NMDC clarifies on storage licence issue

Hyderabad: NMDC has on Thursday clarified that it is carrying out mining operations lawfully and stands committed to follow all the applicable statutory provisions religiously.

Responding to some media reports that the Chhattisgarh government on Thursday disallowed NMDC to carry out iron ore storage, loading in its Bailadila Mines at Dantewada district, NMDC said: "Though there is no written communication from the State Government on this, NMDC would like to clarify that

loading plants of NMDC are located on the land acquired by NMDC within its mining complexes".

In 2013, Chhattisgarh Government had issued a demand notice levying storage fee for the loading plants of the iron ore mines of NMDC as per provisions of Chhattisgarh Mineral (Mining, Transportation and Storage) Rules, 2009.

"Based on the demand notice issued by the State Government, NMDC paid the demand amount and afterwards filed a writ petition in High Court at Bilaspur challenging the demand notice.

After hearing both the parties, High Court held that demand notice issued by the Chhattisgarh levying storage fee was without jurisdiction and directed the State Government to refund back the storage license fee collected from the NMDC," it said.

Subsequently, the State government has filed a review petition on the order passed by the High Court and presently matter is sub judice, it said NMDC will place all the relevant facts and legal position before the State government to resolve the issue amicably, it added.