Tata says steel sales disruption from court-enforced Odisha iron ore halt 'minimal'

  • Friday, August 15, 2014
  • Source:ferro-alloys.com

  • Keywords:steel
[Fellow]ndia's Tata Steel Group said Wednesday the suspension of iron ore mining operations in Odisha for two weeks during the April-June quarter due to an interim order by the Supreme Court of India caused "minimal" disruption to steel sales from Jamshedpur steel wor...

(13Aug2014) ndia's Tata Steel Group said Wednesday the suspension of iron ore mining operations in Odisha for two weeks during the April-June quarter due to an interim order by the Supreme Court of India caused "minimal" disruption to steel sales from Jamshedpur steel works.

 

The State Government has since issued orders enabling Tata Steel to resume mining operations at two iron ore mines and two manganese mines, the company said in an earnings statement for its fiscal first quarter.

 

The mines restarted before the end of the quarter, it said.

 

India's Supreme Court in May ordered an interim halt on ore mining in Odisha by companies whose lease agreements had expired and were not renewed. The main aim of the order was to stop illegal mining.

 

As a result, all 26 mines in Odisha, including Tata Steel's seven captive iron ore mines, were ordered to cease production pending reviews of their leases.

 

"The company was able to implement various mitigation plans such that there was minimal impact on the deliveries of saleable steel," it said.

 

"The company has been operating its mines with all statutory clearances, such as environmental clearance, forest clearances, consent to operate etc. and also submitted applications for the renewal of the mining leases as per the time stipulated under law," Tata Steel said in a presentation.

 

As for the Khondbond iron ore in Orissa and Sukinda chrome ore mines in Odisha, the so-called express orders to renew mining leases required to restart activities are still pending with the state governments and Tata Steel remains in talks, it said.

 

Consequently, mining operations and expansion of mining capacity have been suspended, and this has led to the stoppage of the Bamnipal ferroalloy plants, and at TS Alloys since the first week of August, it said.

 

At the Jamshedpur works, the 700,000 mt/year Coke Oven Battery No. 11 commissioned in April was ramped up in record time, Tata Steel said.

  • [Editor:Puyunyun]

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