(Source: NMDC website)

NMDC Halts Iron Ore Production In All Its Mines, Except One

Barring the Kumaraswamy Mines in Karnataka, production of iron ore by NMDC Ltd. came to a standstill due to protest by tribals.

The miner will lose 70,000 tonnes of iron ore production from Bailadilla Range in Chhattisgarh and already losing 0.5 million tonnes per month from Donimalai mines in Karnataka since November last year, official sources said.

Earlier, NMDC suspended iron ore-mining from its Donimalai mine following the state government’s decision to impose 80 percent premium on the ore sales from that mine in November, 2018.

Lately, the miner suspended production at Bailadilla Complex consisting of Bacheli and Kirandul mining blocks in Chhattisgarh following the agitation by tribal groups against the iron ore mining on hills in the Deposit no.13, official sources said.

“There is a production loss of about 70,000 tonnes of iron ore production per day due to tribal unrest at Bailadilla Range in Dantewada in Chhattisgarh. The mining was suspended in Bacheli mines since June 11 while it was stopped at Kirandul mines from June 7,” sources told PTI.

Thousands of tribals, under the banner of the Sanyukt Panchayat Samiti, have resorted to protest against iron ore mining on hills in the deposit no. 13 since June 7. The mining in the entire Bailadila Iron Ore Complex consisting of Bacheli and Kirandul mining blocks was completely stalled.

Deposit-13 is being developed by a joint venture company called NCL, formed by NMDC and the Chhattisgarh Mineral Development Corporation.

A contract for excavation and mine development was awarded to Adani Enterprises Limited last year when the Bharatiya Janata Party was in power in the state. Adani was awarded the contract only for excavation and mine development.

The work was awarded to Adani by inviting open tenders through transparent e-tendering portal of MSTC, a state-owned company, NMDC had earlier clarified. The Chhattisgarh government on Tuesday ordered a halt to all works related to proposed iron mining at Deposit-13.