India: SC Permits Goan Miners to Transport Iron Ore Extracted Before 16 Mar`18

Mining News -The Supreme Court of India on 7th Feb ‘18 said that the 88 iron ore mine leases who were granted second renewal in violation in decisions and directions of this court may continue operations till 15 Mar‘18 and were directed to stop all mining operations with effect from 16 Mar‘18 until fresh environmental clearances are granted.

Therefore. the miners were inhibited from any further transportation of material post 15th Mar`18. In a hearing conducted on 4th Apr`18, SC allowed the miners to utilize the material so extracted before 16th Mar‘18 for export and captive purposes.

After the Supreme Court ordered cancellation of mining leases on 7th Feb`18, mines recorded extraction of 2 MnT of iron ore from 7th Feb‘18 to 11 Mar`18, contributing 20% of total iron ore production for the year 2017-2018. The total ore production for the year FY`18 accounted 10.41 MnT, till 11th March`18.

Vedanta is the largest Indian iron ore exporter. According to data maintained with SteelMint, It exported 0.6 MnT iron ore in Mar‘18, contributing one fourth of total lndian iron ore exports in Mar`18. Vedanta, Fomento Resources and VM Salgaonkar cumulatively contributed to half of Indian iron ore exports in Mar`18.

The three mines accounted for 1.35 MnT exports against the total of 2.69 MnT. In FY18, iron ore exports from Goa`s Mormugao port was recorded at 9.31 MnT, comprising of 59% share in total Indian iron ore exports in FY18.

For the year CY`17, Vedanta stood the largest exporter at 4.88 MnT (25% of total iron ore exports from India) against the total export of 19.88 MnT, followed by Fomento Resources at 3.44 MnT (17% of total CY`17 exports).

Indian iron ore export volumes will be hampered with Goan miners remaining away unless they obtain necessary environmental clearances.