Mining to resume soon at NMDC Donimalai iron mine


Hyderabad : Decks have now been cleared for resuming mining activities Donimalai Iron ore mine of NMDC Ltd following government clearance to extend the lease of the mine.

Mining actives were suspended at this site since November 2018 after expiration of lease period. The Government of India reached at an agreement with Government of Karnataka and Ministry of Steel to extend Donimalai Iron ore lease.

The decision has not only paved way for operationalization of the mine but also is a timely decision taken in a situation when the steel companies are facing a shortage of supply of Iron ore.

Donimalai Iron ore mine, which has total concession area of 597.54 Ha and estimated resource of 149 MT shall increase the annual Iron ore production in the country by 7 MTPA.

Based on the existing high price of ore, it is expected that Donimalai Iron ore mine will contribute around INR 400 crore to the State Exchequer, during the ongoing financial year.

The operationalization of the mine would contribute a total of around INR 1100 crore to the State exchequer per annum. It will also take the nation a step closer towards the vision of the Government to achieve 300 MTPA crude steel capacity by 2030-31. The mine shall offer direct employment to thousands of people and create indirect employment opportunity for lakhs of people.

The operationalization of the mine shall bring a sense of security for more than two dozen SMEs near Donimalai area that were directly or indirectly dependent on NMDC for supply of raw material.

Further, the Local community dependent on NMDC CSR activities will not be deprived of benefits, like hospital, free transport, RO water facilities etc.


Please enter your comment!
Please enter your name here