NMDC Restarts Work At Donimalai Mines In Karnataka
Production had been suspended for over two years over a dispute with the Karnataka. government.
After over two years, state- owned NMDC Ltd. resumed production of iron ore from Donimalai Mines in Karnataka, the public sector enterprise said on Thursday.
NMDC had, in December 2018, suspended mining in Donimalai due to a legal battle with the Karnataka government over the issue of imposition of premium on the sale price of the iron ore extracted from the mines.
“This is to inform that after obtaining the lease extension of Donimalai Iron Ore Mine (ML-2396) for 20 years with effect from Nov. 3, 2018 from the government of Karnataka and completing the associated statutory requirements, the Donimalai iron ore mine,” a filing with the stock exchanges said.
A senior official of NMDC told PTI that the resumption of mining at Donimalai would add production of 5-6 lakh tonnes of iron ore per month.