Shah commission recommends cap on mining for orissa - Angel Broking

Media reports suggests that the government-appointed Justice MB Shah Commission, set up to probe allegations of illegal mining in the country, has recommended auctioning of all future iron ore leases in Odisha and a cap on current output and sale through e-auctions. The report also suggests restricting production of iron ore in the state to 50-55 million tonnes per annum. The state government of Orissa has also served penalty notices to companies like Sail, Tata Steel, Essel mining etc. The cabinet has however refered the report to a committee of secretaries (CoS) for recommending the steps needed to contain illegal mining in the state. We await further clarity on this matter and until then maintain our estimates and rating on the coverage companies.

Source : Equity Bulls

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