To facilitate execution of VSP's expansion programme, the state govt had also agreed to allot iron ore mines

Visakhapatnam Steel Plant (VSP), belonging to Rashtriya Ispat Nigam Limited (RINL), has embarked upon a massive expansion plan involving an investment of Rs 42,400 crore. To facilitate execution of VSP's expansion programme, the state government had also agreed to allot iron ore mines. Both RINL and the state government had signed a memorandum of understanding (MoU) to this effect.

PANJIM: The Union Ministry of Mines dropped a bombshell Friday, by shooting a copy of the letter addressed to Orissa government to all State governments which says that basic Central government permissions were needed before renewal of mining leases and permissions from the Indian Bureau of Mines and assessment of amount of mineral left in the lease, feasibility and other such criteria need to be adhered to.

The two-page directions received by State Directorate of Mines come on the heels of the communiqué from the Union Ministry of Environment and Forests stating that leases cannot be renewed in case any part of the mining lease comes within forest areas and for which forest clearance has to be obtained.

The steel ministry has called for the auctioning of all unused coking coal mines in the country to steel makers in view of the paucity of the fuel, triggering sharp reactions from Coal India Ltd.

In its revised draft National Steel Policy 2012, the steel ministry has proposed that Bharat Coking Coal Ltd, which is the custodian and operator of coking coal mines, should be de-merged from parent firm CIL and its idle mines should be offered to home-grown integrated steel plants for commercial exploitation, with suitable terms and conditions.

The Rashtriya Ispat Nigam Limited (Visakhapatnam steel plant) has received the CII-ITC sustainability award 2012.

Loss due to non-revision of domestic prices by the company in line with movement of market price

Iron ore miner NMDC has suffered Rs 745.94 crore revenue loss during 2007-10 for not revising the domestic prices of the steel-making raw material in line with prevailing market rates, government auditor CAG said. "...Due to non-revision of domestic prices by the company (NMDC) in line with movement of market price, the company has suffered a revenue loss of Rs 754.94 crore during 2007-10," CAG said in a report, tabled in Rajya Sabha, today.

Hyderabad: Rashtriya Ispat Nigam Ltd, the corporate entity of Vizag Steel, is mulling setting up of a cement plant as part of its plans to dispose byproducts such as slag and fly ash, a senior company official said.

RINL may also enter into a long-term contract to supply these byproducts to prevent their accumulation that can lead to environmental issues. "We may enter into a joint venture partnership for setting up a cement plant," the official said.

Union Steel Minister Beni Prasad Verma on Monday urged the Uttar Pradesh government to expedite the procedures for the lease of iron ore mines in Lalitpur district of Bundelkhand region to the Rashtriya Ispat Nigam Limited (RINL).

“We are confident the state government would soon take positive steps in this direction,” Verma said here. RINL had already applied for the lease of iron ore mines in Lalitpur district for setting up a pellet unit in the region. A P Chaudhary, Nigam chairman and managing director, said the plant would provide direct employment to 500 locals.

Mumbai The government intends to start its 2012-13 divestment plan by offloading a further 10% stake in the state-owned iron ore producer, National Mineral Development Corporation (NMDC), through the offer for sale (OFS) mechanism for nearly R7,000 crore.

Even though the government had to defer its plans of diluting stake in other public sector entities, such as Steel Authority of India (SAIL) in 2011 and Rashtriya Ispat Nigam (RINL) in the recent past, due to valuation concerns, the NMDC follow-on public offer may not face such hurdles, say market experts.

Finance Minister P Chidambaram on Monday said the mines ministry had moved a note for the sale of the government’s residual stake in Hindustan Zinc Ltd (HZL) and Bharat Aluminium (Balco).

The matter would go to the Cabinet and the finance ministry would give its views in due course, he said. And, declined to comment on the pricing, noting he’d earlier recused from this matter.