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NMDC restarts work at Donimalai Mines in Karnataka

08:19 PM Feb 18, 2021 | Team Udayavani |

Bengaluru: After over two years, state-owned NMDC Ltd (National Mineral Development Corporation Limited) resumed production of iron ore from DonimalaiMines in Karnataka, the public sector enterprise said on Thursday.

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The NMDC had, in December 2018, suspended mining inDonimalaidue to legal battle with the Karnataka government over the issue of imposition of premium on the sale price of the iron ore extracted from the mines.

“This is to inform that after obtaining the lease extension of Donimalai Iron Ore Mine (ML-2396) for 20 years with effect from November 3, 2018 from the government of Karnataka (GoK) and completing the associated statutory requirements, the Donimalai iron ore mine,” the NMD said in a filing with stock exchanges.

A senior official of NMDC told PTI that the resumption of mining atDonimalaiwould add production of 5-6 lakh tonnes of iron ore per month.

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