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Odisha To Auction 10 Iron-Ore Blocks Soon

The state government said it will place a total of 16 blocks (10 iron-ore and rest other minerals) under the hammer but did not divulge details of other blocks being put up for auctions.

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Odisha government on Tuesday said it will put 10 iron-ore blocks under the hammer and will invite interest in early July, a senior state government official said.

Odisha has so far auctioned 19 iron-ore mines of which 12 are already producing iron-ore.

We are putting 10 (more) iron-ore blocks for auction soon, State Secretary for Steel and Mines Deepak Mohanty said at an ICC virtual event on iron-ore.

A high level meeting will be held on Wednesday (on the issue), he said.

The state government said it will place a total of 16 blocks (10 iron-ore and rest other minerals) under the hammer but did not divulge details of other blocks being put up for auctions.

Mohanty said with new blocks producing iron ore and with ramping up of output by Odisha Mining Corporation (OMC), production is likely to go up to 30 million tonne this fiscal which could go up to 60 million tonne by 2026.

However, steel makers complained of a shortage of ore in te market and of a sharp spike in price. They claimed ore prices had jumped from Rs 2,200 to over Rs 12,000 per tonne depending upon grades.

Iron ore production in Odisha dropped by 21 per cent to 111 million tonne during 2020-21.

Meanwhile, Niti Aayog member V K Saraswat said, India will need to double its iron ore mining capacity by 2030 to meet demand as per the National Steel Policy 2017.

Domestic production has gone up by 13 per cent in the last five years from 129 million tonne in 2015 to 206 million tonne in 2019 at a CAGR of 12.4 per cent. While consumption has gone up from 115 million tonne in 2014-15 to 160 million tonne in 2019. 

(PTI)