Supreme Court panel recommends scrapping Goa iron ore leases

NEW DELHI/MUMBAI Fri Dec 7, 2012 7:39pm IST

Related Topics

Stocks

   

NEW DELHI/MUMBAI (Reuters) - A panel appointed by the Supreme Court has recommended scrapping 42 iron ore mining leases in Goa until mining companies submit plans to deal with the environmental impact and legal details involved, a lawyer who attended the hearings said.

A temporary mining ban, imposed from early October, has cut local production and crimped exports, opening up new markets for world miners such as Vale (VALE5.SA), Rio Tinto (RIO.AX) (RIO.L) and BHP Billiton (BHP.AX) (BLT.L).

The court imposed a ban in Goa from early October after allegations of illegal mining from a government-appointed committee. It followed a similar ban in neighbouring Karnataka the previous year.

"The Supreme Court committee has directed scrapping 42 mining leases in the region of Goa and said that all things should be in accordance to law," lawyer Sandeep Singh said.

The Centrally Empowered Committee, whose recommendations have been accepted by the Supreme Court so far in Karnataka, has also suggested that the court ask miners to demarcate their lease areas properly.

The court hearing has been adjourned to January 8.

"It will hamper the re-start of mining in Goa soon ... India will become an insignificant player in the international market," H.C. Daga, president of the Federation of Indian Mineral Industries, said.

Before the ban, Goa was India's third-biggest producer of iron ore and its top exporter, producing more than 50 million tonnes annually and exporting almost all of it.

In Karnataka, India's second-biggest producer of iron ore, the top court allowed 18 mines to restart operations in early September, which was expected to add 5 million tonnes of output per year to the National Minerals Development Corporation's (NMDC.NS) 12 million tonnes.

(Editing by Jane Baird)

FILED UNDER:
  • Most Popular
  • Most Shared

DEFENCE

REUTERS SHOWCASE

Canonisation

Canonisation

Pope declares sainthood of two Indians, four Italians.  Full Article 

Stake Sale Strike

Stake Sale Strike

Coal India trade unions call off strike in victory for Modi.  Full Article 

Markets Weekahead

Markets Weekahead

Ride the bull with a finger on the ejector button.  Full Article 

Arms Purchase

Arms Purchase

India approves $2.6 bln mounted gun purchase - official.  Full Article 

Interview with Bulgari CEO

Interview: Bulgari CEO

Bulgari CEO: we shouldn’t have left India so we’re back  Full Article 

Formula One

Formula One

Hamilton takes second F1 title in style.  Full Article 

Available For Remake

Available For Remake

Bollywood finally wants to pay the price for remakes  Full Article 

Davis Cup

Davis Cup

Vintage Federer seals first Davis Cup for Switzerland.  Full Article 

Movie Review

Movie Review

"Happy Ending" is old wine in an older bottle  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device  Full Coverage