Public run major Steel Authority of India Ltd (SAIL) has finalized its decision to outsource the development of its Chiria mine located at Jharkhand. As per the official disclosed information, SAIL will be soon inviting bids in the current quarter for appointing a mine developer-cum operator (MDO) for the Chiria mine, which is considered to be among the largest iron deposits in the world.
The Chiria mine depositis possess about 1.84 billion tonnes of iron ore reserves and is planned to be developed in two phases. While phase-I involves development of 7 million tonnes of reserves and phase-II involves 8 million tonnes. The first phase is expected to be operational within 3-4 years after finalization of the MDO. The mine region covers about 2,375 hectares, wherein about 3 percent of the Saranda forests is located at Jharkhand.
Confirming the information, CS Verma, Chairman, SAIL said, “The repot has been seen and accepted. We will soon come out with the notification to invite bids for appointing the MDO.”
However, the steel major has not outlined any specific time line for inviting the bids and scope of the work will be disclosed only while issuing the expression of interest for appointing the MDO. As per the official sources, the project cost will be disclosed after finalizing the contract.