KIOCL Ltd has urged the Karnataka Government to allocate iron ore mine for the company's steel plant at Mangalore in Karnataka. Speaking at a function to lay the foundation stone for the raw material storage silo at KIOCL's steel plant in Mangalore Mr S Machendranathan additional secretary in the union ministry of steel and director of KIOCL Ltd urged the Karnataka chief minister to allocate mine to it on a preferential basis.

Mr Machendranathan said that “Here is an investment looking for a mine. We have already made a lot of investments and request you to allot a mine on a preferential basis. This investment is lying unutilized.”

Earlier, while submitting a memorandum to Mr Yeddyurappa, Mr K Ranganath CMD ok KIOCL said that KIOCL does not have any iron ore mine to feed its value addition plant at Mangalore following the closure of the mine in Kudremukh. As a result, the operation of the plant at Mangalore is becoming unviable.

Mr Ranganath said the Karnataka Government should grant mining lease in Ramanadurga iron ore deposit of Bellary district. In 2003, the Government had decided to allot 50% of the area available in Ramanadurga.

Replying to this, Mr Yeddyurappa said that the existing steel companies in the State and those companies that have signed MoUs to invest in steel industries in the State at the recently concluded global investors' meet will not face any problem for their requirements.

(Sourced from Business Line)