Orissa searches for alternate bauxite source to feed Vedanta

With the Centre refusing final approval to the proposed mining project at Niyamgiri, UK-based Vedanta today claimed Orissa Govt was actively considering allocation of an 'alternate source' of bauxite for its refinery at Lanjigarh in Kalahandi district. Listen to podcast | Highlights of panel report

With the Centre refusing final approval to the proposed mining project at Niyamgiri, UK-based Vedanta on Tuesday claimed Orissa government was actively considering allocation of an 'alternate source' of bauxite for its refinery at Lanjigarh in Kalahandi district.

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This was conveyed in a company's statement after Union Minister for Environment and Forest Jairam Ramesh rejected forest clearance to Vedanta.

Describing Niyamgiri bauxite reserve as the initial source of supply for its refinery at Lanjigarh, it said the state government had in the October 2004 MoU committed to supplying 150 million tonnes of bauxite.

The Niyamgiri hill reserve has 78 millon tonnes of bauxite, which was part of the state government's commitment to Vedanta, the release said.

VAL's MoU with state-owned Orissa Mining Corporation was to encourage investment in world class bauxite deposits and
natural resource-rich Orissa was the fourth largest reserve of bauxite deposits in the world, it said.

"The company has never violated any law of the land. We will work for the local people by abiding with all laws and
start mining only after getting proper approval," Vedanta Aluminium Limited's (VAL) CEO Mukesh Kumar said over
phone.

"No new alumina refinery has been set up in the region in the last 25 years," Kumar said.