Goa's iron ore auction gets lukewarm response
Updated: May 13, 2014 03:18:17pm
Panaji, May 13 (KNN) The government of Goa received a lukewarm response for its third round of auction of 600,000 tonnes of low grade iron ore following weak export sentiments.
The first two rounds of auction of 1.5 million tonnes of iron ore conducted few weeks ago were successful.
Iron ore exports are stopped during monsoon due to waterlogging at jetties making the market sentiment depressed.
Out of 600,000 tonnes auctioned, fines constitute a major portion at 527,304 tonnes and 84,057 tonnes are lumps. The lowest grade (Fe) put on auction is 43 per cent Fe and highest grade is 62 per cent Fe. The average grade is 54-55 per cent Fe, according to Directorate of Mines and Geology, Government of Goa, which has announced the schedule of e-auctions.
Out of the earlier two auctions held in February and March this year, a total of 1.6 million tonnes have been auctioned. But only 160,000 tonnes have been moved out of the state for exports, reports media.
The Supreme Court in December 2013 permitted the Goa Mines Department to auction about 15 million tonnes of iron ore lying at jetties, mining leases, plots, beneficiary plants and port, all under the supervision of its committee. In October, the apex court had banned iron ore activities in the State.
However, on April 21, the apex court lifted its ban on mining activities, but putting a cap of 20 million tonnes for annual production.
Making government the custodian of the money collected through e-auction, the court directed the State to pay 50 per cent of wages of all the workers who were laid off or were not paid salaries since the time the mining operations were suspended, reports media. (KNN Bureau)
The first two rounds of auction of 1.5 million tonnes of iron ore conducted few weeks ago were successful.
Iron ore exports are stopped during monsoon due to waterlogging at jetties making the market sentiment depressed.
Out of 600,000 tonnes auctioned, fines constitute a major portion at 527,304 tonnes and 84,057 tonnes are lumps. The lowest grade (Fe) put on auction is 43 per cent Fe and highest grade is 62 per cent Fe. The average grade is 54-55 per cent Fe, according to Directorate of Mines and Geology, Government of Goa, which has announced the schedule of e-auctions.
Out of the earlier two auctions held in February and March this year, a total of 1.6 million tonnes have been auctioned. But only 160,000 tonnes have been moved out of the state for exports, reports media.
The Supreme Court in December 2013 permitted the Goa Mines Department to auction about 15 million tonnes of iron ore lying at jetties, mining leases, plots, beneficiary plants and port, all under the supervision of its committee. In October, the apex court had banned iron ore activities in the State.
However, on April 21, the apex court lifted its ban on mining activities, but putting a cap of 20 million tonnes for annual production.
Making government the custodian of the money collected through e-auction, the court directed the State to pay 50 per cent of wages of all the workers who were laid off or were not paid salaries since the time the mining operations were suspended, reports media. (KNN Bureau)
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