(a) whether some public sector undertakings namely, NMDC, SAIL and NALCO have been eyeing mining and metals operations
across the world in order to achieve economies of scale in mining operations to serve their captive needs;
(b) if so, the details thereof;
(c) whether the move is linked to raw material scarcity and the domestic companies with downstream interests acquiring mines; and
(d) if so, the details thereof?
MINISTER OF THE STATE (INDEPENDENT CHARGE) IN THE MINISTRY OF MINES (SHRI DINSHA PATEL)
(a) & (b): Yes, Madam. Afghan government invited an open tender for multiple exploration concessions that comprise of
Hajigak iron deposit. A consortium named AFISCO (Afghan Iron and Steel Consortium) consisting of Steel Authority of
India Limited (SAIL), NMDC Limited, Rashtriya Ispat Nigam Limited (RINL), Tata Steels, JSW Steels Limited and Jindal
Steel & Power Ltd. has been awarded mineral concessions of three blocks out of the four blocks, in the year 2011.
Besides this, Government of Afghanistan has called for four mineral tenders for ‘Badakhshan’, ‘Zarkashan’, ‘Baikhab’,
and ‘Shaida’ gold prospects. M/s Canaccord Genuity, SRK Consulting and Mayer Brown are acting as transaction advisers
for tenders for the above projects. A Consortium consisting of Public Sector Undertakings, viz. SAIL (lead partner),
NALCO, HCL and MECL have submitted Expression of Interest. The EOI has been received by the Ministry of Mines of
Afghanistan, well before the due date of 09.03.2012.
(c): It is a fact that most of the proposals for acquisition of assets abroad are in response to the need
of these companies for long term raw material security and also as per their future strategy and plans.
(d): Does not arise in the view of (c) above.