The Hindu Business Line : Hind Copper to develop two greenfield mines

Kolkata, Nov. 22 Hindustan Copper Ltd (HCL) plans to develop two greenfield copper mines in Rajasthan and Jharkhand through the joint venture and contract mining route. The total investment required in these projects is estimated to be Rs 900 crore.

Talking to newspersons on the sidelines of the Trilateral Mining Seminar here on Thursday, the HCL Chairman-cum-Managing Director, Mr S.C. Gupta, said that considering the lack of investible surplus with the company, HCL had decided to develop the 26-million-tonne Banvas block in Rajasthan through contract mining and the 80-million-tonne Chapri-Sideshwar reserve in Jharkhand through a joint venture with strategic partner.

The company would invite expression of interest for the proposed joint venture once the mining lease is awarded by the Jharkhand Government.

While development of the Banvas reserve, including setting up of a concentration plant, is estimated to cost Rs 200-300 crore, Chapri-Sideshwar may cost up to Rs 600 crore.

Resuming operation

The company is also planning to resume operations at its four closed mines in Jharkhand on a contract basis. These mines are Rakha, Pathargara, Kendari and Mosabani, with a cumulative recoverable reserve of 50 million tonnes.

HCL has already awarded mining contract to Monarch Gold of Perth to reopen the Surda mines and Mosabani plant in Jharkhand. The redevelopment of the mine is nearing completion and commercial production is expected to start shortly.

The company currently has four operating mines, and recorded a total production of 40,000 tonnes during the last fiscal. Production is expected to move up to 42,000 tonnes in this fiscal.

Australia keen

Earlier at the Trilateral Seminar, Mr Mike Moignard, senior trade commissioner, Austrade, said that four Australian mining and mining technology companies were increasing their presence in India.

While Monarch Gold Group has already announced its plans to explore contract mining opportunities in India, Minetech is planning to open a mineral analysis laboratory in Kolkata.

Mintech is now scouting for acquisition of 5-10 acres of land in and around the city. The land acquisition is expected to be over by March 2008. The company will take another 18 months to set shop.

Thiess Leighton is exploring opportunities in contract and joint venture mining.

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