Metalnewsnet 11 May ：

PTI reported that the government said that POSCO has been permitted to export iron ore to South Korea from the captive reserves it will be allocated to feed its proposed INR 51,000 crore project in Orissa.

Mr A Sai Prathap minister of state for steel informed the Rajya Sabha that "POSCO India is allowed to export iron ore from Orissa as per conditions of MoU.”

Giving details of the agreement signed between the Orissa government and the firm in 2005, the Minister said that POSCO will need about 600 million tonnes of iron ore to run its proposed 12 million tonnes per annum plant for the next 30 years. Iron ore is a vital raw material for making steel.

Mr Prathap said that "The company may swap certain quantities (not exceeding 30% of the total requirement of the Paradeep plant annually) of such iron ore which have high alumina content with equal quantity of low alumina content iron ore.” He added that “Any export of iron ore by way of swap will be allowed only after an equivalent quantity of ore has been imported for the plant.”

The Mines and Mineral Development and Regulation Act, 1957, governs allocation of captive resources like iron ore. Such minerals are allotted only for dedicated consumption by the end use project. Sale and export of minerals from such deposits are normally not allowed.

( from Press Trust of India)