SAIL to Develop Chiria Mines with State-of-Art Environment-Friendly Technology
02/14/2011 - Steel Authority of India Limited has been granted forest clearance for leases of Chiria iron ore mines in Jharkhand. For SAIL, the Chiria mines represent the only compact deposit that can sustain large, mechanized mines of 30-50 million tonnes per annum capacity — key for the company’s existing and future expansion plans.
The Ministry of Environment & Forests (MoEF) for Ajitaburu, Budhaburu and Sukri-Latur has granted to Steel Authority of India Limited (SAIL) forest clearance for leases of Chiria iron ore mines in Jharkhand.
For SAIL, development of the Chiria mines — the only compact deposit that can sustain large, mechanized mines of 30-50 million tonnes per annum capacity — is vital for the company’s existing and future expansion plans. Over the next 50 years, around 40% of SAIL’s iron ore requirement would be met from the Chiria mines. After depletion of SAIL’s existing mines in the eastern region, the Chiria mines will be the sole source of iron ore for SAIL’s four integrated steel plants located at Bokaro, Burnpur, Durgapur and Rourkela.
“This is a landmark in our persistent efforts to obtain security of raw material supplies,” said SAIL Chairman Mr. C.S. Verma, responding to the MoEF’s order for forest clearance in Chiria. “A wave of relief has swept through the company and employees are jubilant that a major concern has been settled. We will leave no stone unturned to ensure that mining in Chiria leaves no marks on the environment and that truly sustainable development of the area is possible.”
The company has already initiated actions for development of state-of-the-art mechanized mines in Chiria, initially with a capacity of 7 million tonnes per annum. SAIL has already appointed a consultant of global repute – M/s Hatch Associates of Australia – for preparation of a detailed project report (DPR). The draft project report will detail the best beneficiation technologies available in the world for efficient use of iron ore. Mechanized mining is expected to become operational in Chiria in around three years' time. The estimated cost for development of the Chiria mines is about 5,000 crores.
To ensure environmental protection, SAIL has decided to carry out only mining and crushing activities in the mines. The iron ore will then be taken out of the forest area through a conveyor system. Installation of the most modern type of conveyor system, with very low level of noise and no need for a service road for maintenance activities, has been planned in order to ensure zero impact of mining on flora and fauna in the area.
In addition, processing, beneficiation, tailing pond blending, stockpiling, railway sidings, infrastructure facilities, township, etc., will be kept outside the lease-hold area at a distance of over 15 km in non-forested land. SAIL plans to install the best available beneficiation technology to ensure maximum recovery of iron value with zero discharge to any river or stream.
SAIL will also make a substantial contribution over the next five years on a wildlife and biodiversity program in the Saranda forest area besides earmarking at least 2% of net profit for CSR activities every year.
