Manganese Ore India Ltd has been granted prospecting licence over an area of 597.44 hectares in Nagpur and Bhandara districts by the Maharashtra Government.
Anticipating the grant, the company has earmarked a sum of Rs 250 crore for conducting geophysical studies, exploratory drilling, etc.
“The total area comprises 11 blocks located adjacent to the existing leasehold area of Manganese Ore India in Nagpur and Bhandara districts of Maharashtra. MOIL is getting this new area for the first time since its inception in 1962,’’ the company said in a statement.
At present, MOIL is operating six mines in Maharashtra and four mines in Madhya Pradesh.
The company said that the blocks received from the Maharashtra Government would go a long way in augmenting the production of manganese ore.
The 11 new blocks include three big blocks adjacent to its present ones near Gumgaon, Satak and the Kandri area. Of the 11, six blocks are located in Ramtek, Saoner and Mouda Tahsils of Nagpur district and five blocks are located in Tumsar Tahsil of Bhandara district.
At present, the company’s existing leasehold area in Maharashtra is spread over an area of 696 hectares and with the current addition, the total area has grown to 1,293 hectares, reflecting an increase of 86 per cent.
The total leasehold area of MOIL is set to increase from 1,798.92 hectares to 2,395.92 hectares, reflecting an increase of 33.18 per cent. MOIL has plans to achieve a production level of 2.2 million tonnes by 2020-21, from the existing mines.