Question : ALLOTMENT OF CAPTIVE MINES TO VASAKHA STEEL PLANT



(a) whether the Government proposes to allot `captive mines` of Iron Ore to Visakha Steel Plant (RINL);

(b) if so, the details thereof;

(c) the details of savings of input investment in the extended stage of steel plant; and

(d) the reaction of the Government of Orissa and Chhattisgarh to this allotment?

Answer given by the minister


THE MINISTER OF STATE IN THE MINISTRY OF MINES (DR.T.SUBBARAMI REDDY)

(a) & (b): Rashtriya Ispat Nigam Limited (RINL) has sought reservation of mineral bearing areas for mining in Orissa and Chhattisgarh.

(c) As per available information, RINL has estimated a saving of Rs.160 per tonne of iron ore input in its Steel Plant in case it operates its own mines.

(d) State Governments of Orissa and Chhattisgarh have informed that the area sought for reservation is not free.