Vedanta exports first shipment of iron after resuming operations in Goa

Vedanta’s Iron Ore division is the first iron ore mining company to start operations in Goa after three years due to the ban on mining.

“Vedanta has taken the lead and I am hopeful that all other miners will follow suit. After a blanket ban of three years, the first vessel of Vedanta’s Sesa Goa Iron Ore is flagged today. Vedanta took the initiative and adopted a proactive approach, to fulfill their promise. Further, they have kept the work force motivated during trying times. This is the need of the hour and I wish them great success in their endeavors,” said Chief Minister of Goa Laxmikant Parsekar, speaking on the occasion, and also added, “The industry has suffered and so have the people of Goa due to the mining ban. The industry still faces many hurdles of taxation, dumping outside lease area, and increase in production capacity. The need of the hour is the support and cooperation of all other stakeholders, especially the truck and barge owners to work towards attaining complete mining in Goa. I am positive and confident that very soon we will be able to see the mining industry resume business in full swing.”

“This achievement of resuming operations after three years of suspension on mining activity, is with multiple/ significant challenges. Iron ore prices are in free fall and are nose-diving. We also are faced with an arduous task of recovering our fixed costs and look forward to a complete utilization of the manpower and resources. We are positive that we will overcome the tough times with the support of the government and all other stakeholders of the industry and well positioned to achieve our production target,” said Kishore Kumar, CEO, Vedanta’s Iron Ore division.

Goa as a state at the peak of mining activity contributed US $ 7.5 billion to the nation’s foreign exchange. Vedanta’s Iron Ore division expects to mine 5.5 million tonnes of fresh iron ore from its mines in Goa. The low grade ore is not used by domestic steel makers, and most of it will be exported by March 2016.