The auction of the mine, which has an estimated reserve of 278 million tonne, was held on September 18. JSPL has offered to pay 118.1% premium.
The mine, previously held by Essel Mining & Industries, has an environmental clearance to mine 7.5 million tonne ore annually.Jindal Steel & Power (JSPL) has been declared the preferred bidder for the Kasia iron ore and dolomite mine by the Odisha government.
The auction of the mine, which has an estimated reserve of 278 million tonne, was held on September 18. JSPL has offered to pay 118.1% premium.
The mine, previously held by Essel Mining & Industries, has an environmental clearance to mine 7.5 million tonne ore annually.
“The Kasia mine has a large resource of 278 million tonne of iron ore and it consists of an average Fe grade of approx. 62.5%, The mine has favourable lumps to the fine ratio of 20:80,” JSPL said in a statement.
The mine is located about 17 km from JSPL’s Barbil pellet plant. Since it was an operating mine until its lease expired in March 2020, JSPL can resume operations from the lease in the current financial year itself.
“There would not be any significant CAPEX requirement, except for statutory payment, as the mine was already operational,” V R Sharma, managing director, JSPL, said.
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