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Wednesday, August 10, 2011

NMDC Mining in Karnataka; Company to increase output in Karnataka


NMDC to Double Ore Output in Karnataka

NMDC, India’s largest iron ore producer, aims to almost double production from its mines in Karnataka to meet local demand after the nation’s top court allowed the company to restart operations in the southern state.

The company plans to produce as much as 35,000 metric tonnes of ore a day from its two mines in the Bellary area, finance director S Thiagarajan said on Tuesday in an interview. Output at Donimalai will be raised by 39% to 25,000 tonnes, while the mine at Kumaraswamy, to be restarted after a 10-month hiatus, will produce about 10,000 tonnes, he said.

India’s top court on July 5 allowed the state-owned company to mine the steel-making ingredient in Bellary, partially lifting a July 29 ban aimed at curbing environmental degradation in the area. The court allowed NMDC to produce 12 million tonnes of iron ore annually, the estimated requirement of the state's steel industry, according to a ruling by a threejudge bench, led by chief justice SH Kapadia.

 “Our target is to produce 1 million tonnes each month and to do that we will reopen the Kumaraswamy mine today (Tuesday),” Mr Thiagarajan said over phone from Donimalai. “The company will shortly sell inventories at the both the mines.”
Source: TOI 10092011

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