Bayyaram mines: RINL facility at Bayyaram after scientific study

By SNV Sudhir

Visakhapatnam, April 25, 2013: Amidst claims and counter claims among the Congress ranks over the quality and quality of the iron ore available to set up a steel plant, the RINL authorities on Thursday clarified their intent to set up commensurate value addition facilities such as beneficiation plant, pelletisation plant, steel mill, depending on the quantum of iron ore reserves available at Bayyaram in Khammam district and other proposed allotment of mines in Warangal and Karimnagar districts.

RINL on Thursday said that the company was committed to immediately commence scientific exploration in these areas which is not done so far to know the exact quantum of reserves. 

Recently, PCC chief Botsa Satyanarayana said the ore available in Bayyaram was of low grade quality and not suitable to set up a steel plant, as being demanded by the TRS leaders, while government chief whip of his party, Gandra Venkatramana Reddy found fault with the former’s observation.

RINL CMD, AP Choudhary thanked the chief minister N Kiran Kumar Reddy and requested the state government to take forward the recommendations as quickly as possible to union ministry of mines for their approval and subsequently issue of Letter of Interest (LOI) by state government.

“RINL being a 100percent government undertaking, will honour all the statutory, legal and regulatory stipulations in respect of mining leases recommended for allotment to RINL, such as MMDR Act 1957, Forest & Environmental clearances with special reference to Panchayats (Extension to Scheduled Areas) Act, 1996 and the Scheduled Tribes and other Traditional Forest Dwellers (Recognition of Forest Rights) Act, 2006 making it obligatory for obtaining the prospective mining (PL) and also for obtaining mining lease (ML) after exploration,” said Choudhary.  

As per the MoU signed by RINL, the state government would facilitate RINL to obtain necessary permissions, registrations, approvals and clearances from the concerned departments.

RINL is the holding company of Visakhapatnam Steel Plant (VSP) – the largest industry in the State of Andhra Pradesh. RINL has drawn an ambitious Corporate Plan to expand to 20 mtpa in phases, by 2025, which would make Visakhapatnam Steel Plant, the largest steel plant in a single location in the country.

The CMD further said that RINL, despite being major steel producer in the country is one of the major integrated steel plants operating without any captive iron ore and coal mines. For Iron ore securitization, RINL has applied for 7 mining leases in Andhra Pradesh starting from 2005. RINL has also signed a MoU with the state government with a commitment for an investment of Rs. 42,400 crs in the state and the state government had agreed to facilitate the allotment of iron ore mines to RINL on priority.