623 PLs for mining leases pending in Goa

Thursday, 06 Oct 2011

PTI reported that State Mines and Geology department has conceded that there are 623 prospecting licences for mining leases pending with them while environmentalists are asserting for cap in the Iron Ore mining in Goa.

A cabinet note moved has mentioned that state has 595 deemed leases, of which 410 applications for renewal are being processed. The department has told the state cabinet that there are 623 prospecting licenses.

The Shah Commission appointed by the Central government and state legislative assembly's Public Accounts Committee is investigating into multi crore mining scam, which has been estimated somewhere around INR 1,200 crore to INR 10,000 crore.

The ministry of Environment and Forest has fixed a moratorium on new mining leases and renewal of old leases since last year onwards asking the state government to frame its mining policy. While environmentalists and state main opposition party, Bharatiya Janata Party are pressing for a cap on the iron ore to be tapped from Goa, the mining industry has said that 'any capping would be deterrent for their trade.'

Goa basically has low grade Iron Ore which has received huge demand in the international markets after China boom of 2005 when the neighboring country began building infrastructure for Beijing Olympics. The state which has mining as the biggest industry after the tourism trade, had received INR 1,000 crore in the form of royalty earned on exports. As per the figures furnished on Monday till date between March to September 2011 the state has earned INR 450 crore as a royalty.

Of the twelve talukas, seven talukas has active mines. As per the figures provided by the state government to Shah Commission and there are 90 mining leases and total 54 million tonnes of Ore has been exported from Goa.

(sourced from HindustanTimes)

Optimum Coal buys Remhoogte mine from BHP

Tuesday, 23 Aug 2011

South Africa's sixth largest coal producer Optimum Coal said that it had bought two prospecting rights from BHP Billiton Energy Coal South Africa in a move to boost its portfolio.

Optimum said it would buy from BECSA the Remhoogte prospecting rights, which have an inferred resource of around 306.5 million tonnes.

The ZAR 235 million (USD 32.6 million) acquisitions will be funded through the company's own cash resources and re financed group debt facilities.

Mr Mike Teke CEO said the acquisition gives Optimum an attractive growth opportunity. he said that "At this stage it is envisaged that Remhoogte will principally be a replacement for Optimum Colliery's export saleable production in the medium to long term, although market conditions and an improvement in export logistics could result in the development of the project being expedited.”

The company said a planned Remhoogte mine is expected to produce 2.5 million tonnes of export coal per year and an estimated 400,000 tonnes of middlings product well suitable to supply power utility Eskom's nearby Camden and Majuba power stations.

(sourced Thomson Reuters)

Indian government update on land for mining to private companies

Monday, 14 Mar 2011

Mr Dinsha Patel Indian minister of state (independent charge) for mines informed the Lok Sabha that the state governments are competent to grant mineral concessions including Reconnaissance Permit, Prospecting Licence and Mining Lease under the provisions of the Mines and Minerals Act 1957 subject to prior approval of the central government.

Subsequent to the prior approval of the central government, mining leases etc are executed by the state governments with the mining agencies after following the due procedures ie obtaining forest and environment clearances and approval of mining plan from the Indian Bureau of Mines.

Whilst processing the proposals recommended by the State Governments for prior approval of the Central Government, the Ministry of Mines examines the same in the light of the provisions of the MMDR Act, 1957, the Mineral Concession Rules, 1960 and the guidelines framed in this regard and where necessary, in consultation with the State Governments and specialized agencies like the Indian Bureau of Mines, the Geological Survey of India and the Department of Atomic Energy. The Ministry of Mines is conscious of its responsibility to ensure that the mineral concession regime functions in a transparent and efficient manner. In this regard, the Ministry has, in consultation with the State Governments, issued the following guidelines:-

1. Comprehensive guidelines dated June 24th 2009, in order to bring more clarity in processing the mineral concession proposals. The guidelines also seek to ensure application of uniform criteria by the State Governments while examining and recommending proposals to the Central Government.

2. Guidelines dated February 9th 2010 on ‘special reasons’ to be adopted by all State Governments while recommending a mineral concession proposal in favour of a later applicant in a non notified area.

3. Guidelines dated October 13th 2010 regards maps in order to ensure that the areas recommended by the State Governments for mineral concessions are clearly demarcated.