Telangana: Govt to conduct e-auction for limestone mining bidding process
Two months ago, the central government had written to the State to auction 11 limestone blocks in the State in the first phase
Hyderabad: The Department of Mines and Geology has reportedly decided to conduct e-auction for the selection of lessees in limestone mining, one of the heavy minerals.
Two months ago, the central government had written to the State to auction 11 limestone blocks in the State in the first phase. A deadline was set for some of them to be auctioned by June 30 by the centre and even a warning was issued that if the State fails to do so it would conduct the auction themselves.
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The State government responded immediately and asked the centre for some time. After receiving permission from Chief Minister A Revanth Reddy, the Department of Mines started the tender process for the lease of three blocks on Friday.
According to officials, all the three limestone blocks to be auctioned were spread over approximately 446 hectares of forest area in different parts of Suryapet district. The mines are reportedly situated in Saidulanama, Sultanpur, and Pusupulabodu in Suryapet district.
It has already been found that there are 193.76 lakh tonnes of limestone deposits in these blocks, which are of sufficient quality to be used for cement production.
Until now in the State, those who had applied earlier were given first priority in allotment of mines, however, the new auction system was likely to increase the competition among the companies, the officials said, adding that the new initiative would generate more revenue for the government in the form of royalty. A pre-bid meeting would be held on September 24 for e-auction, the officials added.
According to the official, the State government had decided to auction nine more mines in addition to those mentioned by the Centre. In a recent letter, the Central Mines Department had asked the State government to expedite the auctioning process of 11 mines notified in the State. These blocks consist of five iron ore mines, five limestone blocks and one manganese block.
