Mineral exploration to help improve KIOCL’s revenue

Our Bureau Mangaluru | Updated on October 08, 2019


KIOCL Ltd (formerly Kudremukh Iron Ore Company Ltd) —which carries out exploration activities for minerals such as chrome, manganese and iron ore — is expecting a revenue of around ₹85 crore from the activities related to mineral exploration.

MV Subba Rao, Chairman and Managing Director of KIOCL, said the company has taken up mineral exploration along with the exploratory drilling work on areas allocated by the Union Ministry of Mines under the NMET (National Mineral Exploration Trust) programme and by the Karnataka government.

Alloted blocks

He said the Central government has given four blocks for mineral exploration. Of these blocks, Udbur block in Mysuru was given to KIOCL for exploring gold and associated minerals.

Due to the low concentration of gold in that block, NMET has advised KIOCL to carry forward the work for exploring nickel and chrome. The company has completed the geographical mapping of chrome in that block. Exploration is pending, he said.

In Tamil Nadu, mapping is completed for manganese and iron ore minerals and exploration is pending, he said.

The company has also been allotted two limestone blocks for exploration in Bagalkot district of Karnataka.

The Karnataka government has given nine blocks for exploration of iron ore and manganese in Ballari, Hospet, Sandur and Chitradurga areas. Works related to detailed geographical mapping are under progress.

Income from operation

To a query on the income from this operation, he said the mineral exploration activity in the 14 blocks allotted by the Central and State governments is likely to contribute about ₹85 crore to the company’s revenue.

Rao said the company’s work is only to do mapping and exploration. The government will allot the blocks, he added.

It may be mentioned here that the Union Ministry of Mines notified KIOCL Ltd as mineral exploration entity in 2015.

Published on October 08, 2019

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