During ‘national metal and mining e-summit 2021’, it is concluded that despite the pandemic in place, the initiatives taken by the state government ensured maintaining the pace of work in the sector. Additionally, the private sector is working simultaneously to ensure more production. Vedanta, Hindalco, Adani Talabira and more locations of the state to upsurge the coal production capacity.
Recently, Prafulla Kumar Mallik, Odisha Minister for Steel and Mines held virtual discussions with different stakeholders of the sector organized by the Department of steel and mines.
As the session saw various deliberations from different experts, it was acknowledged that despite the pandemic in place, the pace of work in Odhisha was maintained in the sector despite challenges galore.
Over the decades, Odisha is known in the country for its rich mineral resources. However, the sector witnessed a minor effect during the initial phases of COVID 19 but later the initiatives by the government kept the sector on track.
Additionally, the auctions of the coal mines were also conducted during the period. Meanwhile, the MMDR Act witnessed a few amendments at the central level. It made the regular operations in the mining sector more conductive and user-friendly.
Apart from the Government, private players have also largely contributed to enhancing the coal production from the state. Vedanta, Hindalco, Adani Talabira and other regions are running their regular operations.
During the reverse auction, for developing the coal mines owned by the NLC in Talabira, the Adani Group’s subsidiary won the tender. Revenue of 12,200 crores is likely to be generated once the block is developed by the Adani Talabira.
Additionally, the Kuraloi (A) north coal mine was bagged by Vedanta that was put for re-bid in the auction for commercial mining. This coal block in Odisha has a peak capacity of eight million tonnes per annum and is estimated to generate a revenue of 763 crores.
Apart from Vedanta’s coal mine and Adani in Talabira, MCL – a subsidiary of the state-owned CIL also disclosed their plan to invest around 31,000 crore for mining and social infrastructure development in Odisha by 2023-24.
Over the years, investments and the use of technology in mining and related sectors have increased manifold. Till now, 20 out of 38 coal mines in the first tranche of commercial mining are already auctions. However, moving towards attaining the goal of self-reliant India, 67 coal mines have been offered for sale in the second tranche.