Steel ministry to build ultra mega steel plants hit under Rio Tinto plans.

Economic Times reported that the steel ministry's move to rekindle its idea of ultra mega steel plants through the most profitable company under its charge could thwart Anglo Australian firm Rio Tinto's nearly two decade old plans to develop a large iron ore mine in India.

The ministry has suggested that National Mineral Development Corporation join hands with the Odisha Mining Corporation to facilitate the ultra mega steel plants with ready land, water and mineral linkages, and infrastructure for 5 MT of steel capacity each to be offered to the highest bidder on the lines of the government's ultra mega power projects. The Odisha Mining Corporation has several non-working mines and rights to areas it is yet to develop.

The Center has already shared this idea with Odisha's Naveen Patnaik-led BJD government which had in late 2012 introduced a sweeping notification to reserve all remaining iron ore bearing areas for the OMC.

Officials said that NMDC is keen to bring the Malangtoli iron ore reserve, a large undeveloped deposit, in Keonjhar district under it proposed Special Purpose Vehicle. Malangtoli was to be mined by a Rio Tinto OMC joint venture, in which NMDC too has a 5% share, THE jv WOULD ALSO develop the Dubna and Sakrudi iron ore reserves.


STEELGURU