Indian miner Vedanta Resources has announced that it has resumed mining activities at its Codli mine in Goa after the state of Goa had halted iron ore mining in 2012 due to serious illegalities and irregularities in mining operations. In April 2014, India’s Supreme Court lifted the iron ore mining ban in Goa, imposing an upper limit of 20 million mt per year on production.
Vedanta has become the first company to restart iron ore mining in Goa. The company has received all approvals to restart mining at its Codli and Bicholim mines. Final clearances for the restart of operations at its other mines are expected to be granted by the end of August. After the monsoon season the company plans to fully resume mining, while it plans to utilize its full annual production allowance of 5.5 million mt by the end of the current financial year.
Kishore Kumar, CEO of Vedanta’s Iron Ore Business, stated, “I urge the government to note the current market scenario, with the steep downturn in prices, and more importantly resolve the issue of dumping of ore outside lease areas, for Goa mining to be viable. And I assure you that, with the support of the government, we will exert our best efforts to make the economics work for all to ensure our operations bring in economic and social improvements. Together we can win back the market and confidence to truly explore the potential of the iron ore industry in Goa and in India.”