.4 million tonnes of high quality steel of with an investment of INR 25,000 crore from the financial year 2014-15 because the consumption of steel will go up with the urbanization of India.
He added that “After expansion plan of RINL, we want to set up new steel plants in Orissa, Jharkhand and Rajasthan. We have signed a MoU with the Karnataka based Kudurnor Iron Company Ltd for setting up a steel plant.”
Tuesday, February 1, 2011
Posco says no plan to develop coal mine in Mozambique
Tueday, 01, February 2011
By: Reuters
SEOUL– South Korea's POSCO , the world's No.3 steelmaker, said on Tuesday that it does not plan to develop a coal mine in Mozambique, denying its statement over the weekend for such a plan with Vale .
"We don't have any plan to develop a coal mine in Mozambique with Vale and our earlier statement had factually wrong information," POSCO said in a statement on Tuesday.
POSCO, which aims to double raw material self-sufficiency to 50% by 2014, has earmarked 700-billion won ($627-million) in raw material investment this year.
Last week, POSCO signed a memorandum of understanding with Anchor in Zimbabwe to build a joint mining venture to develop chrome, coal and other raw materials. (sourced:Reuters)
By: Reuters
SEOUL– South Korea's POSCO , the world's No.3 steelmaker, said on Tuesday that it does not plan to develop a coal mine in Mozambique, denying its statement over the weekend for such a plan with Vale .
"We don't have any plan to develop a coal mine in Mozambique with Vale and our earlier statement had factually wrong information," POSCO said in a statement on Tuesday.
POSCO, which aims to double raw material self-sufficiency to 50% by 2014, has earmarked 700-billion won ($627-million) in raw material investment this year.
Last week, POSCO signed a memorandum of understanding with Anchor in Zimbabwe to build a joint mining venture to develop chrome, coal and other raw materials. (sourced:Reuters)
Wednesday, January 26, 2011
Mr Verma signs MoU with province of Central Kalimantan in Indonesia
Wednesday, 26 Jan 2011
Mr CS Verma chairman of Steel Authority of India Limited as well as chairman of Indian Coal Videsh Limited signed a MoU with Governor of Central Kalimantan, Indonesia, HE Mr Agustin Teras Narang for development of mineral deposits, setting up of mineral processing facility, steel plant and required infrastructure in the province of Central Kalimantan.
The MoU was signed in the presence of president of Indonesia, HE Susilo Bambang Yudhoyono minister of Commerce & Industry Government of India, Mr Anand Sharma minister of state for external affairs. Mr E Ahamed and senior officials of the government of Indonesia.
The MoU envisages setting up of steel plant and mineral processing facility by optimization of large natural resources of Province of Central Kalimantan, such as coking and thermal coal, iron ore and other minerals for economic development of the Province and meeting the requirement of coal of the promoter companies of ICVL through mutual partnership. While the province will provide ICVL with necessary maps and licenses, ICVL will undertake preliminary survey and exploration activities to find the location and suitability of the quality of minerals and the size of reserves both for domestic use in Indonesia and for exports. A techno economic feasibility study will be undertaken jointly by the two institutions to explore construction and development of mineral processing facility and steel plant of suitable capacity in the region.
Speaking on the occasion, Mr HE Susilo Bambang Yudhoyono said that “Indonesia is rich in coal and other minerals, we can see great cooperation between India and Indonesia to explore opportunities for processing of iron ore and other minerals.” Mr Anand Sharma hailed the MoU as a ‘significant and defining relationship’ between the two institutions. He invited close cooperation in multilateral forum between India and Indonesia, the latter being ‘a growing hub of economic activity’. Underlining the importance of the deal.
Mr CS Verma said that “The MoU marks the beginning of our mutual intent for long term engagement with each other in the area of economic cooperation between both the institutions”.
ICVL is a Joint Venture of SAIL, Coal India Limited, Rashtriya Ispat Nigam Limited, NMDC Limited and NTPC Limited. The MoU is a vital step forward in capitalizing on the synergies between the two institutions for mutual benefit and growth. It is hoped that this will be a beginning of a long term collaboration for efficient execution of sustainable projects
Mr CS Verma chairman of Steel Authority of India Limited as well as chairman of Indian Coal Videsh Limited signed a MoU with Governor of Central Kalimantan, Indonesia, HE Mr Agustin Teras Narang for development of mineral deposits, setting up of mineral processing facility, steel plant and required infrastructure in the province of Central Kalimantan.
The MoU was signed in the presence of president of Indonesia, HE Susilo Bambang Yudhoyono minister of Commerce & Industry Government of India, Mr Anand Sharma minister of state for external affairs. Mr E Ahamed and senior officials of the government of Indonesia.
The MoU envisages setting up of steel plant and mineral processing facility by optimization of large natural resources of Province of Central Kalimantan, such as coking and thermal coal, iron ore and other minerals for economic development of the Province and meeting the requirement of coal of the promoter companies of ICVL through mutual partnership. While the province will provide ICVL with necessary maps and licenses, ICVL will undertake preliminary survey and exploration activities to find the location and suitability of the quality of minerals and the size of reserves both for domestic use in Indonesia and for exports. A techno economic feasibility study will be undertaken jointly by the two institutions to explore construction and development of mineral processing facility and steel plant of suitable capacity in the region.
Speaking on the occasion, Mr HE Susilo Bambang Yudhoyono said that “Indonesia is rich in coal and other minerals, we can see great cooperation between India and Indonesia to explore opportunities for processing of iron ore and other minerals.” Mr Anand Sharma hailed the MoU as a ‘significant and defining relationship’ between the two institutions. He invited close cooperation in multilateral forum between India and Indonesia, the latter being ‘a growing hub of economic activity’. Underlining the importance of the deal.
Mr CS Verma said that “The MoU marks the beginning of our mutual intent for long term engagement with each other in the area of economic cooperation between both the institutions”.
ICVL is a Joint Venture of SAIL, Coal India Limited, Rashtriya Ispat Nigam Limited, NMDC Limited and NTPC Limited. The MoU is a vital step forward in capitalizing on the synergies between the two institutions for mutual benefit and growth. It is hoped that this will be a beginning of a long term collaboration for efficient execution of sustainable projects
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