Auction 10 mineral blocks or we’ll do it, Centre warns Jharkhand

The Centre has power to put on sale mineral blocks in case a State government fails to auction mines within the mutually agreed period

New Delhi: The Mines Ministry has asked the Jharkhand government to put on sale 10 mineral blocks, including a gold mine, and warned that if the State failed to do so, the Centre will begin the auction process, sources said.

The blocks are in the G2 (general) and G3 (preliminary) level of exploration, they said. The ten blocks include one copper mine, one limestone mine, and a graphite mine, the sources added.

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As per the amendment in mining rules in 2021, the Centre has the power to put on sale mineral blocks in case a State government fails to auction the mines within the mutually agreed period.

Sources said when it comes to auctioning of mineral blocks, the Jharkhand government is lagging behind other States. Of the 38 geological reports handed over by Geological Survey of India to the Jharkhand government, only five have been utilised for auction so far.

The State government had given an assurance to notify 15 blocks for auction by December 2021. However, only four of these blocks have been notified for auction by the state.

Of the remaining 11 mines, one potash block is critical and will be auctioned by the Centre. The remaining 10 blocks are still to be notified for auction by the state. Twelve mineral blocks have been successfully auctioned so far in the current financial year. All the blocks auctioned are in Rajasthan. The blocks have been bagged by companies such as Ambuja Cements Ltd and J K Cement Ltd.