The company's head office will decide on the location and exact investment required for the backward integration project

Bangalore-based electronics division (EDN) of Bharat Heavy Electricals Ltd (BHEL) has proposed to set up a backward integrated project for its solar photovoltaic panel business. The company has planned to set up an integrated manufacturing facility for ingots to wafers, cells and panels using crystalline photovoltaic technology.

Steel mills still operating at 50% capacity due to shortage in supply of iron ore

Restoration of normalcy in supply of iron ore to steel mills in and around Karnataka might take more time if the Central Empowered Committee (CEC) accepts the request for reclassification of mines. Currently, CEC, following the Supreme Court's direction, is looking into the appeal of the main petitioner, Samaj Parivartan Samudaya (SPS), in the public interest litigation against illegal mining, for reclassification of mining leases based on the extent of several illegalities committed by them.

Exports of iron ore are likely to fall further during the next financial year (2013-14) and touch a record low, as Railway Minister Pawan Kumar Bansal ignored the demand for a level field in the freight rates charged on movement of iron ore for domestic use and exports. There is already an export cess of 30 per cent on iron ore as a dampener.

In 2008-09, iron ore exports were at a record 110 million tonnes (mt), which have fallen to just 15 mt in the current financial year till November. The industry estimates that since government policies remain non-conducive, exports next year could be in single digit, maybe a few million tonnes.

Supreme Court-appointed CEC recommends new system in order to facilitate speedy supply of iron ore to steel mills

In an attempt to speed up supply of iron ore to steel mills, the central empowered committee (CEC) has decided to conduct advance e-auction of iron ore produced by state-run miner NMDC Ltd. The CEC, in consultation with company officials, has finalised a detailed structure for advance e-auction, which will come into effect from March 8.

The Supreme Court-appointed Monitoring Committee, which is supervising the e-auction of iron ore in Karnataka, is likely to bring iron ore dumps for auction later this month. The committee is awaiting final approval from the Central Empowered Committee (CEC) to auction about six million tonnes (mt) of dumps.

“The assessment of dumps in Bellary district has been completed and it is estimated that about six mt of dumps could be auctioned. The CEC recently visited various mines in Bellary district and took on record the dumps available for auction. However, the grading of dumps is still to be completed and once that is done, the ore could be put on auction,” sources close to the development told Business Standard.

The R&R Plans have been prepared and approved by CEC for 51 mining leases comprising of 28 Category A and 23 Category B mining leases

The ore-starved steel mills in Karnataka have some sweet news to cheer as the Supreme Court-appointed Central Empowered Committee (CEC), has recommended the resumption of mining in all Category A mining leases. The CEC has also recommended that the court may consider permitting the resumption of mining operations in Category B mining leases subject to fulfillment of certain conditions.

Based on GIS application system, the department of mines and geology has so far digitized 4,500 mining leases in the state

The Karnataka government has embarked on a project to build a geo database on GIS application system for mapping mineralized zones, developing mineral atlas, data on existing leases, which will be helpful to process the mining applications online. The department of mines and geology (DMG) has undertaken this project. Under this project, up to the end of October 2012, the department has completed digitization of 4,500 leases for various minerals in the state, the government said in the Economic Survey of Karnataka for 2012-13.

Together, these mines are allowed to produce 3.3 mt of ore a year, about 10% of the iron ore requirement of steel mills in the state

About 10 months after the Supreme Court had approved the resumption of mining operations by 18 category-A mines, six mines have resumed operations in Karnataka. Together, these mines are allowed to produce 3.3 million tonnes (mt) of ore a year, about 10 per cent of the iron ore requirement of steel mills in the state.

Iron ore supply likely to be disrupted further in Karnataka if panel finds fault with these miners

Supply of iron ore to steel mills in and around Karnataka might be disrupted further if the central empowered committee (CEC), appointed by the Supreme Court to probe alleged irregularities of nine mining companies, including Sesa Goa Ltd, finds fault with the firms. The forest bench of the apex court, hearing a fresh interlocutory application (IA) filed by the petitioner in illegal mining, Samaj Parivartan Samudaya (SPS), a Dharwad, Karnataka-based non-government organisation, directed CEC on February 1 to initiate the probe and submit a report to it.

After reducing the prices of iron ore for domestic steel mills in the October-January period, state-owned miner NMDC is considering a price rise in February.

The company’s board is likely to meet next week to decide on the issue. “The company has taken a policy decision to revise iron ore prices every month. In line with the policy, the board would meet early next week,” sources said. They added the rise could be between Rs 200 and Rs 400 a tonne and. It would be based on factors such as demand and supply, prices elsewhere and the recent rise in international prices, they said. In the past two months, prices of iron ore in the international markets have risen significantly. Currently, it is traded at $140-145 a tonne, about 61 per cent higher than in September.