Tata Steel to start operations at chromite mines soon.

Tata Steel will soon start operation of its Sukinda chromite mine in Jajpur district following the third renewal of the mining lease by the Odisha state government recently.

'Now all our mines are operating. In the next few days hopefully, we will start the operation (of chrome mine). The state government has been supportive', TV Narendran, MD, Tata Steel, told media persons on the sidelines of an event.

The state steel and mines department has issued the order for lease renewal pursuant to the recommendations of a high-level committee chaired by the development commissioner.Since the Odisha High Court (HC) had directed to dispose off the matter by November 16, the committee had accordingly recommended the renewal of the mining lease over an area of 406 hectares.

The tenure of the renewal will be for 20 years, subject to fulfilment of certain terms and conditions.

The lease, originally granted in 1973, has been renewed twice with the last lease term expiring in January 2013.

Tata Steel's bid for renewal of the chromite mines was challenged by ferro-chrome maker Indian Metals & Ferro Alloys Ltd. (IMFA) and others before the HC. But the HC had dismissed the petitions, saying there was no merit in them.

In its judgement dated September 26 this year, the court held that the state government was free to proceed with the steel maker's application for third renewal.


BS