Bhubaneswar: In a bid to prevent illegal mining, Odisha government has decided to cancel the lease of certain mines, whose renewal was due between February 1987 and September 1994 by changing some

Posco India may have to abandon its proposal for swapping of high alumina content iron ore found in the state with high grade ore from outside to meet the quality parameters of its proposed 12 million tonne greenfield steel project in Odisha.

Even the steel behemoth’s plan to swap iron ore within the country, a modified condition understood to be incorporated in the revised pact by the Odisha government may not hold ground if the latest order of the Union mines ministry is implemented.

PANJIM: Directorate of Mines and Geology on Friday issued show cause notices to 40 mining lease holders, whose delay in filing the ‘J Form’ was condoned by the former Congress government.

Interestingly, the directorate has asked lease holders to explain why action should not be initiated against them for unlawful condonation of delay, when the condonation was actually done by the government. Director of Mines and Geology Prasanna Acharya told Herald that the show cause notices were issued to owners of mining leases, who will have to reply to the notices by October 10.

In exercise of the powers conferred by section 13 of the Mines and Minerals (Development and Regulation) Act, 1957 (67 of 1957), the Central Government hereby makes the following rules further to amend the Mineral Concession Rules, 1960. These rules may be called the Mineral Concession (Amendment) Rules, 2012.

Ministry in process of amending rules. Guilty party to lose licence, debarred from obtaining any further licence

PANJIM: As a major fallout of Shah Commission’s interim report, Union Mines ministry is working on amending the Mineral Concession Rules which will make mine owner lose his licence and would be debarred from obtaining any further licence, if he is found guilty of involving in illegal mining activity. Justice M B Shah Commission, during its first interim report had suggested this stringent measure to curb the illegal mining, which was accepted by the union mines ministry.

Three lessees charged with violation of Rule-37 of Mineral Concession Rules-1960 – Indrani Patnaik, KJS Ahluwalia and R P Sao- have filed petitions in the revision authority under Union ministry of mines, dealing a blow to the ongoing investigation by the state steel & mines department.

Indrani Patnaik has even got an interim order from the revision authority barring the state government from passing any final order in case of Rule-37 violation before the lessee’s revision application is disposed off by the authority. The state government, however, has been allowed to carry on hearing in the case, said a steel & mines department official.

PANJIM: The Union Mines Ministry has asked Goa government to ensure that there is no environmental degradation while allowing the dumps to be handled for exports.

The ministry has also stipulated that any dump handling would be done only after ‘quantification of grade and quantity of ore’ in the heaps of mining rejects piled across the state.

Probe finds the company selling entire produce to JSPL without agreement

Sarada Mines is in the dock for glaring violation of Rule 37 of Mineral Concession Rules (MCR)-1960. The lessee which holds lease of the Thakurani iron ore mines spread over 947.04 hectares in Keonjhar district has been found to sell its entire run of mine (ROM) produce to Jindal Steel & Power Ltd (JSPL) without any agreement.

Patnaik Steel and Alloys, a subsidiary of Patnaik Minerals, the lease holder of Banachapani iron ore mine in Keonjhar district, has been found to have violated several forest and environment rules.

This is revealed from an enquiry conducted by the State Director of Mines into the issue. “The matter has been enquired into by officers of Directorate of Mines and basing on their report and verification, the following irregularities have been noticed along with other violations,” the state steel and mines department said while asking the state revenue and environment ministry to initiate action against the miner.

The Odisha government has refused to abide by a clause of the Mineral Concession Rule (MCR), 1960, dealing with royalty charges on minerals, citing certain flaws in it.

According to Rule 64 B, sub-rule (1) of the MCR Rule 1960, the states can charge royalty on the minerals that has been processed within the leasehold area of a particular mine. But the Odisha government wants to collect royalty on the basis of mineral produced and not after it is processed within the mining lease area.