Permission for crushing ore withdrawn

Staff Reporter

Panaji

After asking the mining companies in the state to lift iron ore purchased during the e-auctions, the state government on Monday withdrew permission for crushing and screening of ore at the location sites.

The office of the directorate of mines and geology (DMG), vide a notification, said that crushing and screening of ore at the original location of the lot is no longer permitted and the cargo must be lifted on ‘as is where is basis,’ within the deadline date of March 31.

“Any permission granted previously for crushing and screening of ore hereby stands withdrawn with immediate effect,” says the DMG directive.

It may be noted that previously on January 31, this year, the DMG had given a final notice call to the buyers of the e-auctioned ore to lift the cargo before March 31, failing which the said cargo as well as the amount paid for it would be forfeited. The DMG observed that although 27 e-auctions were conducted in the state, the buyers of the ore continued to keep it at various locations.

According to the e-auction procedure of the state, buyers must lift the cargo within 60 days.

The DMG pointed out that cargo is yet to be lifted from the original locations by the winning bidders or by the persons holding the cargo. The final notice call was made on January 31 to give a last opportunity to the winning bidders to lift the ore lying at jetties, near lease areas, etc.

Bulk of the ore purchased during e-auctions has not been cleared by the winning bidders till date because of a poor export market. Further, the mining companies that purchased the e-auctioned ore have been carrying out crushing and screening of the ore at the locations before dispatching it for exports.

Post closure of the mining industry in the state, the Supreme Court had permitted the state to e-auction the already extracted ore and keep the proceeds.