December 02, 2008

PMO asks Jharkhand to allot Chiria mining lease to SAIL

It is reported that Prime Minister’s Office has asked the Jharkhand government to allot mining lease for 1 billion tonnes of the Chiria iron ore mine reserves to SAIL immediately.

Mr Ram Vilas Paswan union minister for steel, fertilisers and petrochemicals said that the Jharkhand government should also allot in the near future mining lease for another 1 billion tonnes of iron ore at Chiria to SAIL to meet its raw material requirements post expansion. He added that in lieu of such mining leases, SAIL would be willing to put up steel making capacities in the state.

The Chiria mine has the 2nd largest high grade iron ore deposits in the world. Subsequent governments in Jharkhand have dangled the Chiria reserves before steel companies with a view to attracting big ticket investments.