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Revised FORM - 1 FOR GHORABURHANI - SAGASAHI IRON ORE BLOCK OF ESSAR STEEL INDIA LTD. (PRODUCTION OF 7.16 MTPA IRON ORE (ROM) ALONG WITH CRUSHING AND SCREENING PLANT & BENEFICIATION PLANT CAPACITY OF 6.7 MTPA (1250 TPH).

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FORM - 1

APPLICATION SEEKING PRIOR ENVIRONMENTAL CLEARANCE

(I) Basic Information

S.No. Item Details

1 Name of the project/s

Ghoraburhani - Sagasahi Iron Ore block of Essar Steel India Ltd. - Iron Ore production (ROM) - 7.16 MTPA, along with crushing and screening plant and beneficiation plant of 6.7 MTPA Capacity (1250 TPH)

2 Sr. No. in the schedule 1(a) Mining of Minerals 2(b) Mineral Beneficiation

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Proposed capacity/ area/ length/ tonnage to be handled/ command area/ lease area/ number of wells to be drilled

Iron Ore production (ROM) - 7.16 MTPA, along with crushing and screening plant and beneficiation plant of 6.7 MTPA Capacity (1250 TPH) M.L. area – 139.165 ha

4 New/Expansion/Modernization New project for 7.16 MTPA (ROM) of Iron Ore production along with crushing & screening plant and beneficiation plant of 6.7 MTPA (1250 TPH) .

5 Existing Capacity/ Area etc. New project M.L. area - 139.165 ha

6 Category of Project i.e. ‘A’ or ‘B’ „A‟

7 Does it attract the general condition? If yes, please specify.

No

8 Does it attract the specific condition? If yes, please specify.

No

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Location

Plot/Survey/Khata No. Land schedule attached as Annexure -II

Villages Ghoraburhani, Sagasahi and Kalamang

Tehsil Koira

District Sundargarh

State Odisha

10 Nearest railway station/airport along with distance in kms.

Barbil Railway Station – 30.0 Km - NE Air strip: Rourkela (58 KM) - NW , Airport:, Bhubaneswar (230km) - S

11 Nearest Town, city, District Headquarters along with distance in kms.

Major Town: Barbil (30km)- NE, Small Town – Koira ( 5 KM) District Head Quarters: Sundergarh (200 km)

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Village Panchayats, Zilla Parishad, Municipal Corporation, Local body (complete postal addresses with telephone nos. to be given)

Villages - Ghoraburhani, Sagasahi and Kalamang Tehesil - koira

13 Name of the applicant M/s Essar Steel India Ltd.

14 Registered Address 27th Km, Surat Hazira Road, Hazira, Surat – 394270, Tel.: + 912616682400

15 Address for Correspondence

Name Sabyasachi Mohanty


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S.No. Item Details

Designation (Owner/Partner/CEO) General Manager - mining

Address

Essar Steel India Limited Ore Club, Bhadrasahi Chowk, Near Bank of India ATM, Barbil, district – Keonjhar, Odisha

Pin Code 758035

e-mail Email: [email protected], [email protected]

Telephone No. Mob Phone: +917381007215

Fax No. ---

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Details of Alternative Sites examined, if any. Location of these sites should be shown on a toposheets.

The Project ( Mine ) is site specific. Considering various technical advantages, crushing & screening and beneficiation plant has been proposed within the lease area. Its details are given in para 3.3, Chapter III of feasibility report.

17 Interlinked Projects No

18 Whether separate application of interlinked project has been submitted

No

19 It yes, date of submission

20 If no, reason -

21

Whether the proposal involves approval/clearance under: (a) The Forest (Conservation)

Act, 1980 (b) The Wildlife (Protection) Act,

1972 (c) The C.R.Z Notification,

1991

Yes. Not Applicable There are no Biosphere reserves, Sanctuaries and National parks inside the buffer zone (10 Km radius). Not applicable

22 Whether there is any Government Order/Policy relevant/relating to the site

The ML block has been allotted to Essar Steel India Ltd. through process of e-auction conducted by Govt. of Odisha. Enclosed LOI. (Annexure – I of Feasibility Report)

23 Forest land involved (hectares) Out of total lease area 139.165 ha an area of 126.401 ha is forest land & balance 12.764 ha is non-forest land.

mailto:[email protected]


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S.No. Item Details

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Whether there is any litigation pending against the project and/ or land in which the project is propose to be set up (a) Name of the Court

(b) Case No. (c) Orders/ directions of the Court,

if any and its relevance with the proposed project.

NO

(II) Activity

1. Construction operation or decommissioning of the Project involving actions,

which will cause physical changes in the locality (topography, land use, changes

in water bodies, etc.)

S.No Information/Checklist confirmation Yes/No

Details thereof (with approximate quantities / rates, wherever

possible)with source of information data

1.1

Permanent or temporary change in land use, land cover or topography including increase in intensity of land use (with respect to local land use plan)

Yes

Mineral production & setting up of crushing, screening and beneficiation plant will be within the mining lease area only. Due to mining operation there will be change in land use as there will be Excavation, Storage of minerals, waste, and infrastructure development. Establishment of crushing, screening & beneficiation plant and tailing pond will result in the utilization of land. After mining out the available mineable reserve, the excavated pits will be restored to the maximum possible extent by back filling and reclamation. In the post mining stage, beneficiation plant will be dismantled and the land will be reclaimed and handed over to forest department.

1.2 Clearance of existing land, vegetation and buildings?

Yes

Out of total area 139.165 ha an area of 126.401 ha is forest land & balance 12.764 ha is non-forest land. Forest clearance for 126.401 ha is under process. Clearance of vegetation will be restricted to the absolute minimum


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where ever necessary.

1.3 Creation of new land uses? Yes

Land will be used for mineral excavation, storage of mineral & waste, creation of infrastructural facilities. Subsequently, the mined out area will be restored to the maximum possible extent by back filling and re-claimation.

1.4 Pre-construction investigations e.g. bore houses, soil testing?

Yes 28 No‟s of boreholes were drilled by GSI for proving the presence of Iron Ore deposits.

1.5 Construction works? Yes

No major construction activities are involved in the mine for production. Proposed crushing & screening, Beneficiation plant will involve construction activities for housing of various equipment.

1.6 Demolition works?

No Nil

1.7 Temporary sites used for construction works or housing of construction workers?

Yes Provision of temporary sheds during the construction phase of beneficiation plant is proposed.

1.8 Above ground buildings, structures or earthworks including linear structures, cut and fill of excavations

Yes

Few buildings & structures for housing of crushing & screening unit, beneficiation plant equipment will be made. This being an elevated area, only ground leveling will be involved.

1.9 Underground works including mining or tunneling?

No Not applicable, as the mining is by open cast method.

1.10 Reclamation works?

Yes Reclamation will be adopted after the exhaustion of minerals as per the approved mine closure plan.

1.11 Dredging? No Nil

1.12 Offshore structures? No Nil

1.13 Production and manufacturing processes?

Yes

About 7.16 MTPA (ROM) iron ore will be produced by fully mechanized Open cast mining method. Usable ore will be processed through the crushing & screening unit and beneficiation plant to produce lump & fines (including filter cake) which will be used for captive purpose.

1.14 Facilities for storage of goods or materials?

Yes Separate stack yard for different size of ore and sub grade will be maintained with water spraying.

1.15 Facilities for treatment or disposal of solid waste or liquid effluents?

Yes

Out of 10.878 Mil.cum of waste generated from the mine, 2.050 Mil.cum will be used for road formation and creation of bund for tailing dam, 4.020 Mil.cum will be used for backfilling in pit-1, 3.684


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Mil.cum will be used for backfilling in pit -2 and about 1.124 Mil. cum will be dumped in the external dump. About 0.681 Mil.cum tailings to be generated from the beneficiation plant during plan period will be disposed in the proposed tailing pond area over an area of 4.92Ha. From 6th year onwards, an area of 6.93 Ha of Pit -1 (mineral exhausted pit) will be used for disposal of tailings. The water will be re-used in the beneficiation plant and there will be zero discharge of water.

.

1.16 Facilities for long term housing of operational workers?

No

Except provision of temporary sheds during the construction phase of beneficiation plant, no other permanent housing is proposed within the lease area

1.17 New road, rail or sea traffic during construction or operation?

No The existing road network will be utilized during construction as well as operation.

1.18

New road, rail, air waterborne or other transport infrastructure including new or altered routes and stations, ports, airports etc?

No

The lump and fines ( Including filter cake will be transported by existing road.

1.19

Closure or diversion of existing transport routes or infrastructure leading to changes in traffic movements?

No

The existing road passing through the lease area will be left undisturbed and a safety zone will be left on either side of the road.

1.20 New or diverted transmission lines or pipelines?

No -

1.21 Impoundment, damming culverting, realignment or other changes to the hydrology of watercourses or aquifers?

No -

1.22 Stream crossings?

Yes

Few rain water drainage channels are passing through the lease area. Apart from this no perennial nala flows through the lease area.

1.23 Abstraction or transfers of water from ground or surface water?

Yes

About 2800 m3/day of makeup water is required for beneficiation plant operations. Water requirement for domestic, dust suppression and environment protective measures is about 430 m3/day. The requirement of water will be sourced from bore wells.

1.24 Changes in water bodies or the land Yes Land surface will be lowered /broken


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surface affecting drainage or run-off? and hence local drainage channels on hill slopes get reorganized.

1.25 Transport of personnel or materials for construction, operation or decommissioning?

No No separate transport arrangements required.

1.26 Long-term dismantling or decommissioning which could have an impact on the environment?

No Not envisaged in near future

1.27 Ongoing activity during decommissioning which could have an impact on the environment?

No Not applicable

1.28 Influx of people to an area in either temporarily or permanently?

No

The area in general is not densely populated and it can easily absorb the additional meager increase in population due to this new project.

1.29 Introduction of alien species? No Not Applicable. Only native species will be planted in green belt and green cover.

1.30 Loss of native species or genetic diversity?

Yes

Clearance of vegetation will be made for the excavation of minerals and it will be restricted to the absolute minimum where ever necessary.

1.31 Any other actions? No Not envisaged.

2. Use of Natural resources for construction or operation of the Project (such as land, water, materials or energy, especially any resource which are non-renewable or in short supply):

S. No Information/Checklist confirmation Yes/No

Details thereof (with approximate quantities / rates, wherever

possible)with source of information data

2.1

Land especially undeveloped or agriculture land (ha)

Yes

Based on the Joint survey carried out by Department of forest, revenue and Mining of Govt of Odisha , out of 139.165 Ha of total lease area , 126.401 ha is forest land & balance 12.764 ha is non-forest land ( 6.063 ha of Govt Land, 3.257 ha of Private tenanted land and 3.444 ha of Gochar land). ( Annexure – II of Feasibility Report)

2.2 Water (expected source & competing users unit: KLD

Yes

Total Water Requirement -3230m3/day Source - Ground water (Bore wells) About 2800 m3/day of makeup water is required for beneficiation


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plant operations. For domestic use , dust suppression and other mining activities, requirement about 430 m3/day has been estimated which will also be sourced from bore wells.

2.3 Minerals (MT) Yes Iron Ore production: 7.16 MTPA (ROM).

2.4 Construction material – stone, aggregates, and / soil (expected source – MT)

Yes

No major construction involved. Materials required for foundation and small structures of crushing , screening and beneficiation plant will be locally sourced.

2.5 Forests and timber (source – MT) No No consumption of Forest and Timber.

2.6 Energy including electricity and fuels (source, competing users) Unit : fuel (MT), energy (MW)

Yes

The total power requirement is estimated to be 22.165 MW The power requirement will be met from the State grid and emergency DG Sets.

2.7 Any other natural resources (use appropriate standard units)

Nil No other natural resources required.

3. Use, storage, transport, handling or production of substances or materials which could be harmful to human health or the environment or raise concerns about actual or perceived risks to human health

S.No Information/Checklist confirmation Yes/No Details thereof (with approximate

quantities / rates, wherever possible) with source of information data

3.1

Use of substances or materials, which are hazardous (as per MSIHC ruled) to human health or the environment (flora, fauna and water supplies)

Yes

There will be use of HSD, and storage for the same will be done inside the lease area.

3.2 Changes in occurrence of disease or affect disease vectors (e.g. insect or water borne disease

No Nil

3.3 Affect the welfare of people e.g. changing living condition? Yes

There will be continual improvement on the socio economic condition of the locals due to more employment opportunity, increase in income generation, creation of infrastructural facility, improvement in the life style and living standards of the entire population of the surrounding area.

3.4

Vulnerable groups of people who could be affected by the project e.g. hospital patients, children, the elderly etc.,

No

No hospital/ house within the allotted area. Hence no effect has been envisaged for the hospital patients, children , the elderly etc.

3.5 Any other causes No No


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4. Production of solid waste during construction or operation or decommissioning (MT/month)


Details thereof (with approximate quantities / rates, wherever possible) with source of information data

4.1 Spoil, overburden or mine wastes Yes Given in Sl.no 1.15 above

4.2 Municipal waste (domestic and or commercial wastes)

No Negligible

4.3 Hazardous wastes (as per hazardous Waste Management Rules)

Yes Hazardous waste under category 5.1 & 5.2 are :

Used Oil

Oil contaminated waste Used oil from the operation of various machineries and equipment generated will be stored in drums safely for appropriate disposal.

4.4 Other industrial process wastes No Not applicable

4.5 Surplus product No Not applicable

4.6 Sewage sludge or other sludge from effluent treatment

No Not applicable

4.7 Construction or demolition wastes No Negligible during construction of crushing & screening and beneficiation plant.

4.8 Redundant machinery or equipment Yes

The mining & beneficiation equipment having residual life after the end of the life of the mine will be used in other similar project of the company or disposed off as scrap.

4.9 Contaminated soils or other materials No Not applicable. There will be no contamination of the soil.

4.10 Agricultural wastes No There will be no agricultural waste generation.

4.11 Other solid waste No Not applicable

5. Release of pollutants or any hazardous, toxic or noxious substances to air

(Kg/hr)


Details thereof (with approximate quantities / rates,

wherever possible) with source of information data

5.1 Emissions from combustion of fossil fuels from stationary or mobile sources

Yes Due to mining activities, there will be negligible quantity of gaseous and fugitive emissions due to movement of Heavy Earth Moving machineries. This will be controlled by


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effective environmental management plan which will be proposed in the EIA report. Since wet washing & separation process will be adopted in Beneficiation plant no gaseous and fugitive emissions are expected.

5.2 Emissions from production processes

Yes In case of mines, dust generated during blasting, excavation, crushing, screening is negligible as wet drilling will be practiced & water sprinkling will be done on Haul Roads, Dumps, Stack yards, crushing & screening units. Since wet process technology will be used in beneficiation plant no major impact on air quality envisaged.

5.3 Emissions from materials handling including storage or transport

Yes Source:

Ore and waste transport from the mines and beneficiation plant.

Crushing and screening operation.

Control measures include:

Water sprinkling

Good maintenance practice

Black topping of roads wherever necessary.

Green belt development

Provision of dry fog system in the crusher & Screen plants

Enclosing of conveyors

5.4 Emissions from construction activities including plant and equipment

Yes No major construction activity is involved except for construction of few sheds and foundation structures for crushing & screening unit and beneficiation plant.

5.5 Dust or odours from handling of materials including construction materials, sewage and waste

No Not applicable

5.6 Emissions from incineration of waste No Not applicable

5.7 Emissions from burning of waste in open air (e.g slush materials, construction debris)

No Not applicable


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5.8 Emissions from any other sources No Not applicable

6. Generation of Noise and Vibration and Emission of Light and Heat:



wherever possible)with source of information data

6.1 From operation of equipment e.g. engines, ventilation plant, crushers

Yes Movement of HEMM, drilling, operation of screen, vibrator, scrubber, jigs etc will generate some noise. However, various measures like provision of noise absorbing pads in foundations, provision of acoustic enclosure for the equipment, selection of low noise equipment, proper maintenance of HEMM‟s, green belt development, etc will be carried out to maintain noise levels within the statutory prescribed limits. Earmuffs will be provided to workers in noisy areas.

6.2 From industrial or similar process

No Not applicable

6.3 From construction or demolition

No Not applicable

6.4 From blasting or piling

Yes During mining, blasting operations will be carried out when ever required. Proper charge and stemming will be done during blasting to prevent the excessive dust generation. Proper delay detonators will be used to reduce noise levels and vibratory effects.

6.5 From construction or operational traffic

Yes Transportation of product from the mine head will be done by road. This may generate some noise in en route.

6.6 From lighting or cooling systems No Not applicable

6.7 From any other sources

No Nil


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7. Risks of contamination of land or water from releases of pollutants into the

ground or into sewers, surface waters, groundwater, coastal waters or the sea:




7.1 From handling, storage, use or spillage of hazardous materials

Yes Storage of HSD will be done inside the lease area. A magazine of suitable capacity will be established within the applied lease area after obtaining necessary permission. Proper precaution will be taken up during handling & storage of explosives & HSD.

7.2 From discharge of sewage or other effluents to water or the land (expected mode and place of discharge)

Yes Domestic sewage will be treated in STP and will be used for plantation. Work shop effluent will be treated in ETP and re-used for vehicle wash. Mine run-off water will be treated and will meet the norms specified by SPCB. In case of beneficiation plant, since the process water, tailing pond water will be re-used, there will be “Zero effluent discharge” from the Plant.

7.3 By deposition of pollutants emitted to air into the land or into water

No The fugitive dust emissions by the operations of drilling & blasting, Hauling and transportation by HEMM, DG sets (for emergency) will be controlled by various mitigation measures and will be within the CPCB/ State PCB norms. Since beneficiation plant adopts wet process, there will not be significant air pollution.

7.4 From any other sources Yes Any breach or break of Tailing dam may result in flow of slurry / water to the down stream side creating hazards in the form of damage to property / environment. A spill way channel will be created to


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take care off any over flow of water in case of any eventualities. At the end of the channel, an additional embankment will be created to restrict the flow of water outside the lease area.

7.5 Is there a risk of long term build up of pollutants in the environment from these sources?

No No risk of build-up of pollutants in the environment due to adoption of various mitigative measures.

8. Risks of accidents during construction or operating of the project, which could

affect human health or the environment




8.1 From explosions, spillages, fires etc from storage, handling use or production of hazardous substances

Yes During mining and plant operation, the risk of accidents is envisaged during blasting, handling of explosives and HSD, breach of tailing dam, etc. Risk control measures will be put in place to avoid any such accidents. In the beneficiation plant also, all preventive as well incidental measures will be followed. Further, proper safety measures will be taken to prevent any hazardous effect on the surrounding environment.

8.2 From any other causes

Yes The risk of accidents is envisaged during operations of HEMM, failure of mine pit slopes, improper storage or handling of fuel oil, Transport operations, blasting etc. But operations will be strictly governed by Mines Act 1952, MMR 1961 and other rules and regulations. All persons employed will be given training under Vocational Training Rules.

8.3 Could the project be affected by natural No Mining area falls in the safe


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disasters causing environmental damage (e.g. floods, earthquakes, landslides, cloudburst etc)?

zone as far as the earth quake, cloudburst is concerned. There is no chance of flood also.

9. Factors which should be considered (such as consequential development) which

could lead to environmental effects or the potential for cumulative impacts with other existing or planned activities in the locality




9.1 Lead to development of supporting utilities, ancillary development or development stimulated by the project which could have impact on the environment e.g :

Supporting infrastructure (roads, power supply, waste or water treatment, etc.,)

Housing development

Extractive industries

Supply industries

Other

Yes

No No No No

Supporting infrastructure like roads & other amenities in the area will be further improved leading to development of the region. The socio economic condition will be improved by way of generation of direct/indirect employment opportunities, provision of improved service facilities etc.

9.2 Lead to after-use of the site, which could have an impact on the environment

Yes Once the mineral will be exhausted, the land will be reclaimed & re-habilitated as per the final mine closure plan.

9.3 Set a precedent for later developments

Yes The management intends to make a model & sound environmental management practices.

9.4 Have cumulative effects due to proximity to other existing or planned projects with similar effects

No Nil


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(III) Environmental Sensitivity

SL No

Areas Name/

Identity

Aerial distance (within 15 km) of

Proposed project location boundary

1 Areas protected under international conventions, national or local legislation for their ecological, landscape, cultural or other related value

No No

2 Areas which are important or sensitive for ecological reasons - Wetlands, watercourses or other water bodies, coastal zone, biospheres, mountains, forests

Yes

Reserve Forest:- Lakrhaghat R.F – 4.8 – N, Siddhamath R.F - 4.0 km – NE, Baitarani R.F – 5.0 km – NE, Mendhamaruni R.F – adjacent to lease boundary – SW, Kathamala R. F - 4.0 km – SW, Bhabani Paharh R.F - 6.3 km – SW, Karo R. F - 3.3 km – NW, Uliburu R.F - 5.5 km – NW Water courses:- As given in sl. No. 4 below

3 Areas used by protected, important or sensitive species of flora or fauna for breeding, nesting, foraging, resting, over wintering, migration

No No

4 Inland, coastal, marine or underground waters

Yes

Water Courses : Topadihi Nala - 3.1 km – N, Kunduru Nala - 6.5 km – NE, Suna Nadi – 1.6 km – E, Kalmang Nala – 0.9 km – E, Kakarpani Nala - 5.1 km – E, Gahirajala Nala - 6.2 km - SE, Teherei Nala - 2.9 km - SE, Khajurdihi Nala - 6.3 km - S, Khuntachira Nala - 8.4 km - S, Lekerapani Nala – 2.2 km – SW, Archanda Nala – 7.0 km – S, Karo Nadi - 4.0 km – W. Few rain water drainage channels are passing through the lease area.

5 State, National boundaries Yes Jharkhand state boundary is 7.5 km NW

from the lease boundary

6 Routes or facilities used by the public for access to recreation or other tourist, pilgrim areas

No Nil

7 Defence installations Nil Nil

8 Densely populated or built-up area

Yes Koira - 5 Km ( SW) and Joda – 14 km ( NE

)


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9 Areas occupied by sensitive man-made land uses (hospitals, schools, places of worship, community facilities)

Yes Koira - 5 Km ( SW) and Joda – 14 km ( NE

)

10 Areas containing important, high quality or scarce resources

(ground water resources, surface resources, forestry, agriculture, fisheries, tourism, minerals)

Yes Minerals like Iron Ore, Manganese ore are

available in the region

11 Areas already subjected to pollution or environmental damage. (those where existing legal environmental standards are exceeded)

None

Not Applicable

12 Areas susceptible to natural hazard which could cause the project to present environmental problems (earthquakes, subsidence, landslides, erosion, flooding or extreme or adverse climatic conditions)

No

The area falls in Zone –II (Least Active)

and not prone to earthquakes, floods, land

slide etc.

I hereby given undertaking that the data and information given in the application and

enclosures are true to the best of my knowledge and belief and I am aware that if any

part of the data and information submitted is found to be false or misleading at any

stage the project will be rejected and clearance give if any to the project will be revoked

at our risk and cost.

Date: 21.11.2016

Place: Bhubaneswar

Signature of the applicant

* * * * * * * *

PROPOSED TERMS

OF

REFERENCE

PROPOSED TOR FOR GHORABURHANI - SAGASAHI IRON ORE BLOCK OF ESSAR STEEL INDIA LTD. (PRODUCTION OF 7.16 MTPA IRON ORE (ROM) ALONG WITH CRUSHING & SCREENING PLANT AND BENEFICIATION PLANT OF 6.7 MTPA (1250 TPH) CAPACITY.

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Proposed Terms of Reference for EIA studies

EIA/EMP report for Ghoraburhani - Sagasahi Iron ore Block for 7.16 MTPA (ROM) of Iron

Ore production along with crushing & screening plant and beneficiation plant of 6.7

MTPA (1250 TPH) proposed within the lease area will be prepared in line with MOEF 2006

notification and approved TOR.

This EIA/ EMP report will consist of the following major elements:

Executive summary which will be a miniature EIA/EMP report

1. Introduction comprising, project proponent profile, object of the project,

description of the project, project justification, status of the regulatory

clearances etc.

2. Project Description comprising, a site map with all recent features in the

area, project details, mining details etc.

3. Description of Baseline status of environment, anticipated environmental

impacts and proposed mitigating measures for the following

environmental factors:

a. Air Environment

b. Noise Environment

c. Water Environment

d. Land Environment

e. Biological Environment

f. Socio Economic Environment

g. Occupational health Environment

The impact assessment and management scheme will be for the integrated

mining and beneficiation plant operation.

4. Additional activities like Public consultation, studies covering Risk analysis

& Disaster Management Plan

5. Environment management plan and post project Monitoring programme

EIA Study report will be prepared based on “Standard Terms of Reference for

EIA/EMP report for Mining & Beneficiation Plant given by MoEF & CC in April 2015.

The Terms Of Reference (TOR) for preparation of EIA / EMP report 7.16 MTPA

(ROM) of Iron Ore production along with crushing & screening plant and

beneficiation plant of 6.7 MTPA (1250 TPH) is proposed within the lease area is

given below:


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The core zone will be the 139.165 Ha of allotted area and the buffer zone area will

cover 10 km radius from the periphery of core zone.

A study area map of the core zone and buffer zone clearly delineating the major

topographical features such as the land use( forest or otherwise), surface drainage of

the rivers/streams/nallas/canals, human habitations, major constructions including

railways/roads, pipelines, industries, mines, will be provided.

Environment Policy approved by Board of Directors, procedures to bring into focus

any infringement / deviation / violation of the environmental or forest norms /

conditions, hierarchical system or Administrative order of the company to deal with

the environmental issues and for ensuring compliance with the EC conditions and

the system of reporting of non- compliances / violations of environmental norms to

the Board of Directors of the company and or shareholders will be detailed in the

EIA report.

Topography of the ML area will be given with contours.

Existing environmental quality within 10K.M. radius of the project site will be

assessed based on secondary data collected from various sources supplemented by

primary data generated at site.

Baseline data to be generated for following environmental components (For one full season

other than monsoon) from October ’16 to Dec’16.

Meteorology: Meteorological data for wind speed, wind direction, relative

humidity and ambient temperature will be generated close to the site. Readings

will be noted on hourly basis. Historical meteorological data will be obtained to

assess the climatic trend. Data on mixing height and stability class will be

obtained from CPCB publication.

Ambient Air: AAQ data of the study area will be generated by following the

guidelines for ambient air quality monitoring published by CPCB. Particulate

matter PM 2.5, PM - 10, Sulphur dioxide , Nitrogen dioxide, Carbon Monoxide,

etc. will be monitored for one full season (except monsoon). The monitoring

stations will be selected taking into account the pre-dominant wind direction,

population zone, sensitive receptors, etc for each block and all the blocks will be

adequately covered.

Noise: Baseline noise levels will be generated at locations where AAQ

monitoring will be conducted. Noise readings will be taken on hourly basis for a


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day in each location using sound level meter once during the study period as

per CPCB procedure.

Water Quality: Surface and groundwater sampling locations within the study

area will be identified based on drainage pattern, water utilization and location of

bore wells / dug wells. Parameters recommended by CPCB / IS 10500 will be

analysed following the standard methods (APHA Procedure). Sampling will be

done once during the study period.

Soil: Soil samples will be collected from the nearby fields of all the blocks that

are likely to be impacted from the project related air emissions, disposal of

wastewater if any and solid wastes.

Flora and Fauna: A detailed biological study of the area will be carried out.

Details of Flora & Fauna separately for core zone and buffer zone will be

furnished based on field survey clearly indicating the schedule – I fauna found in

the study area. Location of National parks, Sanctuaries, Biosphere reserves,

Wild life corridors, Tiger / elephant reserves, if any, within the buffer zone will

be indicated.

Socio-economic Environment: Baseline information will be collected through

field visits, supported by secondary sources, mainly District Statistics Handbook

/ Census Records / Tehsildar’s Office. Data on population distribution,

occupational pattern, agriculture and cropping pattern, educational facility,

health care facilities, literacy rate, infrastructure facility, etc, will be provided.

Impact on air quality due to PM emission from the integrated mining and

beneficiation plant operations will be predicted using ISC – ST3 model and the

predicted Ground Level Concentration (GLC) will be super imposed over the

baseline data generated and will be given in tabular form .The Isopleth distribution of

the concerned pollutants over the study area will be plotted by way of contours.

Impact of vibration due to drilling & blasting operation will be analyzed.

Prediction of Noise level impact due to mining and allied activities & beneficiation

plant activities will be studied through scientific model.

The water requirement for the project, its availability and source, details of competing

users will be furnished. Detailed water balance diagram and details of water

conservation measures will also be provided.

Necessary clearance from the Competent Authority for drawl of requisite quantity of

water for the project will be provided.


P-4

Impact on the surface and ground water quality due to integrated mining,

beneficiation plant operations including tailing dam and its management scheme will

be given.

A detailed Hydro-geological study report including the impact of the project on the

ground water regime will be given.

The impact of the project on the existing drainage pattern will be addressed and

mitigation measures will be suggested to counter the adverse impact on the existing

drainage pattern if any.

Rainwater harvesting strategies within the applied mine lease areas will be

suggested as a measure to augment the available water resources of the area.

Land use pattern, cropping pattern, vegetation cover etc will be studied through

Satellite imagery and the impact due to mining on the local bio diversity, soil status,

surface and ground water quality will be analyzed.

Land use pattern in pre-mining, during mining and post mining stage will be given

Quantity of solid waste generation from the mine and beneficiation plant and details

of its disposal and management will be provided.

Impact on local transport infrastructure due to the Iron ore transportation will be

studied.

Anticipated impacts due to the proposed mining and allied activities on the biological

environment and the mitigated measures including Phase wise plan of green belt

development, clearly indicating the area to be covered under plantation and species

to be planted will be given.

The corporate Social Responsibility (CSR) will be formulated through Need

Assessment Survey (NAS) and will be distinctly given.

Based on standard procedures prescribed by the National Safety Council and

provisions mentioned in the Factories Act, occupational health and safety aspects of

the project will be identified and given in the report along with mitigated measures.

Risk assessment study will be undertaken and Disaster Management Plan will be

prepared to tackle any accident that may occur due to the proposed activity, possible

danger due to storage/ usage of explosive, tailing pond etc.

Environmental Management Plan drawn up to maintain and enhance the

environmental quality in and around the project area along with post project

environmental monitoring programme will be given in the report.


P-5

Details of occupational impact due to the project, its mitigation measures, details of

Initial Medical Examination(IME), Periodical Medical Examination (PME) will be given

in the report

* * * * * * * *

BRIEF SUMMARY FOR GHORABURHANI - SAGASAHI IRON ORE BLOCK OF ESSAR STEEL INDIA LTD. (PRODUCTION OF 7.16 MTPA IRON ORE (ROM) ALONG WITH CRUSHING & SCREENING PLANT AND BENEFICIATION PLANT OF 6.7 MTPA (1250 TPH) CAPACITY

1

BRIEF SUMMARY OF THE PROJECT

Government of Odisha has issued letter of Intent under Rule 10(2) of Mineral Auction Rules

2015 to M/s Essar Steel India Ltd, part of the Essar Group, for grant of Mining Lease for

Ghoraburhani – Sagasahi Iron ore Block over an area of 139.165Ha (90.629Ha of

Mineralized area and 48.536 ha for ancillary activities) in Ghoraburhani, Sagasahi and Kalmang

village, Koira Tahasil of Sundargarh district of Odisha for a period of 50 years under captive

route.

M/s Essar Steel India Limited shall sign the Mine Development and Production

Agreement (MDPA) with the Government of Odisha upon obtaining all approvals including EC

clearance, consents, permits, NOC and the like as may be required under applicable laws for

commencement of Mining operation.

This proposal is for Ghoraburhani - Sagasahi Iron Ore Block of M/s Essar Steel

India Ltd with production of 7.16 MTPA iron ore (ROM) along with crushing and screening

plant and beneficiation plant capacity of 6.7 MTPA (1250 TPH) is prepared in line with the

guidelines issued by MOEF, for obtaining TOR from MoEF &CC towards getting

environmental clearance for the total mine lease area of 139.165 Ha.

M/s Essar Steel India ltd , is one of the leaders in India and abroad in the steel sector. It has a fully

integrated world-class steel plant with a current capacity of 10 million tonnes per annum (MTPA)at

Hazira, Gujarat housing the world's fourth largest single-location steel plant. The present capacity of the

Integrated Steel plant at Hazira is 10.0 MTPA. This plant requires minimum 16 million tons of raw

materials (iron ore) for steel making. This mining block will be operated exclusively for captive use and

will partially cater the requirement of company’s steel plant and thereby it will help in partial

securitization of Raw-material for the company’s Steel Plant..

.

The lease area is bounded by Latitude 21° 56' 08.83896" to- 21° 57' 09.61956"North

and Longitude 85° 17' 02.52096" to 85° 17' 48.99336" East and falls in Survey of India Topo

Sheet No. 73 G/1 & 73 G/5

The area can be approached from Barbil or Koira through NH-215 connecting Panikoili

on National Highway No.5 with Rourkela via Keonjhar, Joda, Barbil and Koira. The nearest rail

head is Barbil, which is located at a distance of 30km from the lease and on the Tatanagar -

Barbil section of the South-Eastern Railway.

https://en.wikipedia.org/wiki/Essar_Group

https://en.wikipedia.org/wiki/India


2

Based on the Joint survey carried out by Department of forest, revenue and Mining of

Govt of Odisha , out of 139.165 Ha of total lease area , 126.401 ha is forest land & balance

12.764 ha is non-forest land ( 6.063 ha of Govt Land, 3.257 ha of Private tenanted land

and 3.444 ha of Gochar land). Application for diversion of forest land for mining purpose has

been submitted. There are no habitations within the lease area. As such there will be no

rehabilitation and resettlement due to this project.

The lease area is a highly rugged terrain, with elongated hills trending ENE-WSW

direction, low mounds and narrow valleys. The highest elevation of ridges in the area is 745m.

The low lying valleys occur at an elevation of around 600m. Lateritic soil recorded in the ridges

and valleys are mainly covered by alluvial soil.

The lease area is not having any ecologically sensitive features like national parks,

biospheres, sanctuaries, elephant corridors, Tiger reserves, flight paths of migrating fauna,

Protected areas as per Wildlife Protection Act, 1972 etc., The area does not come under CRZ

category.

In the 10 km buffer zone, water bodies namely Topadihi Nala - 3.1 km – N, Kunduru Nala -

6.5 km – NE, Suna Nadi – 1.6 km – E, Kalmang Nala – 0.9 km – E, Kakarpani Nala - 5.1 km – E,

Gahirajala Nala - 6.2 km - SE, Teherei Nala - 2.9 km - SE, Khajurdihi Nala - 6.3 km - S,

Khuntachira Nala - 8.4 km - S, Lekerapani Nala – 2.2 km – SW, Archanda Nala – 7.0 km – S, Karo

Nadi - 4.0 km – W. Few rain water drainage channels are passing through the lease area.

Reserved Forests like Lakrhaghat R.F – 4.8 – N, Siddhamath R.F - 4.0 km – NE, Baitarani R.F

– 5.0 km – NE, Mendhamaruni R.F – adjacent to lease boundary – SW, Kathamala R. F - 4.0

km – SW, Bhabani Paharh R.F - 6.3 km – SW, Karo R. F - 3.3 km – NW, Uliburu R.F - 5.5 km

– NW are located within 10km radius. Jharkhand state boundary is about 7.5 km NW of the

lease boundary.

A total of 28 core drill hole has been drilled by GSI within the allotted block to estimate the

resource under G2 category as per UNFC norms. Total Mineral resources in the proposed ML

area is 98.61 Million Tons of which 78.24 Mil.T is expected to be mineable.

The mine comes under Category “A” fully mechanized mines. Mining of the deposit will

be carried out by Mechanized opencast method by removal of topsoil, drilling and blasting of ore

zone, excavation, loading and haulage of run of mine ore. Top soil if any will be removed first,

which will be stock piled for future use for plantation purposes. After the removal of top soil,

drilling and blasting operation will be carried out at hard / laminated iron ore zone for loosening.


3

These loosened iron ore then excavated and loaded to the dumper for processing in the

Beneficiation plant. The processed ore will be used in company’s own steel plant.

Proposed bench height in the quarry area is 10 m with 20 m working width. Bench slope

angle of 850 has been considered for the quarry. Inter bench ramp at a maximum gradient of 1

in 10 and haul road at a maximum gradient of 1 in 16 has been planned to facilitate the

transportation of ore ROM from different faces to the crushing plants.

During 1st year of plan period, all the pre-production activities will be achieved. Initially two

pits namely pit-1 and pit-2 will be opened. Planning of pit- 1 has been envisaged in such way

that it can be exhausted during plan period. It has been envisaged that, the part of pit-1 will be

exhausted during 4th and 5th year of plan period. The 4th & 5th year waste from pit-1 will be

utilized for the back-filling of the exhausted part of pit-1. The planned capacity of 7.16 MT of

ROM / annum, which is planned to be achieved in 5th year of the planned period.

Considering Total mineable reserve of iron ore of 78.24Mil.T as on date as per present

exploration data, the life of the mine is expected to be about 12 years. However, the life of the

mines may vary depending upon the raw material requirement for the steel plant and

establishment of resource after detailed drilling.

Initially, till 3rd year of plan period, there will be two no’s of mobile crushing and screening

plant of 500 TPH one in each pit (Pit 1 & Pit 2). During these years, the products (lumps & iron

ore fines) from mobile crusher will be transported from the mine head by Road.

By the end of third year of the plan period, stationery crushing and screening facility of 1350

TPH capacity will be commissioned.

It is also proposed to install a 1250 TPH capacity State of Art beneficiation facility in the

mine site. The beneficiation plant comprises of grinding mills of primary mill, secondary mill and

regrind mill. There are gravity separators using separate gravity principles according to the size

of application, magnetic separators of Wet high intensity magnetic separator, high gradient

magnetic separators according to the magnetic properties of the ore in this plant. There is a

screw scrubber in the line to scrub the amorphous alumina and clay form the course and

segregate for the up-gradation. Concentrate thickener will be located in the plant to concentrate

the product. Similarly intermediate thickener will be there to thicken the material for proper

density feeding to the required equipment. A conventional tailing pond is proposed for water

recovery and tailing management. Transportation of product (lumps/fines/filter cake) will be by

road from the mine head.

Out of 10878029 cum of total waste to be generated from the mine, 4429516 cum will be

generated during the plan period & about 6448513 cum is expected to be generated during the


4

conceptual period (6th to 12th year). About 447862cum of waste generated from Pit -1 for initial 2

years will be dumped temporarily in Dump – 1 within the lease area. However, this temporary

dump -1 will be totally re-handled in year – 5 and the entire re-handled material will be used for

backfilling pit – 1. Thus out of 10. 878 Million cum of waste generated, 2.050 Million cum will be

used for road formation and creation of bund for tailing dam, 4.020 million cum will be used for

backfilling pit-1, 3.684 million cum will be used for backfilling pit -2 and about 1.124 million cum

will be dumped externally in dump – 2.

About 681546.5cum tailings to be generated from the plant during plan period will be

disposed in the proposed tailing pond area over an area of 4.92Ha. During the conceptual period

from 6th year onwards an area of 6.93 Ha of Pit -1 (mineral exhausted pit) will be used for disposal

of tailings.

In the conceptual stage, about 88.759 Ha will be utilized for mining of which northern

part the UPL covers about 22.114 ha and in the southern and eastern part the UPL covers an

area of about 66.645 Ha. The ultimate working depth will be 520 mRL.

In the post mining stage, out of 88.759 Ha of mined out area, about 27.374ha will be

reclaimed by backfilling and plantation, 5.6 ha will be used for Mineral reject to be stored over

back-filled area & covered under plantation, 46.823ha will be rehabilitated with bench plantation,

6.93 ha will be used as tailing pond which will be covered under plantation ultimately and 2.032

ha will be left as water body.

The wells at nearby villages are indicating that the water level is encountering at RL

480m tentatively. Detailed Ground water study will be carried out to study the effect on ground

water regime.

The existing topography is supporting for the construction of tailing pond at the proposed

site. The height of the proposed tailing pond in the western part will be 645m whereas in the

eastern part it is 630m. The slope of the tailing pond area will be due east. It has been planned

to dig the proposed tailing pond area 20m from the surface. As a result of which the floor RL will

be 625m in the west and 610m in the east. The proposed tailing pond area is barren and will be

in lateritic zone. A spill way channel will be created to take care off any over flow of water in

case of any eventualities. At the end of the channel an additional embankment will be created to

restrict the flow of water outside the lease area. The habitation is far away from the proposed

tailing pond. Hence, location of tailing dam will not have any effect on the habitation. Further,

proper safety measures will be taken to prevent any hazardous effect the on surrounding

environment.


5

The total water requirement for the integrated project is estimated to be 3230 m3/day out of

which 430 m3/day for mining and 2800 m3/day for beneficiation plant make up & allied activities.

The entire water required is and will be sourced from the bore wells. The area falls in the “safe”

category as far as the stage of development is concerned.

The power demand for the integrated mine and beneficiation plant is estimated to be

22165 KVA. The power requirement will be met from the State grid and backup power from DG

Sets.

All required amenities / facilities required for the mining activities like site office, rest

shelter, VTC, Canteen etc will be developed at the site.

Scientific and systematic development of mines will be carried out by the project

authorities for preserving as well as improving the environmental conditions in and around the

mining lease area. Various prevention and control measures will be undertaken during actual

course of mining & plant operations.

The total cost of the project is expected to be Rs. 998.72 Cr. Since it is a captive mine,

operation of this mine will supply quality ore consistently to its steel plant at a comparatively

lesser landed price in comparison to the ore sourced from merchant mines.

The proposed mining and plant operations in the area will bring transformational

prosperity and improvements in this region in the fields of potential employment opportunities,

improved per capita income for local people, improved social welfare facilities in respect of

education, medical healthcare systems, communicational aspects, infrastructural build-up, etc.

Besides, this project will also ensure supply of quantity and quality ore consistently to the

captive Steel plant and also provide the security of the raw-material for the plant.

A meticulously well planned Environmental Management Plan, with various programme

schedules and timely execution objectives will ensure that the future environmental quality in the

area will be maintained within statutory limits.

* * * * * * * *

1

NOVEMBER - 2016

2

CONTENTS

CHAPTER NO. PARTICULARS PAGE NO.

FEASIBILITY REPORT

I EXECUTIVE SUMMARY 4 - 26

II INTRODUCTION OF THE PROJECT / BACKGROUND INFORMATION

27 - 32

III PROJECT DESCRIPTION

33 - 67

IV SITE ANALYSIS

68 - 71

V PLANNING BRIEF

72 - 74

VI PROPOSED INFRASTRUCTURE

75 - 79

VII REHABILITATION & RESETTLEMENT (R&R) PLAN

80 - 80

VIII PROJECT SCHEDULE & COST ESTIMATES 81 - 82

IX ANALYSIS OF PROPOSAL (FINAL RECOMMENDATIONS) 83 - 83

3

LIST OF FIGURES

FIGURE

NO. PARTICULARS PAGE NO.

1. LOCATION MAP 35

2. LEASE MAP 36

3. GEOLOGICAL PLAN 39

4 GEOLOGICAL CROSS SECTION 40

5 SURFACE LAYOUT PLAN 46

6 MINE POSITION AT THE END OF PLAN PERIOD 47

7. CONCEPTUAL PLAN 51

8. CONCEPTUAL CROSS SETION 52

9. LAYOUT OF BENEFICIATION PLANT 59

10. MATERIAL BALANCE OF BENEFICIATION PLANT 60

11. CONCEPTUAL FLOW SHEET OF 1350 TPH CRUSHING AND SCREENING PLANT

61

12. CONCEPTUAL FLOW SHEET OF 1250 TPH BENEFICIATION PLANT

62

13. WATER BALANCE DIAGRAM 67

14. INDEX PLAN 70

LIST OF ANNEXURES

ANNEXURE

NO.

PARTICULARS PAGE NO.

I LETTER OF INTENT FROM GOVERNMENT OF ODISHA 84 -86

II JOINT VERIFICATION REPORT 87 - 91

4

CHAPTER – I

EXECUTIVE SUMMARY

1.0 INTRODUCTION OF THE PROJECT / BACKGROUND INFORMATION

1.1 BACKGROUND INFORMATION OF PROJECT:

In pursuant to the Mines and Minerals (Development and Regulation) Amendment ACT,

2015 and The Mineral (Auction) Rules, 2015, Govt. of Odisha issued the notice inviting tender

dated 23rd Dec 2015 for commencement of the auction process to grant the mining Lease

under captive category in respect of Ghoraburhani - Sagasahi iron ore Block located in

Koira Tahasil of Sundargarh district of Odisha. The e-auction process was conducted in

accordance with the tender document and the mineral auction rule, 2015 for said mineral

block and M/s Essar Steel India Limited was declared as the preferred Bidder under Rule

9(4) (b) (iii) of the Rules.

Ghoraburhani - Sagasahi Iron Ore Block of M/s Essar Steel India Ltd is in the

villages of Ghoraburhani, Sagasahi and Kalmang, Koira Tahasil, district- Sundargarh of

Odisha. The total lease area is 139.165 Ha.

M/s Essar Steel India Ltd has already made a payment of Rs 9, 26,24,600.00 (Rupees

Nine crore twenty six lakhs twenty four thousand six hundred only) through treasury challan

on 17.03.2016 against the first installment being ten percent of the upfront money.

Accordingly, the Government of Odisha has issued letter of Intent (copy enclosed as

Annexure-I) under Rule 10(2) of Mineral Auction Rules 2015 to M/s Essar Steel India Ltd for

grant of Mining Lease for Ghoraburhani - Sagasahi Block for iron ore over an area of

139.165Ha (90.629Ha of Mineralized area and 48.536 ha for ancillary activities) in

Ghoraburhani, Sagasahi and Kalmang village, Koira Tahasil of Sundargarh district of Odisha

for a period of 50 years.

This letter of intent is valid subject to the provision of the Act and the Rules made there

under and M/s Essar Steel India Limited shall be designated as the Successful Bidder and

the subsequently granted the mining lease only upon satisfactory completion of all the

requirements under the Act and Rules made there under.

M/s. Essar Steel India Limited shall be considered to be successful bidder upon

i. Continuing to be in compliance with all the terms and conditions of eligibility.

ii. Payment of second installment being ten percent of the upfront payment.

iii. Furnishing performance security.

iv. Satisfying the conditions specified in clause (b) of sub section(2) of section 5 of the Act

with respect to Mining Plan.

5

Signing of Mine Development and Production Agreement (MDPA)


Agreement (MDPA) with the Government of Odisha upon obtaining all consents, approvals,

permits, NOC and the like as may be required under applicable laws for commencement of

Mining operation.

Grant of Mining Lease

Subsequent to signing of the Mine Development & Production Agreement ( MDPA) ,

M/s ESSAR Steel India Limited shall make payment of the third installment being the eighty

percent of the upfront money and thereafter Government of Odisha shall grant the said Mining

Lease.

Hence, it is worth mentioning here that the preferred bidder i.e. M/s Essar Steel India

Limited is required to obtain all statutory clearances like Approval of Mining Plan, grant of

Environment Clearance, Grant of Forest Clearance, Consent to Establish, Consent to

Operate, etc for signing of MDPA and grant of Mining Lease.

MOEF notification stipulates environmental clearance for Mining project. Prior to

obtaining environmental clearance, as per MOEF notification of September 2006, Form I and

Feasibility report have to be submitted along with Terms of reference (TOR) for the project

towards grant of TOR for the project by MOEF, Govt. of India.

This project falls under category A as per MoEF notification, because of mining lease

being more than 50 Ha. Hence, Form – 1, TOR and feasibility report is being submitted to

MoEF&CC, New Delhi for their approval and prescribing TOR and grant of EC after

submission of EIA/EMP report.

This feasibility report for Ghoraburhani - Sagasahi Iron Ore Block of Essar

Steel India Ltd with production of 7.16 MTPA iron ore (ROM) along with crushing and

screening plant and beneficiation plant capacity of 6.7 MTPA (1250 TPH) is prepared in line

with the guidelines issued by MOEF, for obtaining TOR from MoEF & CC towards getting

environmental clearance for the total mine lease area of 139.165 Ha.

1.2 IDENTIFICATION OF PROJECT AND PROJECT PROPONENT:

M/s Essar Steel India, part of the Essar Group and one of the leaders in India and abroad

in the steel sector. It has a fully integrated world-class facility at Hazira, Gujarat housing the

world's fourth largest single-location steel plant. The Iron ore produced out of the proposed

ML area will be utilized in the Integrated Steel Plant. It has a steel-making capacity of 10.0

MTPA, holds ISO: 9001:2000, IS 9002 and TUV and ISO 140001 certification.

The facility also houses a 6.8 MTPA DRI plant (the world's largest gas-based sponge iron

plant in a single location), a 1.5 MTPA plate mill (the largest in India), a 0.6 MTPA Pipe mill

with internal and external coating facilities of up to 2.0 Million square meters annually, and a



6

1.4 MTPA cold rolling complex comprising two galvanizing lines, a batch annealing furnace

and a skin pass mill.

The steel manufacturing operations comprise iron ore beneficiation, pellet making,

iron making, steel making, and downstream facilities, including a cold rolling mill, a

galvanizing and pre-coated facility, a steel-processing facility, an extra-wide plate mill and

pipe mills with coating facilities.

Now, the company has been awarded with the Ghoraburhani - Sagasahi Iron ore

block in Odisha under Mines & Minerals (Development & Regulation) Amendment Act- 2015

and Mineral Auction Rules, 2015 under captive category.

As earlier mentioned, the present capacity of the Integrated Steel plant at Hazira is

10.0 MTPA. This plant requires minimum 16 million tons of raw materials (iron ore) for steel

making. The, said Ghoraburhani - Sagasahi block in Odisha with the planned capacity of

7.16 MT of ROM / annum, which is planned to be achieved in 5th year of the planned period

will be operated exclusively for captive use and will partially cater the requirement of

company’s steel plant.

PROJECT PROPONENT:

Name and Address of the applicant:

Corporate office - Mumbai, India Registered office - Hazira, India

M/s. Essar Steel India Limited

Essar House

11, Keshavrao Khadye Marg, Mahalaxmi

Mumbai - 400 034

Phone: +91 (22) 2495 0606 / 6660 1100

Fax: +91 (22) 2492 8896

Email: [email protected]

M/s. Essar Steel Limited

27th KM

Surat - Hazira Road

District – Surat, Hazira 394 270

Gujarat, India

Telephone: +91-261-2872400

Fax: +91-261-2872796

1.3 BRIEF DESCRIPTION OF NATURE OF PROJECT:

Ghoraburhani - Sagasahi Iron ore Block has been allotted under captive category and it will

partially cater the requirement of company’s steel plant. The production target has been

fixed at production of 7.16 MTPA iron ore (ROM) along with crushing and screening plant

and beneficiation plant capacity of 6.7 MTPA (1250 TPH) is proposed within the lease area.

The mining operations will be through mechanized opencast mining system, involving

shovel-dumper combinations, drilling and blasting etc., as described in chapter III.

Beneficiation plant will be adopting latest wet technology comprising Scrubbing, Magnetic

separation in two stages, Screening, Primary grinding and classification, Regrinding in

mailto:[email protected]

7

secondary mill and classification, Gravity Separation by Spiral and Jig. Transportation of

product (lumps/fines/filter cake) by road from the mine head.

1.4 NEED FOR THE PROJECT & ITS IMPORTANCE TO THE COUNTRY AND OR

REGION:

M/s Essar Steel India is having a world class steel plant in Hazira, Gujarat. The raw

material requirement of this steel plant is presently met from different suppliers. The supply

of iron ore from the captive block Ghoraburhani - Sagasahi block will ensure the quality

requirement of the steel plant and shall meet the quantity requirement partially and thereby it

will help in partial securitization of Raw-material for the company’s Steel Plant..

Besides, the Ghoraburhani - Sagasahi block has got the following advantages:

The lease area is well explored by Geological Survey of India and the estimated total

resource of +45%Fe is 98.61 Million tons and the mineable reserve is estimated to

be 78.24 million tons, which shows sufficient reserves are available in the block.

Since it is a captive mine for the existing steel plant, the ore produced shall be used

for captive purpose.

The grade of the ore in this lease is mostly +58 % Fe and quality ore can be

supplied.

There are no habitations or other major social issues involved and hence there is no

Re-habilitation and Re-settlement is involved.

Opencast method of mining is the proven technology. Beneficiation by wet process

technology comprising Scrubbing, Magnetic separation in two stages, Screening,

Primary grinding and classification, Regrinding in secondary mill and classification,

Gravity Separation by Spiral and Jig. Hence Techno economically this proposal is

viable.

Considering all the above said favorable factors it is practically possible to

achieve the proposal within the plan period.

As far as the National importance is concerned, this project will enable to achieve

increased outputs of steel and other related products which in turn will help to increase GDP

growth of the nation considerably. As the government is planning massive investments in the

infrastructural sectors, more and more infrastructural projects are being encouraged to be

put up by private players. Towards fulfillment of such Government targets, this project will

contribute its own share

As far as regional scenario is concerned, the area will get a great uplift in terms of

social condition betterment, industrial growth and local area development. The State

Government will also be benefited financially through receipt of revenue sharing, royalties,

cess, duties, etc, due to project operations. It can be concluded that on an overall basis,

8

sustained industrial growth of the State can be realized to full measure by the present

proposal.

This being the first iron ore mine auctioned under “The Mineral (Auction)

Rules,2015”, timely and successful implementation of this project will pave way for achieving

higher earnings for the government during auctioning of other future projects.

2.0 PROJECT DESCRIPTION

2.1 LOCATION:


villages of Ghoraburhani, Sagasahi and Kalamang, Koira Tahasil, district - Sundargarh of

Odisha. The total lease area is 139.165 Ha. This area applied for mining lease.

Topo Sheet No. 73 G/1 & 73 G/5

Latitude : 21° 56' 08.83896" - 21° 57' 09.61956"North

Longitude : 85° 17' 02.52096" - 85° 17' 48.99336" East

2.1.1 ENVIRONMENTAL SETTINGS OF THE AREA:

The project area is devoid of declared ecologically sensitive features like national parks,

biospheres, sanctuaries, etc., as mentioned earlier. The area also does not come under CRZ

category.

In the 10 km buffer zone the following features are observed:

SI.No Particulars Details

1. Nearest villages Sagasahi - <1km – W, Ghorhaburhani - adjacent to

lease boundary – N, Kalamang – 1.1 KM NE

2. Nearest Highway Koira to Barbil Rd - NH-215 – NW - 1.9 km

3. Nearest Railway station Barbil Railway station – 30 km – NE

4. Nearest Airport Air strip: Rourkela (58 KM) - NW Airport:,

Bhubaneswar (230km) - S

5. Nearest water bodies Topadihi Nala - 3.1 km – N, Kunduru Nala - 6.5 km – NE, Suna Nadi – 1.6 km – E, Kalmang Nala – 0.9 km – E, Kakarpani Nala - 5.1 km – E, Gahirajala Nala - 6.2 km - SE, Teherei Nala - 2.9 km - SE, Khajurdihi Nala - 6.3 km - S, Khuntachira Nala - 8.4 km - S, Lekerapani Nala – 2.2 km – SW, Archanda Nala – 7.0 km – S, Karo Nadi - 4.0 km – W. Few rain water drainage channels are passing through the lease area.

6. Notified Archaeologically important places,

Monuments

No such notified Archaeologically important places,

Monuments within 10 km radius

7. Local Places of Historical and Tourism

Interest

No such local Places of Historical and Tourism

Interest within 10 km radius

9

8. Environmental sensitive areas, Protected

areas as per Wildlife Protection Act, 1972

(Tiger reserve, Elephant reserve,

Biospheres, National parks, Wildlife

sanctuaries, community reserves and

conservation reserves)

No such Environmental sensitive areas, Protected

areas as per Wildlife Protection Act, 1972 within 10

km radius

9. Reserved / Protected Forests Lakrhaghat R.F – 4.8 – N, Siddhamath R.F - 4.0 km – NE, Baitarani R.F – 5.0 km – NE, Mendhamaruni R.F – adjacent to lease boundary – SW, Kathamala R. F - 4.0 km – SW, Bhabani Paharh R.F - 6.3 km – SW, Karo R. F - 3.3 km – NW, Uliburu R.F - 5.5 km – NW

10. Defence Installations No Defense Installations within 10km radius

11. Seismic Zone Zone – II (Least Active)

12. Other Industries in the area Nuagaon Iron ore Mines, Guali Iron ore mines,

Rungta Mines, Hema Ispat, Sree-metaliks etc.

13 Inter State Boundary Jharkhand is 7.5 km NW from the lease boundary

2.2 PROJECT DESCRIPTION:

2.2.1 MINES:

2.2.1.1 RESERVES:

Geological Survey of India (GSI) has undertaken a detailed exploration under G2 level as

per UNFC norms. A total of 28 core drill hole has been drilled by GSI within the allotted block

to estimate the resource under G2 category.

Based on these the geological reserves in the block are estimated as follows:

RESERVES:

Total Mineral resources in the proposed ML area is 98.61 Million Tons including probable

and Pre-feasibility Mineral Resources category which is utilize for planning the mine.

GIST OF MINERAL RESERVE & RESOURCES FOR IRON

Category Code Quantity in million tones Grade (%)

Total Resources

(A + B) - 98.61 -

A. Reserves

Proved (111) ------ + 45% Fe

(ROM) Probable (122) 78.24

Subtotal (A) 78.24

B. Remaining Resources

Feasibility Mineral Resources

(221) ------

+ 45% Fe (ROM)

Pre-feasibility Mineral Resources

(222) 20.37

Measured Mineral Resources

(331) ------

Indicated Mineral (332) ------

10

Resources

Inferred Mineral Resources

(333) ------

Reconnaissance Mineral Resources

(334) ------

Subtotal (B) 20.37

2.2.1.2 MINING METHOD:

The mine comes under Category “A” fully mechanized mines. Mining of the deposit will be

carried out by Mechanized opencast method by removal of topsoil, drilling and blasting of

ore zone, excavation, loading and haulage of run of mine ore. Top soil if any will be removed

first, which will be stock piled for future use for plantation purposes. After the removal of top

soil, drilling and blasting operation will be carried out at hard / laminated iron ore zone for

loosening. These loosened iron ore then excavated and loaded to the dumper for

processing. The processed ore ( Products) will be used in company’s own plant.

Drilling is proposed to be done using 150mm/115mm diameter drills with 10% sub

grade drilling. Blasting will be done by adopting the State of Art technology by using mostly

SME (Site Mixed Emulsion Explosives) along with conventional explosives such as PGC,

Toe blast and ANFO. Controlled blasting technique using NONEL and shock tube initiation

system will be practiced. Boulders generated during the course of blasting will be broken in

to smaller pieces by using rock breaker.

The blasted material will be excavated by shovels of 4.5 cum - 5.7cum capacity and

loaded onto 50- 80 T dumpers for transportation of the ROM, sub grade and waste. The ROM

from different mining faces will be transported by dumpers of 50-80T in a pre-determined

proportion (for blending different qualities of ore), and delivered to the processing plant. The

actual mine area is selected after leaving necessary barriers for road passing through the

applied mining lease area.

2.2.1.3 PRODUCTION SCHEDULE:

Year wise planned production schedule of ore and waste for the next five years are

tabulated below:-

Total tentative Excavation in Cubic metres

Year Pit no.

Total tentative

Excavation (Cum)

Top Soil (cum)

OB/SB/IB (Cum)

ROM (Cu m)

Ore (cum) Mineral reject

(cum)

TOTAL

1st Pit 1 & 2 1955850 12500 496070 965600 1447280 1447280

2nd

Pit 1 & 2 2251600 482080 1454936 1769520 1769520

3rd

Pit 1 & 2 3344350 -- 914838 2059976 2429512 2429512

4th

Pit 1 & 2 3749510 -- 1102180 2243162 2647330 2647330

5th

Pit 1 & 2 4087140 -- 1434348 2238360 2652792 2652792

Grand total 15388450 12500 4429516 8962034 1984400 10946434

11

Total tentative Excavation in Tonnes

Year Pit no.

Total tentative

Excavation (MT)

Top Soil MT

OB/SB/IB (MT)

ROM (MT)

Ore (MT) Mineral reject

(MT)

TOTAL

1st Pit 1 & 2 4918546 18750 992140 2607120 1300536 3907656

2nd

Pit 1 & 2 5741864 964160 3928327 849376.8 4777704

3rd

Pit 1 & 2 8389358 -- 1829676 5561935 997747.2 6559682

4th

Pit 1 & 2 9352151 -- 2204360 6056537 1091253.6 7147791

5th

Pit 1 & 2 10031234 -- 2868696 6043572 1118966.4 7162538

Grand total 38433153 12500 8859032 24197492 5357880 29555371

2.2.1.4 WASTE AND ITS DISPOSAL:

MINES:

Out of 10.878 Mil.cum of total waste to be generated, 4.429 Mil.cum will be

generated during the plan period & about 6.448 Mil.cum is expected to be generated during

the conceptual period (6th to 12th year).

About 0.447 Mil.cum of waste generated from Pit -1 for initial 2 years will be dumped

temporarily in Dump – 1 within the lease area. However, this temporary dump -1 will be

totally re-handled in year – 5 and the entire re-handled material will be used for backfilling pit

- 1

Thus out of 10. 878 Million cum of waste generated, 2.050 Million cum will be used

for road formation and creation of bund for tailing dam, 4.020 million cum will be used for

backfilling pit-1, 3.684 million cum will be used for backfilling pit -2 and about 1.124 million

cum will be dumped externally in dump – 2.

BENEFICIATION PLANT:

About 681546.5cum tailings to be generated from the plant during plan period will be

disposed in the proposed tailing pond area over an area of 4.92Ha. During the conceptual

period from 6th year onwards an area of 6.93 Ha of Pit -1 (Mineral exhausted pit) will be used

for disposal of tailings of 2.38 Million Cu.m

2.2.1.5 UTILIZATION OF MINERAL REJECTS

About 1984400 cum of mineral rejects/sub-grade iron ore will be generated during

proposed plan period comprising 913976 cum of mineral rejects from pit -1 and 1070424

cum from pit - 2. It is envisaged to stack the sub-grade iron ore containing +45-55% Fe at

sub-grade stack-2 over an area of 3.52 ha. Till beneficiation plant operations are

commenced sub grade of +55-58%Fe will be stacked in sub grade dump 1 over an area of

1.13ha.

12

Subsequently, it is proposed to use sub-grade containing iron ore of +55-58%Fe from

4th year onwards in the beneficiation plant to up-grade the ore for making it usable.

The cumulative sub-grade stock from 1st year to 3rd year containing +55-58%Fe is

997099 Tonnes. During the initial years, for the operation of crushing –beneficiation

system, the feed to the system will be supplemented by the sub-grade ore (55-

58%Fe) stacked during the first three years of the plan period. However, feed from

the stack will gradually be reduced since the fresh generation of 55-58%Fe material

will be directly fed to the plant.

Beyond plan period about 5593796 MT of sub-grade ore containing +45-55% Fe and

5503038 MT of +55-58%Fe will be generated. At the end of plan period sub-grade

containing +55-58% Fe will be 880629MT. Hence, total availability of sub-grade iron ore of

+55-58%Fe will be 6383667MT. The said quantity will be utilized for beneficiation during

conceptual period for up gradation. Regarding +45-55%Fe, all efforts will be made find out

the appropriate and economic technology to up-grade the sub-grade material to acceptable

quality for captive consumption for the steel plant. Till such time the sub-grade variety of ore

will be systematically stacked at designated place inside the ML area.

2.2.1.6 ULTIMATE EXTENT & SIZE OF THE PIT

The conceptual iron ore quarry has been projected considering the ultimate pit slope,

boundary safety zone and road safety zone. Since one village road is passing within the

lease area, safety distance of 10 m has been kept from both side of village road. Due to this

road, there will be two ultimate pits within the lease area. The ultimate pit limit has been

earmarked within the conceptual plan. Height and width of the benches will be kept at 10m

each for optimum recovery of ore. The individual bench slope would be kept nearly vertical,

height and width of the benches would be kept at 10m each. The individual bench slope will

be kept at 85° with the horizontal whereas the overall quarry slope angle would be

maintained at less than 37°.

. Maximum 9nos of benches will be formed within UPL-1 and 21 nos of benches

within UPL-2 during life of the mine.

A total of 88.759 Ha will be utilized for mining during conceptual period. In the

northern part the UPL covers about 22.114 ha and in the southern and eastern part the UPL

covers an area of about 66.645 Ha. Based on the exploratory evidences, the ultimate

working depth will be 520 mRL.

13

The ultimate land use of the mined our area will be as follows:

Particulars Area in Ha.

Reclamation (back filling & Plantation) 27.374

Mineral reject to be stored over back-filled area and covered under plantation.

5.6

Rehabilitation (Plantation) 46.823

Tailing pond (mineral exhausted pit-1) to be covered under plantation

6.93

Water Reservoir 2.032

Total 88.759

2.2.1.7 LAND USE PATTERN:

The total area covers is 139.165Ha. At the end of ensuing plan period, an area of 85.9451

Ha will be utilized. However, the detail land use pattern will be as follows:

Particulars

AREA IN HECTARE

At present

Additional area

during plan

period

Land use at the end of

plan period

Additional area

beyond plan period

Land use during

conceptual period

Area under Mining 0.50# 40.273 40.773 47.986 88.759

Storage of topsoil 0 0.320 0.32 0 0

Waste dump 0 4.967 4.967 1.036 6.003

Sub grade stack / Mineral storage 0 7.551 7.551 0 0

Infrastructure Facilities (Site services & utilities, admin. building , Conveyor belt, etc)

0 2.4303 2.4303 2.4303

Roads 0.598 2.2714 2.8694 0 0.950

Railway 0 0 0 0 0

Tailing Pond 0 4.923 4.923 4.923

Effluent treatment plant 0 0 0 0

Mineral separation plant (Crushing & screening unit, beneficiation plant) 0 15.6557 15.6557 0 12.85

Township area 0 0 0 0 0

Others (Retaining wall, Garland drain, check dams, settling tank, Sump, embankment etc magazine with safety zone)

0 6.4557 6.4557 6.4557

Sub Total 1.098 84.8471 85.9451 49.022 122.371

Safety zone (ML Boundary, road) 6.755 6.755 6.755

Untouched area (Exploration area converted to mining and allied activities) 131.312

46.4649 10.039*

Grand total 139.165 139.165 139.165

# As indicated in the Geological report of GSI and also noted by IBM at the time of

approval of Mining Plan. *It is proposed to do exploration over 10.039 Ha during plan period. After exploration

the area will be utilized as per the outcome of the result.

14

** During conceptual period the sub grade iron ore will be kept over the back-filled area. ***The total area required for mineral separation plant (i.e. crushing and screening, beneficiation facility is 15.6557Ha out of which crushing and screening facility is 4.9057 Ha. This will be utilized in virgin area during plan period and part of conceptual period. During the 11th year part of crushing and screening facility area is required for mining. Hence part of the facility over an area of 2.8057 ha will be dismantled and placed on the backfilled area. Thus the area of crusher and screening facility remains the same i.e. 4.9057 ha.

2.2.1.8 LIFE OF THE MINE:

Considering the total mineable reserve of iron ore of 78.24Mil.T as on date, as per present

exploration data the life of the mine is expected to be about 12 years. However, the life of

the mines may vary depending upon the raw material requirement for the steel plant as well

as the establishment of resources after detailed drilling.

2.2.2 CRUSHING, SCREENING AND BENEFICIATION PROCESS:

ROM to be excavated from the mine will categorized in to two types as mentioned below:

1. ROM having Fe content + 45 – 58 %

2. ROM having Fe content > 58 %

The requirement of the plant is +64%Fe. From chemical analysis report of GSI it can

observed that the iron ore of +58% Fe is having the average grade of 64%Fe. ROM having

+45-55%Fe & 55%-58% Fe will be stacked separately. ROM (+55 – 58 % Fe) shall be

upgraded to get the desired products in future after commissioning of beneficiation plant

which will be in the 4th year of the plan period.

During the plan period both dry processing (through crushing and screening) and

beneficiation process will be adopted to upgrade the iron ore.

2.2.2.1 PLANT DESCRIPTION:

It is proposed that during the initial period till 3rd year of plan period, there will be two

no’s of mobile crushing and screening plant of 500 TPH, one in each pit (Pit 1 & Pit

2). During these years, the products (lumps & iron ore fines) from mobile crusher will

be transported from the mine head by Road.

Further, it has been envisaged that the stationery crushing and screening facilities

will be commissioned by the end of third year of the plan period.

15

Crushing &Screening Plant ( 1350 TPH Capacity):

The general process description is given below:

A dumping platform shall be made for feeding the ROM (- 800 m) into a hopper. A

triple deck screen under the hopper will screen the feed into four (4) different sizes

i.e.; -600 +80mm, -80+40 mm, -40+10mm and -10mm. The coarse product of screen

(-800mm + 80 mm) will pass through a Jaw Crusher where it will be crushed.

The -80+40 mm size fraction will be fed to a secondary crusher through a surge

hopper, which will crush the material to a size around 80% passing -40mm.

Product of the secondary crusher will be screened in the triple deck screen to

separate the lumps (- 18 +5 mm) which will be stacked separately. The oversize

material ( +40 mm) will be recycled back to the cone crusher.

The -40 +10mm product size from triple deck screen will be subjected to further

crushing in a High Pressure Grinding Roll (HPGR) to -10mm size. The crushed

product from the HPGR will be screened in a single deck screen of 10mm screen.

The oversize of the screen will be recycled back to HPGR circuit.

The Stationary Crushing and Screening unit will be having two units, one unit with 3

MTPA capacity will be having screening facility, wherein predominantly powdery ore,

blue dust and flaky ore in nature will be processed to produce Iron ore fines ( -10

mm) of about 2.70 MTPA (i.e. 90% of the total feed to this unit). Since the ore types

mentioned above predominantly have higher Fe content (Fe> 64.5 %), it will not be

subjected to the up-gradation process. The rest 0.30 MTPA i.e. 10% (avg. Fe of

67.7 %) having a size of +10mm will go in for crushing in the second unit.

Second unit will have the facility of Crushing and Screening in which the over size of

the screening plant ( +10 mm size of Unit – 1) of 0.30 MTPA(Fe % of 67.7) along

with the ROM of about 3.02 MTPA having Fe % of 62.1 % and sub-grade material of

0.40 MTPA of 56.5 % Fe will be fed. Besides, a quantity of 0.266 MTPA sub-grade

stacked material of 55 – 58 % Fe will be fed for beneficiation. The average Fe

content of the feed to the second unit (i.e. 3.98 MTPA) is envisaged as 61.5 % which

will be crushed & screened to produce -10 mm and +5 -18 mm fractions.

From the feed quantity of 3.98MTPA in the Second unit, about 15% of the material

i.e. 0.60 MTPA will be generated as lumps of +5mm to – 18mm size and the

remaining 85% i.e. 3.39 MTPA will be subjected to beneficiation process.

The lumps (0.60 MTPA of size +5 to -18mm) will be transported by road from the

mine head.

16

It is estimated that the recovery of the product from the said beneficiation plant will be

80 % (i.e. 2.70 MTPA) and the rest 0.68 MTPA (20% of feed of 3.38 MTPA) will form

the reject.

Beneficiation plant:

It is proposed to install a 1250 TPH capacity State of Art beneficiation facility in the mine

site.

The beneficiation plant comprises of grinding mills of primary mill, secondary mill and regrind

mill. There are gravity separators using separate gravity principles according to the size of

application, magnetic separators of Wet high intensity magnetic separator, high gradient



segregate for the up-gradation. Concentrate thickener will be located in the plant to

concentrate the product for final pumping. Similarly intermediate thickener will be there to

thicken the material for proper density feeding to the required equipment. A conventional

tailing pond is proposed for water recovery and tailing management. Its process description

is given below:

The feed (-10 mm) will be transported to hopper by a conveyor and fed by a weigh

feeder. The screw scrubber scrubs and classifies the -150 micron material in the

overflow and collected in the Intermediate thickener. The underflow material from the

screw scrubber will be screened in a single deck screen of 1mm apertures. The

coarser product -10 +1 mm will be subjected to Jig for gravity separation and the

finer product is subjected to vertical spiral for classification.

The Jig reject particles will again subjected to ground in the primary grinding mill

(closed circuit) and classification by a hydro cyclone cluster. The overflow of the

cyclone shall flow to the spiral and the underflow is re-circulated back to the primary

mill.

The spiral product (heavies) and the product from Jig are both carried to the

regrinding ball mill for further grinding to 150 micron. The regrind mill product will

again be classified by its closed circuit cyclone to separate the -150 micron product

flows to the concentrate thickener.

The light particles from spiral classifier will be ground in the secondary grinding mill

for reducing the size to liberate the locked particles. The closed circuit cyclone shall

separate out the fines collected in the intermediate thickener.

The thickened slurry from the intermediate thickener will pass to the two stages of

magnetic separation as roughening ( WHIMS) and scavenging ( HGMS), thereby

17

upgrading the final product to + 64%Fe. Finally the magnetic product will be

thickened in the concentrate thickener along with regrinding mill material and

pumped to the buffer slurry product tank.

From the buffer tank, the material will pass through press filter, where it will be

converted to filter cake.

In the above flow sheet description, there is an up gradation of Fe to + 64 % from an

input of 61.15

% Fe feed.

The overall mass yield is envisaged to be around 80% with and Fe recovery of 85%

in this process.

The HGMS reject materials will be the final tailing (<45 % Fe) and sent to the tailing

thickener. The thickened underflow of the tailing thickener will be sent to tailing pond

in the form slurry from where the water will be recovered and re-circulated to the

plant.

During the initial years, for the operation of crushing –beneficiation system, the feed

to the system will be supplemented by the sub-grade ore (55-58%Fe) stacked during

the first three years of the plan period. However, feed from the stack will gradually be

reduced since the fresh generation of 55-58%Fe material will be directly fed to the

plant.

1. Disposal method for tailings or reject from the processing plant.

About 681546.5cum tailings to be generated during plan period is proposed to be

disposed in the tailings pond and an area of 4.92Ha. During the conceptual period from 6th

year onwards an area of 6.93 Ha of Pit -1 (mineral exhausted pit) will be used for disposal of

tailings. The existing topography is supporting for the construction of tailing pond at the

proposed site. The height of the proposed tailing pond in the western part will be 645m

whereas in the eastern part it is 630m. The slope of the tailing pond area will be due east. It

has been planned to dig the proposed tailing pond area 20m from the surface. As a result of

which the floor RL will be 625m in the west and 610m in the east.

There will be three compartments. Two retaining walls have been envisaged along east-

west direction and another along north - south direction. The east- west retaining wall will be

provided to make the sludge area into two compartments whereas the north - south retaining

wall (perforated wall) will be provided to separate the sludge and water and has been

designated as compartment-3. The natural slope of the area will help the water to flow into

the lower level. The compartment-1 will accommodate 341141cum of waste, whereas

compartment-2 will accommodate 340406 cum of waste. Dewatering will be made by

18

deploying a 5HP pump. This water will be utilized for water sprinkling, afforestation etc.

As far geology of the site area is concerned the proposed tailing dam will be on lateritic

zone. Laterite is a hard rock which will be suitable for the construction of tailing pond.

Regarding geo technical parameters of the rock occurring within the proposed tailing pond

area, a detail rock mechanic study will be undertaken during 3rd year of plan period by a

reputed institute.

The designated tailing dam area can easily be approached from the beneficiation plant

and also proposed mine pits. Suitable road will be layed for the purpose.

The composition of tailing is 75% solids and 25% water by weight. It is proposed to

recycle about 80% water. Tailing pond will be provided with decant well inside the pond and

connecting it to a water pumping system outside the bund/ wall by a buried pipeline. Water

pumping system will be provided for pumping the clear water back to the beneficiation plant.

It has been envisaged to construct an embankment/bund at the proposed tailing pond

area. This embankment will connect the 645m contour so that a dam like engineering

structure will be created. During 3rd year it is proposed to construct an embankment for the

tailings disposal utilizing mine waste material. The dimension of the proposed embankment

will be as follows:

Length 300m

Base 45m

Height Variable up to 30m

Width 6m

A spill way channel will be created to take care of any over flow of water in case of

any eventualities. At the end of the channel an additional embankment will be created to

restrict the flow of water outside the lease area.

The habitation is far away from the proposed tailing pond. Hence, location of tailing dam

will not have any hazardous effect on the habitation. Further, proper safety measures will be

taken to prevent any hazardous effect the on surrounding habitation.

The total land requirement for this plant is estimated to be 27.5057 ha out of which

20.5757 ha is virgin area and remaining 6.93 Ha is mined out area of Pit-1. The land is

within the mining lease area and as such no additional land is required.

2.3 RAW MATERIAL REQUIRED ALONG WITH ESTIMATED QUANTITY, LIKELY

SOURCE, MARKETING AREA OF FINAL PRODUCTS, MODE OF TRANSPORT

OF RAW MATERIAL & FINISHED PRODUCT.

About 7.16 MTPA of ROM will be produced from the mine. All details explained in

Chapter 3.6 and the material Balance is given in Figure No – 9.

19

2.4 RESOURCE OPTIMIZATION / RECYCLING AND REUSE ENVISAGED IN

THE PROJECT:

During the production of iron ore, usable grade iron ore as well as sub grade ore shall

be produced. The usable grade will be processed through crushing & screening plant,

beneficiation plant to produce the product of quality which will be acceptable by steel

plant.

This helps towards mineral conservation & effective waste management in iron ore

mining sector.

In the plant, Recycling and re use of water is also proposed to the maximum and

there will be Zero discharge from the plant operations.

2.7 AVAILABILITY OF WATER ITS SOURCE, ENERGY/POWER REQUIREMENT & ITS

SOURCE.

2.7.1 WATER REQUIREMENT:

The water requirement for the mines is mainly for green belt, dust suppression and

drinking water purpose & in beneficiation plant for makeup purpose.

The total water requirement will be 3230 m3/day

Sl.no Purpose Quantity (m3/day)

1. Mining (green belt, dust suppression & domestic) 430

2. Beneficiation plant Makeup water 2800

Total 3230

The entire water required will be sourced from the bore well within the lease premises.

The area falls in the safe” category as far as the stage of development is concerned.

2.7.2 POWER REQUIREMENT:

The total power requirement for the mine and beneficiation plant is estimated to be

22165 KVA. The power requirement will be met from the State grid and backup power from

DG Sets.

2.8 QUANTITY OF WASTES TO BE GENERATED (LIQUID & SOLID)

The details of waste generation and disposal were already described in para 3.5.1.3.

As far as liquid waste is concerned, the plant adopts zero discharge concept and hence no

liquid waste will be generated.

20

3.0 SITE ANALYSIS

3.1 CONNECTIVITY

The area can be approached from Barbil or Koira through NH-215. The National Highway

No.215 connecting Panikoili on National Highway No.5 with Rourkela via Keonjhar, Joda,

Barbil and Koira. The other important mining centers in the vicinity are Kalta, Tensa and

Barsuan. The nearest rail head is Barbil, which is located at a distance of 30km from the

lease and on the Tatanagar - Barbil section of the South-Eastern Railway.

3.2 LAND FORM, LAND USE &LAND OWNERSHIP:

. Based on the Joint survey carried out by Department of forest, revenue and Mining of

Govt of Odisha , out of 139.165 Ha of total lease area , 126.401 ha is forest land &

balance 12.764 ha is non-forest land ( 6.063 ha of Govt Land, 3.257 ha of Private

tenanted land and 3.444 ha of Gochar land). Refer Annexure – II

Application for diversion of forest land for mining purpose is already made.

An area of 1.098 hectares land is already degraded / utilized for Quarry & road and

6.755 hectares is left for safety zone. Totally an area of 132.41 hectares is anticipated to be

degraded / utilized at the end of the conceptual planning.

3.3 TOPOGRAPHY

The allotted block under study is a highly rugged terrain, with elongated hills trending

ENE-WSW direction, low mounds and narrow valleys. The highest elevation of ridges in the

area is 745m. The low lying valleys occur at an elevation of around 600m. Lateritic soil

recorded in the ridges and valleys are mainly covered by alluvial soil.

3.4 EXISTING LAND USE PATTERN

As already mentioned, the entire mine lease area of 139.165 Ha which consists of both

forest & non-forest land.

3.5 EXISTING INFRASTRUCTURE:

This area has been allotted to Essar Steel India Ltd. by Government of Odisha for which

LOI has been issued. Hence the required infrastructural facilities like approach road, office,

stores, etc will be developed after the execution of mining lease.

3.6 SOIL CLASSIFICATION:

The texture is predominantly clayey in nature. The reaction of the soil is usually neutral.

3.7 CLIMATIC DATA FROM SECONDARY SOURCES

21

The climate of the study area is characterized by an oppressively hot summer with high

humidity. During the summer maximum temperature can go up to 47.40C. The weather

becomes pleasant with onset of monsoon in June and remains as such up to the end of

October. The temperature in the month of December is lowest i.e. 70C.

The maximum humidity ranges from 55% to 76% with annual average of 64.83%

while the minimum humidity ranges from 26% to 43% with an annual average of 34%.

The rain fall data has been obtained from IMD for the financial year 2009-2013.

Based on the data the rain minimum Annual rainfall is 971mm during 2010 and the

maximum rain fall is 1820mm during 2013.The average rainfall is 1325.16 mm.

Predominant wind direction is South-West. Area remains calm for nearly 50% of the year.

3.8 SOCIAL INFRASTRUCTURE AVAILABLE

Koira is the nearest major human habitation (about 5 km from site). The town is provided

with all basic civic amenities. Tensa is 14 km from the proposed mining lease area. Major

source of water in the area is the suna River. Most of the important locations are provided

with water supply and electricity. The areas are developed with basic facilities. Details of

various facilities available in the region are given in para 4.8, Chapter – IV.

4.0 PLANNING BRIEF

4.1 PLANNING CONCEPT:

Planning concept is based on the following criteria:

Technical feasibility and economic viability of achieving the desired production for the

captive plant.

Possibility of increasing the grade of ore through beneficiation

Availability of good grade of ore on long term basis for use in company’s captive

plant.

Absence of ecologically sensitive features

4.2 ASSESSMENT OF INFRASTRUCTURE DEMAND (PHYSICAL & SOCIAL)

Alloted area is well connected to National Highway No.215 connecting Panikoili on

National Highway No.5 with Rourkela via Keonjhar, Joda, Barbil and Koira.

As far as social infrastructure is concerned, this is a developing area The proponent

will carry out need based assessment of the locals, social infrastructure demand and is

implementing good measured towards the same.

All the future social demands will be complied considering its need after the commencement

of project.

22

4.3 AMENITIES/FACILITIES

All required amenities / facilities required for the mining activities like site office, rest shelter,

VTC, Canteen etc will be developed at the site.

5.0 ENVIRONMENT MANAGEMENT PLAN


authorities for preserving as well as improving the environmental conditions in and around

the mining lease area.

The following prevention and control measures will be undertaken during actual course of

mining to ensure that there are no adverse effect on the environment :

Providing Environmental friendly dust collector/extractor system in the drill machine.

The wet drilling arrangement with drill bit grinding will also be provided.

Blasting will be carried out by emulsion explosives which optimize transfer of energy

from explosive to rock. To get the better fragmentation and to avoid fly-rock, ground

vibration, noise, air over-pressure, staggered pattern multi row blasting and row-by-

row initiation with an optimum inter row delay will be adopted.

Non-electric shock tubes will be used to minimize the noise and ground vibration.

Installation of mist gun sprayer arrangement at screening & crushing unit as well as

loading & unloading point for dust suppression.

To suppress the dust on the feeder roads and haul roads pressurized water sprinkler

will be deployed for sprinkling on the haul road.

Water sprinkling will be done on the working faces, screening & crushing plants areas

and the stacking areas by mist gun water sprayers and mobile water tankers.

Frequency of water sprinkling by high pressure pumping facility water tankers may

increase to keep the haul roads wet including both sides of the haul roads, working

surfaces and the stacking dumps to control the dust pollution.

Chemical based Dust Suppression agents will be used along with sprinkling for

effective binding and suppression of dust besides reducing water consumption.

Periodical maintenance of plant & machinery will be done.

STP & ETP for workshop effluent will be provided.

Surface run off from pits and OB dump site if directly discharged into the nearby streams

may cause siltation problem. However, it is proposed construct protective measures like

retaining wall, garland drain settling pond etc in and around the proposed dump and at

strategic point of quarries. Further, it has been proposed to cover the coir mate over part

of the proposed dump and subsequently plantation will be carried out over the coir

matting area. It has been proposed to made surface drainage system around the mine

to discharge the mine water outside the lease. Further, a scientific study regarding

23

rainwater management will be under taken, by an institute of repute after the

commencement of mining operation.

The details of surface run off management structures are as follows:

RETAINING WALL

It has been proposed to construct retaining wall of 2230m around the bottom periphery of

proposed dump, sub-grade dump, back-filled area etc. The retaining wall will be of concrete

structure which will be constructed from 1st year onwards subsequently, maintenance will be

done for betterment.

Location Retaining wall

Length(m) width(m) height(m)

Dump-1 580 1.0 1.5

Dump - 2 530 1.0 1.5

Sub grade stack 1 350 1.0 1.5

Sub grade stack-2 590 1.0 1.5

Back filled area pit-1 180 1.0 1.5

Sub total 2230 1.0 1.5

Further, there will be embankment and retaining wall for tailing pond. The dimension of

embankment and retaining wall are furnished below:

Tailings area (retaining wall)

400 3 25

Tailings area (embankment)

300 45 15

200 10 5

Garland drain

Proposal of garland drain of 5430m has been made around dump, around quarry, and

tailings pond. The location of garland drain to be constructed will be as follows:

Location Garland drain


Dump-1 600 2.0 1.0

Dump – 2 530 2.0 1.0

Sub grade stack 1 -- -- --

Sub grade stack-2 -- -- --

Back filled area pit-1 -- -- --

Tailings area 1190 2.0 1.0

Around pit-2 1157 2.0 1.0

Eastern part UPL-2 1693 2.0 1.0 Settling pond

Two settling ponds around the dump and two sumps around the quarries (for surface run off

management) are proposed to be constructed during 1st year of plan period.

24

The location and dimension of settling pond and sumps will be as follows:

Location Settling pond/sumps (2nos and sump-2 nos)

Length(m) Width(m) Depth(m)

Dump-1 10 8 2

Dump - 2 20 10 3

Sub grade stack 1 -/- -/- -/-

Sub grade stack-2 -/- -/- -/-

Back filled area pit-1 -/- -/- -/-

Tailings area -/- -/- -/-

Around pit-2 30 20 10

Eastern part UPL-2 80 30 10 Water in the rainy season that will be percolated through the waste in the waste dump shall

be drained to the existing garland drain and the retaining wall shall help in arresting

movement of waste materials along with water. The garland drains shall be canalized in

such a way that the water flows to an area which will be on non-ore bearing and a

wasteland. Regular cleaning of the drain shall be done for easy flow of water. Besides the

garland drains and the retaining walls, two settling ponds and two sumps has been

envisaged at strategic point at the end of garland drain, in which water will be accumulated.

The dimensions of the settling pond and sumps have been furnished in the above tables.

The sump will be utilized for storing of water and the stored water will be utilized for dust

suppression and plantation purpose.

Backfilling of mined out area to the maximum and reclamation of backfilled area, mined

out benches will be done.

Appropriate Personnel Protective Equipment (PPE) and enclosed AC cabins will be

provided.

6.0 REHABILITATION & RESETTLEMENT (R&R) PLAN

Establishment of the beneficiation plant and the mine expansion activities will be carried

out in the proposed mine lease area of 139.165 Ha only. The entire allotted area is consists

of both forest & non-forest land. There are no habitations within the lease area. As such

there will be no rehabilitation and resettlement due to this project.

7.0 PROJECT SCHEDULE & COST ESTIMATES

7.1 LIKELY DATE OF START OF CONSTRUCTION & LIKELY DATE OF COMPLETION

The area has been allotted by govt. of Odisha to Essar Steel India Ltd. under captive

category. It is proposed to achieve 7.16 MTPA iron ore (ROM) production in the 5th year after

commencement of mining operation.

The beneficiation plant will be commissioned during 4th year of the plan period.

25

7.2 ESTIMATED PROJECT COST ALONG WITH ANALYSIS IN TERMS OF

ECONOMIC

VIABILITY OF THE PROJECT.

I) CAPITAL COST:

The estimated cost of project is as follows

INR Cr

A. Capital Cost 882.15

B. Closure Cost 7.50

C. Margin for Working Capital 109.07

Total : 998.72

Project Cost

A. Capital Cost

Cost of Equipment 604.70

Buildings 10.00

Acquisition of mines 82.25

Statutory Payments 185.20

Sub – total 882.15

B. Closure Cost 7.50

C. Working Capital Margin

Working Capital Margin 9.51

Stores & spares @ 5% 46.73

Contingency @ 5% 32.25

IDC 20.58

Sub-total 109.07

Total

Funding by Debt 699.10

Funding by Equity 299.62

Since this is a captive mine, it will result in supplying quantity and quality of ore

consistently to company’s steel plant and also provides the raw-material security to the

same.

8.0 ANALYSIS OF PROPOSAL (FINAL RECOMMENDATIONS)

The proposed mining and plant operations in the area will bring transformational

prosperity and improvements in physical and social infrastructures in the area like:

Direct employment to about 212 persons & Indirect employment to more than

1000 persons

Improvements in infrastructure in the area like Provision of drinking water

supply, approach road, electricity etc to nearby villages.

Financial gains for the state and central governments, through collection of

various taxes like revenue sharing, royalty, cess, central excise/VAT etc

Improvement of Educational Facilities in the Surrounding Area.

Increase in General Awareness of the People.

Increase in Competitive Spirit Among Youths

26

Improvement of the General Living Standard of the People in the Vicinity

Overall Improvement in HDI (Human Development Index)

Growth of Allied Industries in the Area.

Generation of self-employment through self-help groups.

Reduction in migration of local people and at the same time increase in Inflow

from outside.

Improvement in Per Capita Income.

Providing certain facilties for the local schools and panchyats

This proposed mining & beneficiation project will benefit this region in the fields of

potential employment opportunities, improved per capita income for local people, improved

social welfare facilities in respect of education, medical healthcare systems,

communicational aspects, infrastructural build-up, etc.

Besides, this project will also ensure supply of quality ore consistently to the captive

Steel plant of the proponent.

A meticulously well planned Environmental Management Plan, with various

programme schedules and timely execution objectives, as mentioned above, will ensure that

the future environmental quality in the area will be maintained within statutory limits.

The environmental management strategy as explained above will prove that

industrial growth, if properly planned with all environmental concerns and appropriate

remedial measures can go a long way to improve life pattern and living conditions of the

local community around the project along with visible biological improvement due to

proposed greenbelt development and land reclamation.

27

CHAPTER – II

2.0 BACKGROUND INFORMATION OF PROJECT:

In pursuant to the Mines and Minerals (Development and Regulation) amendment ACT,

2015 and The Mineral (Auction) Rules, 2015, Govt. of Odisha issued the notice inviting tender

dated 23rd Dec 2015 for commencement of the auction process to grant the mining Lease

under captive category in respect of Ghoraburhani - Sagasahi iron ore Block located in

Koira Tahasil of Sundargarh district of Odisha. The e-auction process was conducted in

accordance with the tender document and the mineral auction rule, 2015 for said mineral

block and M/s Essar Steel India Limited was declared as the preferred Bidder under Rule

9(4) (b) (iii) of the Rules.


villages of Ghoraburhani, Sagasahi and Kalmang, Koira Tahasil, district - Sundargarh of

Odisha. The total lease area is 139.165 Ha.

M/s Essar Steel India Ltd has already made a payment of Rs 9, 26,24,600.00 (Rupees

Nine crore twenty six lakhs twenty four thousand six hundred only) through treasury challan

on 17.03.2016 against the first installment being ten percent of the upfront money.

Accordingly, the Government of Odisha has issued letter of Intent (copy enclosed as

Annexure-I) under Rule 10(2) of Mineral Auction Rules 2015 to M/s Essar Steel India Ltd for

grant of Mining Lease for Ghoraburhani - Sagasahi Block for iron ore over an area of

139.165Ha (90.629Ha of Mineralized area and 48.536 ha for ancillary activities) in

Ghoraburhani, Sagasahi and Kalmang village, Koira Tahasil of Sundargarh district of Odisha

for a period of 50 years.

This letter of intent is valid subject to the provision of the Act and the Rules made there

under and M/s Essar Steel India Limited shall be designated as the Successful Bidder and

the subsequently granted the mining lease only upon satisfactory completion of all the

requirements under the Act and Rules made there under.

M/s. Essar Steel India Limited shall be considered to be successful bidder upon

v. Continuing to be in compliance with all the terms and conditions of eligibility.

vi. Payment of second installment being ten percent of the upfront payment.

vii. Furnishing performance security.

viii. Satisfying the conditions specified in clause (b) of sub section(2) of section 5 of the Act

with respect to Mining Plan.

28

Signing of Mine Development and Production Agreement (MDPA)


Agreement (MDPA) with the Government of Odisha upon obtaining all consents, approvals,

permits, NOC and the like as may be required under applicable laws for commencement of

Mining operation

Grant of Mining Lease

Subsequent to signing of the MDPA, M/s ESSAR Steel India Limited shall make

payment of the third installment being the eighty percent of the upfront value and thereafter

government of Odisha shall grant the said Mining Lease.

Hence, it is worth mentioning here that the preferred bidder i.e. M/s ESSAR Steel India

Limited is required to obtain all statutory clearances like Approval of Mining Plan, grant of

Environment Clearance, Grant of Forest Clearance, Consent to Establish, Consent to

Operate, etc for signing of MDPA and grant of Mining Lease.

Details of the statutory clearances are tabulated as below :

Name of the statutory

clearances

Authority from which clearances to

be obtained

Status of statutory

clearances

Approval of Mining

Plan

Indian Bureau of Mines, GOI Approved vide letter No. :

MP/FM / 02 –ORI/BHU/2016 –

17, dt. 11.07.2016

Forest Clearance Ministry of Environment and Forest,

GOI

Application for forest clearance

has been submitted on

22.03.2016.

Environment Clearance Ministry of Environment, Forest &

Climate Change GOI

Application for grant of TOR

and EC has been submitted on

14.06.2016.

Surface Right Collector, Sundargarh After execution of the lease

surface right will be obtained.

Consent to Establish State Pollution Control Board, Odisha Consent to Establish will be

obtained after the grant of

Environmental clearance.

Consent to Operate State Pollution Control Board, Odisha Consent to Operate will be

obtained after obtaining the EC

& CTE.

MOEF notification stipulates environmental clearance for Mining project. Prior to

obtaining environmental clearance, as per MOEF notification of September 2006, Form I and

Feasibility report have to be submitted along with Terms of reference (TOR) for the project

for stipulating the TOR for the project by MOEF, Govt. of India.

29

This project falls under category “A” as per MoEF notification . Since the mining

lease is more than 50 Ha., the Form – 1, TOR and feasibility report have been submitted to

MoEF, New Delhi for approval and prescribing TOR and subsequently EC after submission

of EIA/EMP report.

This feasibility report for Ghoraburhani - Sagasahi Iron Ore Block of Essar

Steel with a Production of 7.16 MTPA (ROM) Iron Ore along with Screening &

Crushing and Setting up of 6.70 MTPA (1250 TPH) capacity Beneficiation Plant is

prepared in line with the guidelines issued by MOEF, for obtaining TOR from MoEF

&CC towards getting environmental clearance for the total mine lease area of 139.165

Ha.

2.1 IDENTIFICATION OF PROJECT AND PROJECT PROPONENT:

M/s Essar Steel India, part of the Essar Group and one of the leaders in India and abroad

in the steel sector. It has a fully integrated world-class facility at Hazira, Gujarat housing the

world's fourth largest single-location steel plant. The Iron ore produced out of the proposed

ML area will be utilized in the company’s Integrated Steel Plant. It has a steel-making

capacity of 10.0 MTPA, holds ISO: 9001:2000, IS 9002 and TUV and ISO 140001

certification.

The facility also houses a 6.8 MTPA DRI plant (the world's largest gas-based sponge iron

plant in a single location), a 1.5 MTPA plate mill (the largest in India), a 0.6 MTPA Pipe mill

with internal and external coating facilities of up to 2 Million square meters annually, and a

1.4 MTPA cold rolling complex comprising two galvanizing lines, a batch annealing furnace

and a skin pass mill.

The steel manufacturing operations comprise iron ore beneficiation, pellet making, iron

making, steel making, and downstream facilities, including a cold rolling mill, a galvanizing

and pre-coated facility, a steel-processing facility, an extra-wide plate mill and pipe mills with

coating facilities.

Now, the company has been awarded with the Ghoraburhani - Sagasahi iron ore block in

Odisha under Mines & Minerals (Development & Regulation) Amendment Act- 2015 and

Mineral Auction Rules, 2015 under captive category.

As earlier mentioned, the present capacity of the Integrated Steel plant at Hazira is 10.0

MTPA. This plant requires minimum 16 million tons of raw materials (iron ore) for steel

making. The, said Ghoraburhani - Sagasahi Iron ore Block in Odisha with the planned

capacity of 7.16 MT of ROM / annum, which is planned to be achieved in 5th year of the

planned period will be operated exclusively for captive use and will partially cater the

requirement of their steel plant.



30

PROJECT PROPONENT:

Name and Address of the applicant:

Corporate office - Mumbai, India Registered office - Hazira, India

M/s. Essar Steel India Limited

Essar House

11, Keshavrao Khadye Marg, Mahalaxmi

Mumbai - 400 034

Phone: +91 (22) 2495 0606 / 6660 1100

Fax: +91 (22) 2492 8896

Email: [email protected]

M/s. Essar Steel Limited

27th KM

Surat - Hazira Road

District – Surat, Hazira 394 270

Gujarat, India

Telephone: +91-261-2872400

Fax: +91-261-2872796

2.2 BRIEF DESCRIPTION OF NATURE OF PROJECT:

Ghoraburhani - Sagasahi Iron ore Block has been auctioned under captive category

and it will partially cater the requirement of this plant. Since the deposit is proposed

to be operated exclusively for captive use, the production target has been fixed at

7.16 MT of ROM /annum along with screening & crushing and setting up of 6.7

MTPA of beneficiation plant within the proposed ML area. The area has been

explored in detail by Geological Survey of India. A resource of 98.61 Million tons and

the mineable reserve of 78.24 Million tons is estimated in the lease area. This

estimated reserve is enough to achieve the proposed rated production capacity

mentioned above. Further, it is envisaged to explore the area within a period of 5

years from date of commencement of mining operation under G1 level. As a result of

which the resource/ reserve is likely to increase thereby enhancing the effective life

of the mine.



Beneficiation plant will be adopting latest wet technology comprising Scrubbing,

Magnetic separation in two stages, Screening, Primary grinding and classification,

Regrinding in secondary mill and classification, Gravity Separation by Spiral and Jig.

Transportation of fines in the form of filter cake by road from the mine head.

2.3 NEED FOR THE PROJECT & ITS IMPORTANCE TO THE COUNTRY AND OR

REGION:

M/s Essar Steel India is having a world class steel plant in Hazira, Gujarat. The raw

material requirement of this steel plant is presently met from different suppliers. Now

the iron ore to be supplied from Ghoraburhani - Sagasahi Iron ore block will ensure

the quantity as well as the quality requirement of the Steel plant .

31

Besides, the Ghoraburhani - Sagasahi Iron ore Block has got the following

advantages:

The lease area is well explored by Geological Survey of India and the estimated

total resource of +45%Fe is 98.61 Million tons and the mineable reserve is estimated

to be 78.24 million tons, which shows sufficient reserves are available in the area.

Since it is a captive mine for the existing steel plant, the ore produced can be utilized

as per the requirement.

The grade of the ore in this lease is mostly +58 % Fe which is suitable for usage in

the Company’s steel plant.

There are no habitations or other major social issues are involved.

Opencast method of mining is the proven technology. Beneficiation by wet process

technology comprising Scrubbing, Magnetic separation in two stages, Screening,

Primary grinding and classification, Regrinding in secondary mill and classification,

Gravity Separation by Spiral and Jig. Hence Techno economically this proposal is

viable.

Considering all the above said favorable factors it is practically possible to

achieve the proposal within the planned period.

As far as the National importance is concerned, this project will enable to achieve

increased outputs of steel and other related products which in turn will help to increase GDP

growth of the nation considerably. As the government is planning massive investments in the

infrastructural sectors, more and more infrastructural projects are being encouraged to be

put up by private players. Towards fulfillment of such Government targets, this project will

contribute its own share.

As far the regional scenario is concerned, the area will get a great uplift in terms of

social condition betterment, industrial growth and local area development. The State

Government will also be benefited financially through receipt of revenue sharing , royalties,

cess, duties, etc, due to project operations. It can be concluded that on an overall basis,

sustained industrial growth of the State can be realized to full measure by the present

proposal.

This being the first iron ore mine auctioned under “The Mineral (Auction)

Rules,2015”, timely and successful implementation of this project will pave way for achieving

higher earnings for the government during auctioning of other future projects. A substantial

proportion of revenue earned from this project will be shared with State Government as per

the auction rules, which will be beneficial to the state ex-chequer.

32

2.4 DEMAND-SUPPLY GAP

This captive mine will ensure consistent supply of quality raw material for company’s

steel plant. The product of this mine will contribute in securitizing the raw-material

requirement of company’s steel plant to a great extent. The consistent supply of Iron ore

both in quality and quantity will be very helpful in stabilizing the productivity of the steel

plant.

2.5 IMPORT VS. INDIGENOUS PRODUCTION

Not Applicable

2.6 DOMESTIC/ EXPORT MARKETS

Entire iron ore raised from the allotted ML area will be utilized domestically in captive steel

plant at Hazira.

2.7 EMPLOYMENT GENERATION FOR MINES & PLANT:

The total manpower requirement for the Mines and the plant for various categories

(skilled, semi- skilled etc) is estimated to be 212 for Mines and 45 for the plant.

33

CHAPTER – III

PROJECT DESCRIPTION

3. 1. TYPE OF PROJECT:

This project is for 7.16 MTPA (ROM) of Iron Ore production along with crushing & screening

unit and setting up of beneficiation plant of 6.7 MTPA (1250 TPH) is proposed within the

allotted area.



Beneficiation plant will be adopting latest wet technology comprising Scrubbing, Magnetic

separation in two stages, Screening, Primary grinding and classification, Regrinding in

secondary mill and classification, Gravity Separation by Spiral and Jig and transporting the

ore in the form of cake form the mine head.

3.2 LOCATION:


villages of Ghoraburhani, Sagasahi and Kalamang, Koira Tahasil, district -Sundargarh of

Odisha. The total lease area is 139.165 Ha. This location of the proposed mining lease is :

Topo Sheet No. 73 G/1 & 73 G/5

Latitude : 21° 56' 08.83896" - 21° 57' 09.61956"North

Longitude : 85° 17' 02.52096" - 85° 17' 48.99336" East

The location Map attached as Figure no 1. Lease map of the area is given as Figure No –

2.

3.3 DETAILS OF ALTERNATE SITES CONSIDERED & THE BASIS OF SELECTING

THE PROPOSED SITE:

As far as mine is concerned the mineral occurrence area is site specificand hence

the question of alternate site does not arise.

It is proposed to set up the beneficiation plant within the mine lease area considering the

following reasons:

Logistical advantage for transportation of material from mine to feed the plant and

also final tailings from the plant to the proposed tailing pond.

Plant is proposed within the mine lease area only and as such no additional land is

required

Better road connectivity and approachability can be developed.

The water requirement can be fulfilled from bore wells. The water will be re-used/re-

cycled.

34

Infrastructure / transport system for handling the ROM feed / dispatch will be created

within the applied ML area.

Absence of any ecologically sensitive features in the region.

The operation will be economic, cost effective with least land usage within the

applied mining lease area.

3.4 SIZE OR MAGNITUDE OF OPERATION:

The current proposal of iron ore mine capacity is 7.16 MTPA (ROM) and setting up of

crushing & screening plant along with beneficiation plant of 6.7 MTPA ( 1250 TPH) capacity

of beneficiation plant with in the allotted area of 139.165 Ha itself.

35

Figure No 1

LOCATION MAP

36

LEASE MAP Figure No 2

37

3.5 PROJECT DESCRIPTION:

3.5.1 MINES :

3.5.1.1 GEOLOGY:

Ghoraburhani - Sagasahi iron Ore block lies within the Upper Shale Formation of the Koira

Group as described by Murthy & Acharya (1975). Lithounits like Iron ores of HLO, SLO,

lateralized HLO types, Fe-Shale, laterites of both aluminous and ferruginous nature, float

ores concealed under soil and alluvial cover at places are mapped in the Ghoraburhani-

Sagasahi block. The local stratigraphic succession as worked out is as follows:

Ko

ira

Gro

up

Upper Shale

Formation

Ferruginous Shale Unit: Shales of different colour like pink, yellow,

variegated with inter beds of Iron ore.

Banded Iron Formation

Coarsely banded jaspellite followed up by finely banded jaspellite.

Disposition of various litho units is as follows

Banded Iron Formation (BHJ & BHC):

Ferruginous Shale

Iron ore

Laterites

Soil/ alluvium

Shape and size of the mineral/ore deposit,

Iron ore in the Ghoraburhani-Sagasahi area occur as isolated bodies associated with buff

coloured variegated shale and ferruginous shale. The ore bodies are capped by ferruginous

and aluminous laterite on surface. Though the ore types show outcrops of hard ore, lateritic

ore and float ore on the surface but soft laminated and powdery ore constitutes the bulk

thickness of the ore zone as evidenced from pit sections and drill cores.

The ore is mostly powdery to soft laminated varieties with partings of ferruginous

shale. Thin layer of Hard Laminated ore are present on the surface, followed by powdery

and soft laminated at depth, which are inseparable during dry drilling. At depths thin bands of

hard laminated ore also occur along with powdery and soft laminated ore having thickness of

less than 1m. The ore is mainly hematite but limonite and goethite also occur.

Structural features

In general, the Iron Ore Super Group represented by the Bonai-Kendujhar belt in

Koira basin is disposed in the form of an “Omega” and referred to as “Horse shoe

synclinorium” (Jones, 1934). This belt is 60 km long and 25 km wide extending from south of

Malangtoli in Kendujhar district up to Chakradharpur in West Singhbhum district

(Jharkhand). The structural fabrics in the above, feebly metamorphosed volcano-

sedimentary litho-sequence indicate at least two phases of deformation and folding. The

earlier phase is the most prominent and resulted in formation of two synclines intervened by

an anticline trending NNE-SSW with a low north-north easterly plunge. The western limb is

38

slightly overturned to the east and dip westerly (650-750) whereas, the eastern limb is a

normal one with moderate to low (300-450) westerly dip. This phase of folding is affected by a

later NW-SE to WNW-ESE trending fold axis resulting in broad warps and formation of

structural domes and basins in the area. The western syncline known as Koira syncline, due

to steep dip and overturned nature of its limb forms a deeper basin with thick sequence of

younger shale in the core region.

The Geological Plan of the area & Cross Section are given as Figure No – 3 & 4

3.5.1.2 RESERVES:

Geological Survey of India (GSI) has undertaken a detailed exploration under G2 level as

per UNFC norms. A total of 28 core drill hole has been drilled by GSI within the allotted block

to estimate the resource under G2 category.

Details of prospecting / exploration already carried out.

Exploration Agency Geological Survey of India(GSI)

Geological mapping 139.165Ha

Surveying & contouring (5m interval ) 139.165Ha

Core Drilling 2201.70m (28 no’s)

Based on these, the geological reserves in the block are estimated as follows:

Total Mineral resources in the applied ML area is 98.61 Million Tons including probable and

Pre-feasibility Mineral Resources category which is utilized for planning the mine.

GIST OF MINERAL RESERVE & RESOURCES FOR IRON

Category Code Quantity in

million tones Grade

%

Total Resources

(A + B) - 98.61 -

A. Reserves Proved (111) ------

+ 45% Fe (ROM)

Probable (122) 78.24

Subtotal (A) 78.24

B. Remaining

Resources

Feasibility Mineral Resources (221) ------ + 45%

Fe

(ROM)

Pre-feasibility Mineral Resources (222) 20.37

Measured Mineral Resources (331) ------

Indicated Mineral Resources (332) ------

Inferred Mineral Resources (333) ------

Reconnaissance Mineral Resources (334) ------

Subtotal (B) 20.37

39

GEOLOGICAL PLAN Figure No- 3

40

GEOLOGICAL CROSS SECTION Figure No- 4

41

3.5.1.3 MINING METHOD:

The mine comes under Category “A” fully mechanized mines. Mining of the deposit

will be carried out by Mechanized opencast method by removal of topsoil, drilling and

blasting of ore zone, excavation, loading and haulage of run of mine ore. Top soil if any will

be removed first, which will be stock piled for future use for plantation purposes. After the

removal of top soil, drilling and blasting operation will be carried out at hard / laminated iron

ore zone for loosening. These loosened iron ore then excavated and loaded to the dumpers

for processing. The processed ore will be used in company’s own plant.

Proposed bench height in the quarry area is 10 m with 20 m working width. Bench

slope angle of 850 has been considered for the quarry. Inter bench ramp at a gradient of 1 in

10 ( Maximum) and haulroad at a gradient of 1 in 16 ( Maximum) has been planned to

facilitated transportation ore ROM from different faces to the crushing plants respectively.

Drilling is proposed to be done using 150mm/115mm diameter drills with 10% sub

grade drilling. Blasting will be done by adopting the State of Art technology by using mostly

SME (Site Mixed Emulsion Explosives) along with conventional explosives such as PGC,

Toe blast and ANFO. Both conventional as well as Nonel (non-electric initiation) blasting will

be done. Controlled blasting technique using NONEL and shock tube initiation system will be

practiced. Boulders generated during the course of blasting will be broken in to smaller

pieces by using rock breaker.

The blasted material will be excavated by shovels of 4.5 cum - 5.7cum capacity and

loaded onto 50- 80 T dumpers for transportation of the ROM, sub grade and waste. Loading

will be done mechanically. The ROM ore from different mining faces will be transported by

dumpers of 50-80T in a pre-determined proportion (for blending different qualities of ore),

and delivered to the processing plant. The actual mine area is selected after leaving

necessary barriers for road passing through the applied mining lease area.

3.5.1.3.1 DURING THE PLAN PERIOD:

During 1st year of mine plan period all the pre-production activities will be achieved initially

two pits namely pit-1 and pit-2 will be opened. Planning of pit- 1 has been envisaged in such

way that it can be exhausted during plan period. It has been envisaged that, the part of pit-1

will be exhausted during 4th and 5th of plan period. The 4th & 5th year waste from pit-1 will

be utilized for the back-filling of the exhausted part of pit-1.

At the end of plan period the dimension of the proposed quarries will be as follows:

Sl. No.

Name of the Quarry

Dimension Top RL

Bottom RL

No. of Benches Length Breadth Area Area

(m) (m) (m2) (ha) Nos.

1. Pit-1 590 350 34446 3.44 630 540 9

2. Pit-2 500 400 55843 5.58 720 590 13

42

LAYOUT OF FACES

Name of the quarry

Description 1st

2nd

3rd

4th

5th

Pit-1

Face RL(m) 600-620 570-630 560-630 540-640 540-630 Length of face(m) 900(avg.) 680(avg.) 600 (avg.) 1000m 550m (avg.) Direction of advancement

Down ward and laterally

Down ward and laterally (due south)

Down ward and laterally (due south)

Down ward and laterally (due north)

Laterally (due north)

Length of Advancement

110m 40m 145m 120m 178m

Pit-2

Face RL 620-680 620-700 600-710 600-720 590-720 Length of face 595m(avg) 535(avg.) 550(avg.) 550m(avg.) 480m (avg.) Direction of advancement

Lateral and down ward

Lateral movement due south



Laterally due south

Length of Advancement

100m 60m 150m 20m 75m

At the end of plan period, 40.773 hectares will be utilized for production as indicated above,

45.1721 hectares will be degraded / utilized for various activities, 6.755 for safety zone and

the remaining and 46.4649 hectares will be kept as untouched area.

3.5.1.3.2 Production schedule during plan period:

Year wise planned production schedule of ore and waste for the next five years are

tabulated below:-

Total tentative Excavation in Cubic metres

Year Pit no. Total tentative

Excavation (Cum)

Top Soil (cum)

OB/SB/IB (Cum)

ROM (Cu m)

Ore (cum) Mineral reject

(cum)

1st Pit 1 & 2 1955850 12500 496070 965600 481680

2nd

Pit 1 & 2 2251600 482080 1454936 314584

3rd

Pit 1 & 2 3344350 -- 914838 2059976 369536

4th

Pit 1 & 2 3749510 -- 1102180 2243162 404168

5th

Pit 1 & 2 4087140 -- 1434348 2238360 414432

Grand total 15388450 12500 4429516 8962034 1984400

Total tentative Excavation in Tonnes

Year Pit no.

Total tentative

Excavation (MT)

Top Soil MT

OB/SB/IB (MT) ROM (MT)

Ore (MT) Mineral reject (MT)

1st Pit 1 & 2 4918546 18750 992140 2607120 1300536

2nd

Pit 1 & 2 5741864 964160 3928327 849376.8

3rd

Pit 1 & 2 8389358 -- 1829676 5561935 997747.2 4

th Pit 1 & 2 9352151 -- 2204360 6056537 1091253.6

5th

Pit 1 & 2 10031234 -- 2868696 6043572 1118966.4

Grand total 38433153 12500 8859032 24197492 5357880

43

3.5.1.3.3 Details of machinery for plan period:

The following are the steps involved for winning Iron Ore. Unit operation Name Dia / Capacity Numbers

Drilling DTH 150 mm 2

Excavation & loading Excavator 5.7 m3

5+1

Loader 9.0m3 2+1

Transporting Dumper 80 T 12+2

Leveling & road making

Dozer 300 HP 2

Mineral processing Crushing and screening unit (Stationary) 1350TPH 1

Crushing and screening unit (mobile) 500TPH 2

Motor Grader 120K 01

Water Tanker 35KL 04

Light vehicle 07seater 04

Explosive Van 01

Ambulance 01

D.G.Set 1000KVA 01

Rock Breaker SPN220B 01

Bus Tata LP709 36 seater 01

3.5.1.3.4 Waste disposal during plan period:

Dumping during plan period:

During plan period of 5 years waste will be generated from both pit-1 and pit-2 as

intercalated waste and side burden. The year wise pit wise waste generation during plan

period will be as follows:

Year Waste from Pit-1(cum) Waste from Pit-2 (cum) Total waste

(cum) Inter burden Side burden Total Inter burden Side burden Total

1st 273160 116250 389410 88660 18000 106660 496070

2nd

321954 39700 361654 120426 -- 120426 482080

3rd

379480 230960 610440 227898 76500 304398 914838

4th 516900 440340 957240 144940 -- 144940 1102180

5th 771150 331684 1102834 331514 -- 331514 1434348

Total 2262644 1158934 3421578 913438 94500 1007938 4429516

From the above table it can be observed that 3421578cum of waste will be generated from

pit-1 and 1007938 cum from pit-2. There will be two separate dumps for each pit. Dump-1

will be done temporarily within ultimate pit limit and dump-2 will be permanently kept and

stabilized as it is within non-mineralized area.

Re-handling of waste

The waste of pit-1 has been proposed to be dumped at dump-1 which is located

within ultimate pit limit. Hence during 5th year of plan period it is envisaged to re-handle the

dump-1 and that quantity of waste i.e. 447862cum will be utilized for back-filling of

exhausted part of pit-1. The waste to be generated from pit-2 will be utilized partly for road

maintenance and dumping at dump-2.

44

The year wise utilization of waste will be as follows:

Waste generation by digging of tailing pond area.

It is envisaged to divide the tailing pond area into 3 compartments. Accordingly excavations

will be carried out. As per the lithology, the tailing pond area is soil and alluvium. From the

field observation it could found that the thickness of soil cover is 3m from the surface. The

scrapped top soil will be utilized for afforestation purpose and the overburden below the top

soil which is likely to be removed will be utilized for making of embankment for the tailing

pond.

The details of year wise dumping will be as follows:

a) Management of waste from pit-1:

Year Waste from Pit-1(cum) Management of waste

Road maintenance/ Construction of bund at mineral reject dump area

Dumping

at Dump-1

Area of

dumping

(m2)

Back-filling

at pit-1

Area of

back-

filling

(m2)

RL

Inter

burden

Side

burden

Total

%age Quantity

1st 273160 116250 389410 50 194705 194705 30053 -- -- 620-630

2nd

321954 39700 361654 30 108496.2 253157.8 18108 -- -- 630-645

3rd

379480 230960 610440 100 610440* 0 -- -- --

Total waste will be utilized for making bund

4th 516900 440340 957240 10 95724 -- -- 861516 34446

5th 771150 331684 1102834 10 110283.4 --

--

1440413

( 992550.6+

447862 re-

handling of

dump-1)

29132 540-580

26711

580-590

Total 2262644 1158934 3421578 1119649 447862 48161 2301929 b)

*As the waste of this year cannot be accommodated over dump-1, total waste of 610440cum

will be utilized for bund making. c)

b) Management of waste from pit-2 d)

The waste to be generated from pit-2 will be utilized partly for road maintenance and

dumping at dump-2. The year wise utilization of waste will be as follows:

Year Waste from Pit-2 (cum) Road maintenance

@ 10%

Dumping at Dump-2

Area (m

2)

RL (m) Inter

burden Side burden

Total

1st 88660 18000 106660 10666 95994 11317 615-630

2nd

120426 -- 120426 12042.6 108383.4 11316 615-630

3rd

227898 76500 304398 30439.8 273958.2 -- Total waste will be utilized for making bund

4th 144940 -- 144940 14494 130446 10133 630-645

5th 331514 -- 331514 33151.4 298362.6 10134 630-645

Total 913438 94500 1007938 100793.8 907144.2 e)

f)

45

There will be two separate dumps for each pit. Dump-1 will be done temporarily within

ultimate pit limit and dump-2 will be permanently kept and stabilized as it is within non-

mineralized area. However, before dumping at dump-2, the area will be proved as barren

first and then waste disposal will be started.

Waste generation from Beneficiation plant A beneficiation plant of 6.7MTPA(1250 TPH) capacity will be in operation during the 4th

year on wards of the plan period, as per the material balance, approximately 3.4million tons

of iron ore with average Fe of 61% will be fed to the beneficiation plant for up-gradation. It

has been envisaged that based on the material balance, about 20% of total feed quantity will

emerge as mineral rejects having Fe content less than 45%. The details of year wise

generation of mineral rejects from beneficiation plant will be as shown below:

Year Generation of waste from Beneficiation plant

MT cum

4th 682281 341141

5th 680812 340406

Total 1363093 681546.5

The waste to be generated from beneficiation plant during the plan period as shown above

will be disposed of at proposed tailings pond and an area of 4.92Ha has been earmarked for

the same. During the conceptual period from 6th year onwards an area of 6.93 Ha of Pit -1

(mineral exhausted pit) will be used for disposal of tailings.

Plan showing the details of surface features existing in the mine lease area, present

mine, dump position and mine, dump position at the end of plan period are given as Figure

No 5 & 6.

46

SURFACE PLAN Figure No- 5

47

MINE POSITION AT THE END OF PLAN PERIOD Figure No- 6

48

3.5.1.3.5 Site for disposal of mineral rejects along with ground preparation

The proposed sub-grade / mineral reject dump area has been shown in the earmarked site.

The area selected will be made ready by clearing the vegetation. Further retaining wall and

garland drains will be made on the toe of the dump as a part of dump management.

Rate of yearly generation of sub-grade mineral and proposals for stacking during the 5

years of plan period.

Year sub-grade(cum) from Pit-1 sub-grade(cum) from Pit-2 Total sub-grade(cum) Total sub-grade (MT)

45-55 55-58 Total 45-55 55-58 Total 45-55 55-58 Total

1st

105840 195840 301680 162880 17120 180000 268720 212960 481680 725544 574992 1300536

2nd

16720 51208 67928 213648 33008 246656 230368 84216 314584 621993 227383 849376

3rd

63072 0 63072 234344 72120 306464 297416 72120 369536 803023 194724 997747

4th

180728 91440 272168 126040 5960 132000 306768 97400 404168 828273 262980 1091254

5th

61152 147976 209128 205304 0 205304 266456 147976 414432 719431.2 399535.2 1118966

Total 427512 486464 913976 942216 128208 1070424 1369728 614672 1984400 3698266 1659614 5357880

Utilization of mineral rejects

A total of 1984400 cum of mineral rejects / sub-grade iron ore will be generated during

proposed plan period. From above table, it is observed that about 913976 cum of mineral

rejects will be generated from pit -1 and 1070424 cum will be generated from pit - 2. It is

envisaged to stack the sub-grade iron ore containing +45-55% Fe at sub-grade stack-2 over

an area of 3.52 ha and that of +55-58%Fe at sub-grade stack -1 over an area of 1.13ha.

As earlier explained the beneficiation plant will come into force on 4th year. Hence, it

is envisaged to use sub-grade containing iron ore of +55-58%Fe from 4th year onwards in

the beneficiation plant to up-grade the ore for making it usable. The cumulative sub-grade

stock from 1st year to 3rd year containing +55-58%Fe is 997099 MT. During the initial years,

for the operation of crushing –beneficiation system, the feed to the system will be

supplemented by the sub-grade ore (55-58%Fe) stacked during the first three years of the

plan period. However, feed from the stack will gradually be reduced since the fresh

generation of 55-58%Fe material will be directly fed to the plant.

To up-grade the sub-grade iron ore/mineral rejects and to make it acceptable by the

steel plant, it has been planned to establish a 6.7 MTPA (1250 TPH) capacity beneficiation

plant during ensuing plan period.

3.5.1.3.3 CONCEPTUAL STAGE:

ULTIMATE EXTENT & SIZE OF THE PIT

The conceptual iron ore quarry has been projected considering the ultimate pit slope,

boundary safety zone and road safety zone. As a village road is passing within the

lease area, safety distance of 10 m has been kept from both side of village road. Due

to this road, there will be two ultimate pits within the lease area. The ultimate pit limit

has been earmarked within the conceptual plan. Height and width of the benches will be

49

kept at 10m each for optimum recovery of ore and to maintain final slope angle of the pit at

around 450 with the horizontal. Maximum 9nos of benches will be formed within UPL-1 and

21 no’s of benches within UPL-2 during life of the mine. (Ref. conceptual plan and section

Figure No. 7 & 8 ).

A total of 88.759 Ha will be utilized for mining during conceptual period. In the

northern part the UPL covers about 22.114 ha and in the southern and eastern part the UPL

covers an area of about 66.645 Ha. The details are given below:

Name Ultimate Boundaries Level Area

Northing Easting (m RL) (m2) (ha)

UPL-1 2427850-2428570 322800-

323210

620-540 221140 22.114

UPL-2 2427270-2428180 322800-

324340

730-520 666450 66.645

Total 887590 88.759 Based on the exploratory evidences, the ultimate working depth will be 520 mRL.

Height and width of the benches will be kept at 10m. (a) mine out the optimum amount of

ores from the quarries, (b) keep the ultimate pit slope safe & stable and (c) maintain final

slope angle of the pit less than 37° with the horizontal.

Final slope angle at the close of mine:

The individual bench slope would be kept nearly vertical, height and width of the benches

would be kept at 10m each. The individual bench slope will be kept at 85° with the horizontal

whereas the overall quarry slope angle would be maintained at less than 37°.

Ultimate capacity of dump

Dumping During conceptual period:

Total waste generation during conceptual period will be as follows:

Intercalated waste to be generated during conceptual period = 4068658cum

Side burden removal during conceptual period = 2379855cum

Total waste generation during conceptual period = 6448513cum

Utilization of conceptual waste

Total waste generation from quarry as intercalated waste and side burden during

conceptual period (6th year to 12th year) will be 6448513cum. Likely generation of waste from

quarry during 6thto 8th year will be 2763648cum. Out of which, it is envisaged that 30%

i.e.829094.5 Cu m will be utilized for road maintenance and balance 70% i.e. 1934554cum

will be utilized for dumping at dump-2 and back-filling within pit-1. It is proposed to dispose of

216855cum of waste over dump-2 and remaining 1717699cum will be utilized for back-filling

within exhausted part of pit-1. It is expected that the pit -2 will be exhausted during 8th year of

plan period. Hence, from 9th to 10th year onwards the pit-2 will be reclaimed by means back-

50

filling with 2522432cum of waste. The remaining waste i.e. 1162433cum will be utilized for

back filling of in the eastern part of UPL-2.

Period Volume of waste (cum)

Road maintenance

Management Location of dumping

Area of dumping/ back filling (m2)

RL

6th to 8

th

year

2763648 829094.5 cum @ 30% as road maintenance

216855 cum at waste dump-2 and 1717699cum for back-filling at pit-1

Dump-2

and pit-1

Dump-2 14457

Back-filing43783

645-660

540-610

9th year to

10th year

2522432 -- To be utilized for back-filling in pit-2

Pit-2 (UPL-2) 99504 560-610

11TH

to 12th

year

1162433 -- Back filling of in the eastern part of UPL-2

Eastern side UPL-2

112281 550-600

Total 6448513 829094.5

Further, it is expected that 2380000 cum of waste will be generated from the beneficiation

plant as tailings. From 6th year onwards it has been planned to dispose of the tailings within

exhausted part of pit-1.

Conceptual generation of sub-grade ore and its utilization:

Beyond plan period about 5593796 MT of sub-grade ore containing +45-55% Fe and

5503038 MT of +55-58%Fe will be generated. At the end of plan period sub-grade

containing +55-58% Fe will be 880629MT. Hence, total availability of sub-grade iron ore of

+55-58%Fe will be 6383667MT. The said quantity will be utilized for beneficiation during

conceptual period for up gradation. Regarding +45-55%Fe, all efforts will be made find out

the appropriate and economic technology to up-grade the sub-grade material to acceptable

quality for captive consumption for the steel plant. Till such time the sub-grade variety of ore

will be systematically stacked at designated place inside the ML area.

51

The Conceptual Plan & Cross section are Shown in Figure No – 7 & 8

CONCEPTUAL PLAN Figure No- 7

52

CONCEPTUAL CROSS SECTION Figure No- 8

53

3.5.1.4 Land Degradation/Utilization

The total area covers is 139.165Ha. At the end of ensuing plan period, an area of 85.9451

Ha will be utilized. However, the detail land use pattern will be as follows:

Particulars

AREA IN HECTARE

At present Additional area

during plan period

Land use at the end of

plan period

Additional area beyond plan period

Land use during conceptual

period

Area under Mining 0.50# 40.273 40.773 47.986 88.759

Storage of topsoil 0 0.320 0.32 0 0

Waste dump 0 4.967 4.967 1.036 6.003

Sub grade stack / Mineral storage 0 7.551 7.551 0 0

Infrastructure Facilities (Site services & utilities, admn. building , Conveyor belt, etc)

0 2.4303 2.4303 2.4303

Roads 0.598 2.2714 2.8694 0 0.950

Railway 0 0 0 0 0

Tailing Pond 0 4.923 4.923 4.923

Effluent treatment plant 0 0 0 0

Mineral separation plant (Crushing & screening unit, beneficiation plant) 0 15.6557 15.6557 0 12.85

Township area 0 0 0 0 0


0 6.4557 6.4557 6.4557

Sub Total 1.098 84.8471 85.9451 49.022 122.371

Safety zone (ML Boundary, road)

6.755 6.755 6.755

Untouched area 131.312

46.4649 10.039*

Grand total 139.165 139.165 139.165

# As indicated in the Geological report of GSI and also noted by IBM at the time of approval of Mining Plan.

*It is proposed to do exploration over 10.039 Ha during plan period. After exploration the area

will be utilized as per the outcome of the result.

** During conceptual period the sub grade iron ore will be kept over the back-filled area.

***The total area required for mineral separation plant (i.e. crushing and screening,

beneficiation facility is 15.6557Ha out of which crushing and screening facility is 4.9057 Ha.

This will be utilized in virgin area during plan period and part of conceptual period. During the

11th

year part of crushing and screening facility area is required for mining. Hence part of the

facility over an area of 2.8057 ha will be dismantled and placed on the backfilled area. Thus the

area of crusher and screening facility remains the same i.e. 4.9057 ha.

54

Post Mining Land Use Plan:

Life of the mine is calculated as 12 years from the date of commencement of mining

operation based on the existing reserve and production capacity. As earlier explained from

4th year to end of the conceptual period the back-filling and plantation will be continued.

However, part of the quarry area over 14.0Ha cannot be reclaimed during conceptual period.

Hence, it is envisaged to reclaim the said area after end of the conceptual period i.e. on 13th

year. Out of the total mined out area of 14.0 ha, about 2.032 ha will be reclaimed by means

of water reservoir and remaining 11.968 Ha by plantation. Beyond 12th year, it is envisaged

to dismantle all the infrastructures and the said area will be reclaimed by means of

plantation. Similarly, other areas like mineral storage, top soil stack, road, magazine etc will

be covered under plantation. However, the post mining land use will be as follows:

Sl. No. Name of Mining features Name of Post Mining Land Use Area

(ha)

1 Quarry Reclamation (back filling & Plantation) 27.374

Mineral reject to be stored over back-filled area and covered under plantation.

5.600

2 Quarry Rehabilitation (Plantation) 46.823

3 Quarry Tailing pond (mineral exhausted pit-1)

to be covered under plantation

6.930

4 Quarry Water Reservoir 2.0320

5 Exploration area converted to

mining and allied activities

Rehabilitation (Plantation) 10.039

6 Top soil stack yard Plantation 00

7 Waste Dump Dump Plantation 6.003 8 Infrastructure Facilities

(Site services & utilities, admn.

building , Conveyor belt, etc)

Plantation 2.4303

9 Road used for public purpose 0.950

10 Tailing Pond Plantation 4.923

11 Mineral separation plant Plantation 12.85

12 Others (Retaining wall, Garland,

drain, check dams, settling tank,

Sump, embankment etc

magazine with safety zone)

Plantation 6.4557

Safety zone(MLB and road) Plantation 6.755

--- Total --- 139.165

At the end of the life of the mine, 136.183Ha will be covered under plantation and then

handed over to govt.

55

3.5.1.5 LIFE OF THE MINE:

Total mineable reserve of iron ore under all the categories (Probable) within the area has been

worked and it is estimated that 78.24Million tonnes up to of +45 % Fe grade available as on

date as per present exploration data. The total production (+58% Fe & +45 to -58%Fe) from

mines during the present plan period will be 29.55 Million tonnes Hence reserve available for

conceptual period will be 48.685Million tonnes. The calculation detail for the life of the mine

is given below:

Total reserves under proved category - 78.24Mil.T

Production during balance 5 years - 29.555 Mil.T

Balance reserves for conceptual period - 48.685 Mil.T

Rated production per annum - 7.16Mil.T

No of years production will be carried out during -

48.685/7.16=6.799Years

Conceptual period (say 7 years)

Life of mine - 12 years

(5 years of plan period + 7.0 years of conceptual

period)

However, the life of the mines may vary depending upon the raw material requirement for

the steel plant and marketing scenario as well as remaining reserve to be established during

conceptual period.

3.5.1.6 GRADE OF ORE:

In the present market scenario, threshold value of iron ore is +45% Fe as per IBM threshold

norms of iron ore and cut-off grade is considered at 58% Fe from the proposed production.

For this, +45% Fe to -58% Fe is considered as sub grade. However, after processing, 20%

of Intercalated waste i.e. below 45% Fe material will be generated from + 58%Fe and +45%

-58%Fe zone.

3.5.2 CRUSHING, SCREENING AND BENEFICIATION PROCESS : ROM to be excavated from the mine will categorized in to two types as mentioned below:

3. ROM having Fe content + 45 – 58 %

4. ROM having Fe content > 58 %

The requirement of the plant is +64%Fe. From chemical analysis report of GSI it can

observed that the iron ore of +58% Fe is having the average grade of 64%Fe. ROM having

+45-55%Fe & 55%-58% Fe will be stacked separately. ROM (+55 – 58 % Fe) shall be

upgraded to get the desired products in future after commissioning of beneficiation plant

which will be in the 4th year of the plan period.

56

During the plan period both dry processing (through crushing and screening) and

beneficiation process will be adopted to upgrade the iron ore.

Dry processing & Beneficiation

The total overview of the Mineral processing has been envisaged in two different modes of

operation mentioned as below:

1. Direct Ore: The ore which can be used without beneficiation for steel making has been

defined as direct ore. For this type of ore, processing includes primarily screening of

natural fines followed by crushing & screening of the oversize fraction of the above plant

feed.

2. Beneficiable Ore: The ore which is required to be upgraded before it is used in the

steel making has been classified as beneficiable ore. The process of up gradation for

this type of ore comprises of crushing, screening, grinding, gravity separation and

subsequent magnetic separation in multiple stages to up-grade the ore so that the

desired quality can be achieved.

It is proposed that during the initial period till 3rd year of plan period, there will be two

no’s of mobile crushing and screening plant of 500 TPH one in each pit (Pit 1 & Pit

2). During these years, the crushed Iron ore fines from mobile crusher will be

transported from the mine head by Road.

Further, it has been envisaged that the stationery crushing and screening facilities

will be commissioned by the end of third year of the plan period its details are given

below:

Crushing &Screening Plant ( 1350 TPH Capacity):

The general process description is given below:

A dumping platform shall be made for feeding the ROM (- 800 m) into a hopper. A

triple deck screen under the hopper will screen the feed into four (4) different sizes i.e.; -

600 +80mm, -80+40 mm, -40+10mm and -10mm. The coarse product of screen (-800mm +

80 mm) will pass through a Jaw Crusher where it will be crushed.

The -80+40 mm size fraction will be fed to a secondary crusher through a surge

hopper, which will crush the material to a size around 80% passing -40mm.

Product of the secondary crusher will be screened in the triple deck screen to separate the

lumps (- 18 +5 mm) which will be stacked separately. The oversize material (+40 mm) will be

re-cycled back to the cone crusher.

The -40 +10mm product size from triple deck screen will be subjected to further

crushing in a High Pressure Grinding Roll (HPGR) to -10mm size. The crushed product from

the HPGR will be screened in a single deck screen of 10mm screen. The oversize of the

screen will be recycled back to HPGR circuit.

The Stationary Crushing and Screening unit will be having two units, one unit with 3

MTPA capacity will be having screening facility only wherein predominantly powdery ore,

blue dust and ore flaky in nature will be processed to produce Iron ore fines ( -10 mm) of

57

about 2.70 MTPA (i.e. 90% of the total feed to this unit). Since the ore types mentioned

above predominantly have higher Fe content (Fe> 64.5 %), it will not be subjected to the up-

gradation process. The rest 0.30 MTPA i.e.10% (avg. Fe of 67.7 %) having a size of

+10mm will go in for crushing in the second unit.

Second unit will have the facility of Crushing and Screening in which the over size of the

screening plant ( +10 mm size of Unit – 1) of 0.30 MTPA(Fe % of 67.7) along with the ROM

of about 3.02 MTPA having Fe % of 62.1 % and subgrade material of 0.40 MTPA of 56.5 %

Fe will be feed. Besides, a quantity of 0.266 MTPA subgrade stacked material of 55 – 58 %

Fe will be fed for beneficiation. The average Fe content of the feed to the second unit (i.e

3.98 MTPA) is envisaged as 61.5 % which will be crushed, & screened to produce -10 mm

and +5 -18 mm fractions.

From the feed quantity of 3.98MTPA in the Second unit, about 15% of the material i.e.

0.60 MTPA will be generated as lumps of +5 to – 18mm size and the remaining 85% i.e.

3.39 MTPA will be subjected to beneficiation.

The lumps (size +5 to -18mm) will be transported by road from the mine head.

It is estimated that the recovery of the product from the said beneficiation plant will be 80

% (i.e. 2.70 MTPA) and the rest 0.68 MTPA (20% of feed of 3.38 MTPA) will form the reject.

Beneficiation plant:

It is proposed to install a 1250 TPH capacity with State of Art beneficiation facility in the

mine site.

The beneficiation plant comprises of grinding mills of primary mill, secondary mill and regrind

mill. There are gravity separators using separate gravity principles according to the size of

application, magnetic separators of Wet high intensity magnetic separator, and high gradient



segregate for the up-gradation. Concentrate thickener will be located in the plant to

concentrate the product for final pumping. Similarly intermediate thickener will be there to

thicken the material for proper density feeding to the required equipment. A conventional

tailing pond is proposed for water recovery and tailing management. Its process description

is given below:

The feed (-10 mm) will be transported to hopper by a conveyor and fed by a weigh

feeder. The screw scrubber scrubs and classifies the -150 micron material in the

overflow and collected in the Intermediate thickener. The underflow material from the

screw scrubber will be screened in a single deck screen of 1mm apertures. The

coarser product -10 +1 mm will be subjected to Jig for gravity separation and the

finer product is subjected to vertical spiral for classification.

The Jig reject particles will again subjected to ground in the primary grinding mill

(closed circuit) and classification by a hydro cyclone cluster. The overflow of the

58

cyclone shall flow to the spiral and the underflow is re-circulated back to the primary

mill.

The spiral product (heavies) and the product from Jig are both carried to the

regrinding ball mill for further grinding to 150 micron. The regrind mill product will

again be classified by its closed circuit cyclone to separate the -150 micron product

flows to the concentrate thickener.

The light particles from spiral classifier will be ground in the secondary grinding mill

for reducing the size to liberate the locked particles. The closed circuit cyclone shall

separate out the fines collected in the intermediate thickener.

The thickened slurry from the intermediate thickener will pass to the two stages of

magnetic separation as roughening ( WHIMS) and scavenging ( HGMS), thereby

upgrading the final product to + 64%Fe. Finally the magnetic product will be

thickened in the concentrate thickener along with regrinding mill material and

pumped to the buffer slurry product tank.

From the buffer tank, the material will pass through press filter and converted to

cake.

In the above flow sheet description, there is an up gradation of Fe to + 64 % from an

input of 61.15 % Fe feed.

The overall mass yield is envisaged to be around 80% with and Fe recovery of 85%

in this process.

The HGMS reject materials will be the final tailing (<45 % Fe) and sent to the tailing

thickener. The thickened underflow of the tailing thickener will be sent to tailing pond

in the form slurry from where the water will be recovered and re-circulated to the

plant.

During the initial years, for the operation of crushing –beneficiation system, the feed

to the system will be supplemented by the sub-grade ore (55-58%Fe) stacked during

the first three years of the plan period. However, feed from the stack will gradually be

reduced since the fresh generation of 55-58%Fe material will be directly fed to the

plant.

59

Lay out plan of Beneficiation plant

Figure No- 9

60

3.6 RAW MATERIAL REQUIRED ALONG WITH ESTIMATED QUANTITY, LIKELY

SOURCE, MARKETING AREA OF FINAL PRODUCTS, MODE OF TRANSPORT OF RAW

MATERIAL & FINISHED PRODUCT.

About 7.16 MTPA of ROM will be produced from the mine.

The flow sheet with material balance of screening and crushing and Beneficiation Plant are furnished below vide (Refer Figure No – 10 to 12)

Figure No – 10

MATERIAL BALANCE OF BENEFICIATION PLANT

Figure No –11

38 67.7

61

Conceptual Flow sheet of 1350 TPH Crushing and Screening plant

StockPile

Triple Deck Screen Jaw Crusher

Surge

Hopper

Cone

Crusher

Double Deck

Screen

HPGR

- 10 mm

- 40 + 10 mm

- 80 + 40

mm

+ 80 mm

- 150 mm

+ 40 mm

- 10 mm+ 10 mm

Hopper Hopper

Apron FeederVibro Feeder

Screen

+ 800 mm + 800 mm

- 800 mm - 800 mm

StockPile

Natural Fines - 10 mm

Crushed Fines - 10 mm StockPile

Crushed Fines - 5 mm

StockPile

Fines – 18 + 5 mm

62

Figure No – 12

Conceptual Flow sheet of 1250 TPH Beneficiation Plant

Hopper

-10 mm

Screw Scrubber

Single deck screen

Jig

Regrinding mill

Primary Ball Mill /

Hydrocyclone

Spiral

Intermidiate Thickener

WHIMS

HGMS

Concentrate Thickner

Tail Thickener

Process water TankBuffer Tank

Secondary Ball Mill /

Hydrocyclone

-10 , + 0.15

1 – 10 mm

-1 + 0.15

- 0.15

- 0.15

- 0.15

- 0.15

- 0.15

Tail / Reject

- 0.15

-1

TPH Fe %

Cum / hr. Wt%

875 61.5

563 70

6

1250 61

3750 100

375 56

3188 30

313 60

300 25

563 62

2000 45

338 64

400 27

225 58

1600 18538 59

600 43

998 64

450 80

188 64

240 15

520 64

550 52

724 56

5588 58

435 52

600 35

183 64

400 15

290 64

600 23

998 64

450 80

252 44

600 20

252 44

200 20.2

Tailing Pond

0 0

1000 0

0 0

160 0

Press filter at

Dabuna

0 0

350 0

0 0

6838 0

Recirculate to plant

Water loss in Tailing : 40 m3/hr

Water loss in Product : 60 m3/hr

998 64

100 80

Filter Cake

349 56.50

360 28

724 56

600 58

63

Electrical Load list 1350 TPH Static Screen and Crushing Plant

Sl.No Equipment Details TPH Power

Kw

1 Triple Deck Screen 1350 150

2 Primary Jaw Crusher 750 350

3 Secondary Cone Crusher 1000 350

4 Secondary cone Crusher discharge Double Deck Screen 1000 500

5 HPGR (Tertiary Crusher) 1000 300

6 HPGR Discharge Single Deck Screen 1000 500

7 Conveyors - 500

8 Others Like Compressor, Filter and spray system, Illumination, etc. - 500

Total Power Consumption 3150

Note: Initially during the first two years, mobile crushing & screening unit will be under operation which will be replaced by stationery crushing and screening unit during the third year. However, as a standby, mobile crushing & screening unit will also be placed in the mine.

The working hours of crushing and screening unit will depend on the requirement of

proposed iron ore production.

1250 TPH Beneficiation Plant

Sl.NO Equipment Capacity

(TPH) No's

Power (Kw)

1 Screw Scrubber 250 5 200

2 Single deck screen 250 4 200

3 Coarse & Fines Jig 125 5 500

4 Primary Ballmill with hydrocyclone 250 1 3000

5 Spiral set/Flotex 150 4 200

6 Secondary Ballmill with hydrocyclone 200 2 3000

7 Intermediate Thickener 300 3 150

8 WHIMS 200 4 1000

9 HGMS 150 3 500

10 Concentrate Thicekener 250 2 100

11 Regrinding Ball Mill with hydrocyclone 200 3 4500

12 Tailing Thickener 300 1 100

13 Buffer tank - 1 50

14 Press Filter 80 13 2000

15 Pumps, utilities & Other electrical accessories - - 1500

Total Power 17000 c) Disposal method for tailings or reject from the processing plant.

It is envisaged to dispose the tailings over the proposed tailing pond area to accommodate

681546.5cum tailings to be generated during plan period at proposed tailings pond and an

area of 4.92Ha has been earmarked for the same. During the conceptual period from 6th

year onwards an area of 6.93 Ha of Pit -1 (mineral exhausted pit) will be used for disposal of

tailings. The existing topography is supporting for the construction of tailing pond at the

proposed site. The height of the proposed tailing pond in the western part will be 645m

whereas in the eastern part it is 630m. The slope of the tailing pond area will be due east. It

has been planned to dig the proposed tailing pond area 20m from the surface. As a result of

which the floor RL will be 625m in the west and 610m in the east.

64

There will be three compartments. Two retaining walls have been envisaged along east-

west direction and another along north - south direction. The east- west retaining wall will be

provided to make the sludge area into two compartments whereas the north - south retaining

wall (perforated wall) will be provided to separate the sludge and water and has been

designated as compartment-3. The natural slope of the area will help the water to flow into

the lower level. The compartment-1 will accommodate 341141cum of waste, whereas

compartment-2 will accommodate 340406 cum of waste. Dewatering will be made by

deploying a 5HP pump. This water will be utilized for water sprinkling, afforestation etc.

Geological condition plays a critical role for locating a tailing dam. In particular site

geological condition affects the stability of foundation of the embankment, seepage rate etc.

Sloping foundations and the presence of weak layers in the foundations will need to be

investigated since they may contribute slope failure.

As far geology of the site area is concerned the proposed tailing dam will be on lateritic

zone. Laterite is a hard rock which will be suitable for the construction of tailing pond.

Regarding geo technical parameters of the rock occurring within the proposed tailing pond

area, a detail rock mechanic study will be undertaken during 3rd year of plan period by a

reputed institute.

The designated tailing dam area can easily be approached from the beneficiation plant

and also proposed mine pits. Suitable road will be layed for the purpose.

The composition of tailing is 75% solids and 25% water by weight. It is proposed to

recycle about 80% water. Tailing pond will be provided with decant well inside the pond and

connecting it to a water pumping system outside the bund/ wall by a buried pipeline. Water

pumping system will be provided for pumping the clear water back to the beneficiation plant.

It has been envisaged to construct an embankment/bund at the proposed tailing pond

area. This embankment will connect the 645m contour so that a dam like engineering

structure will be created. During 3rd year it is proposed to construct an embankment for the

tailings disposal utilizing mine waste material. The dimension of the proposed embankment

will be as follows:

Length 300m

Base 45m

Height Variable up to 30m

Width 6m

A spill way channel will be created to take care off any over flow of water in case of

any eventualities. At the end of the channel an additional embankment will be created to

restrict the flow of water outside the lease area.

The habitation is far away from the proposed tailing pond. Hence, location of tailing dam

will not have any hazardous effect on the habitation. Further, proper safety measures will be

taken to prevent any hazardous effect the on surrounding habitation.

65

The total land requirement for this plant is estimated to be 27.5057 ha out of which

20.5757 ha is virgin area and remaining 6.93 Ha is mined out area of Pit-1, with the following

breakup.

S. No. Description Area in Ha

1. Process plant area (screening, crusher, beneficiation plant)

15.6557

2. Tailing pond 4.92 (virgin area)

6.93 Ha (Mined out pit – pit1)

Total 27.5057 Ha

The land is within the mining lease area and as such no additional land is required. The Tailing Pond Layout is given Below:

3.7 RESOURCE OPTIMIZATION / RECYCLING AND REUSE ENVISAGED IN

THE PROJECT:

During the production of iron ore, usable grade iron ore as well as sub grade ore

shall be produced. The subgrade ore is processed in the beneficiation plant and the product

will be transported through road from the mine head.

This helps towards mineral conservation & effective waste management in this project.

66

3.8 AVAILABILITY OF WATER ITS SOURCE, ENERGY/POWER REQUIREMENT &

ITS SOURCE

3.8.1 WATER REQUIREMENT:

The water requirement for the mines is mainly for green belt, dust suppression and

drinking water purpose & in beneficiation plant for make up purpose.

The total water requirement will be 3230 m3/day

Sl.no Purpose Quantity (m3/day)

1. Mining (green belt, dust suppression & domestic) 430

2. Beneficiation plant Makeup water 2800

Total 3230

The entire water required will be sourced from the bore wells. The area falls in the

safe” category as far as the stage of development is concerned.

3.8.2 POWER REQUIREMENT:


22165 KVA

The power requirement will be met from the State grid and backup power from DG

Sets.

3.9 QUANTITY OF WASTES TO BE GENERATED (LIQUID & SOLID)

The details of waste generation and disposal were already described in para 3.5.1.3.

As far as liquid waste is concerned, the plant adopts zero discharge concept and

hence no liquid waste will be generated. The Water Balance Diagram for the beneficiation

Plant is shown Figure No – 13.

67

WATER BALANCE DIAGRAM Figure No – 13

68

CHAPTER – IV

SITE ANALYSIS

4.1 CONNECTIVITY

The area can be approached from Barbil or Koira through NH-215. National Highway No.215

connecting Panikoili on National Highway No.5 with Rourkela via Keonjhar, Joda, Barbil and

Koira passes through the area. The other important mining centers in the vicinity are Kalta,

Tensa and Barsuan. The nearest rail head is Barbil, located 30km away on the Tatanagar -

Barbil section of the South-Eastern Railway.

4.2 LAND FORM, LAND USE & LAND OWNERSHIP:

Based on the Joint survey carried out by Department of forest, revenue and Mining of Govt of

Odisha , out of 139.165 Ha of total lease area , 126.401 ha is forest land & balance 12.764

ha is non-forest land ( 6.063 ha of Govt Land, 3.257 ha of Private tenanted land and 3.444

ha of Gochar land). Refer Annexure – II. Application for diversion of forest land for mining

purpose is already made.

An area of 1.098 hectares land is already degraded / utilized for quarrying & road. 6.755

hectares is left for safety zone. Totally an area of 132.41 hectares is anticipated to be degraded /

utilized at the end of the conceptual planning.

4.3 TOPOGRAPHY (ALONG WITH MAP)

The allotted block under study is a highly rugged terrain, with elongated hills trending ENE-

WSW direction, low mounds and narrow valleys. The highest elevation of ridges in the area is

745m. The low lying valleys occur at an elevation of around 600m. Lateritic soil recorded in the

ridges and valleys are mainly covered by alluvial soil.

4.4 EXISTING LAND USE PATTERN

As already mentioned, the entire mine lease area of 139.165 Ha which consists of both forest & non-forest land.

4.5 PROJECT LAYOUT IN RELATION TO IMPORTANT NATURAL FEATURES

The project area is devoid of declared ecologically sensitive features like national parks, biospheres,

sanctuaries, etc., as mentioned earlier. The area also does not come under CRZ category. Refer

Figure No – 14 for Index plan

69

In the 10 km buffer zone the following features are observed:

SI.No Particulars Details

1. Nearest villages Sagasahi - < 1 KM - WW, Ghorhaburhani -

adjacent to lease boundary – N, Kalamang – 1.1

KM NE

2. Nearest Highway Koirha to Barbil Rd - NH-215 – NW - 1.9 km

3. Nearest Railway station Barbil Railway station – 30 km – NE

4. Nearest Airport Rourkela airstrip – 58 km – NW, Airport –

Bhubaneswar ( 230 KM ) - S

5. Nearest water bodies Topadihi Nala - 3.1 km – N, Kunduru Nala - 6.5 km – NE, Suna Nadi – 1.6 km – E, Kalmang Nala – 0.9 km – E, Kakarpani Nala - 5.1 km – E, Gahirajala Nala - 6.2 km - SE, Teherei Nala - 2.9 km - SE, Khajurdihi Nala - 6.3 km - S, Khuntachira Nala - 8.4 km - S, Lekerapani Nala – 2.2 km – SW, Archanda Nala – 7.0 km – S, Karo Nadi - 4.0 km – W. Few rain water drainage channels are passing through the lease area.

6. Notified Archaeologically important places,

Monuments

Nil within 10 km radius

7. Local Places of Historical and Tourism

Interest


8. Environmental sensitive areas, Protected

areas as per Wildlife Protection Act, 1972

(Tiger reserve, Elephant reserve,

Biospheres, National parks, Wildlife

sanctuaries, community reserves and

conservation reserves)


9. Reserved / Protected Forests Lakrhaghat R.F – 4.8 – N, Siddhamath R.F - 4.0 km – NE, Baitarani R.F – 5.0 km – NE Mendhamaruni R.F – adjacent to lease boundary – SW, Kathamala R. F - 4.0 km – SW, Bhabani Paharh R.F - 6.3 km – SW, Karo R. F - 3.3 km – NW, Uliburu R.F - 5.5 km - NW

10. Defence Installations Nil within 10km radius

11. Seismic Zone Zone – II (Least Active)

12. Other Industries in the area Nuagaon Iron ore Mines, Guali Iron ore mines,

Rungta Mines, Hema Ispat, Sree-metallik

13 Inter State Boundary Jharkhand is 7.5 km NW from the lease boundary

4.6 EXISTING INFRASTRUCTURE:

This area is applied for mining lease, hence all the infrastructural facilities required like

approach road, office, stores, etc will be developed.

70

4.7 SOIL CLASSIFICATION:

The texture is predominantly clayey in nature. The reaction of the soil is usually neutral.

Index plan Figure No – 14

71

4.8 CLIMATIC DATA FROM SECONDARY SOURCES

Climate and meteorology of a place play an important role in the implementation of any

developmental project. Meteorology (weather climate) is also the key to understanding local air

quality as there is essential relationship between meteorology and atmospheric dispersion

involving the wind in the broadest sense of them.

(a) Temperature:

The climate of the study area is characterized by an oppressively hot summer with high

humidity. Summer generally commences in the month of March. Temperature begins to rise

rapidly attaining the maximum in the month of May. During the summer maximum temperature

can go up to 47.40C. The weather becomes pleasant with onset of monsoon in June and

remains as such up to the end of October. The temperature in the month of December is lowest

i.e. 70C.

(b) Relative Humidity

The air is dry except during the South – West monsoon season. The maximum humidity ranges

from 55% to 76% with annual average of 64.83% while the minimum humidity ranges from 26%

to 43% with an annual average of 34%.

(c) Rainfall Data

The rain fall data has been obtained from IMD for the financial year 2009-2013. Based on the

data the rain minimum Annual rainfall is 971mm during 2010 and the maximum rain fall is

1820mm during 2013.The average rainfall is 1325.16 mm.

Predominant wind direction is South-West.

Predominant wind direction is South-West. Area remains calm for nearly 50% of the year.

4.9 SOCIAL INFRASTRUCTURE AVAILABLE

Koira is the nearest major human habitation (about 5 km from site). The small town is provided

with all basic civic amenities. Tensa is 14 km from the applied mining lease area. Major source

of water in the area is the suna River. Most of the important locations are provided with water

supply and electricity. The areas are developed with basic facilities.

Medical facilities: Medical facilities available in and around the area include dispensaries,

hospitals, health center, public health sub-centers etc. Almost all villages have medical facilities

either at door or within 5-10 km.

Electricity: All the villages in and around the area access to have power supply.

Education facility: Schools, namely primary, middle school to high school are available in the

study area. Almost all villages have education facilities. Number of private schools are also

operative in around the area.

72

CHAPTER – V

PLANNING BRIEF

5.1 PLANNING CONCEPT:

Planning concept is based on the following criteria:

Technical feasibility and economic viability of achieving the desired production for the

captive plant.

Possibility of increasing the grade of ore through beneficiation

Availability of good grade of ore on long term basis for the use in captive steel plant.

Absence of ecologically sensitive features.

5.2 POPULATION PROJECTION

The increase in production and establishment of beneficiation plant will definitely

increase the manpower requirement both directly and indirectly which will lead to increase in

population due to this integrated project.

Villages located near the mine lease site are:

Kalamang

Sagasahi

Ghoraburhani

The area in general is not densely populated and it can easily absorb the additional

increase in population due to this proposed integrated project.

73

5.3 Land Use planning

The land use existing, after 5 years and during the conceptual period is given below:

Fig. in Ha

Particulars At present

Land use at the end

of plan period

Land use during

conceptual period

Area under Mining 0.50# 40.773 88.759

Storage of topsoil 0 0.32 0

Waste dump 0 4.967 6.003

Sub grade stack / Mineral storage 0 7.551 0

Infrastructure Facilities (Site services & utilities, admin. building , Conveyor belt, etc)

0 2.4303 2.4303

Roads 0.598 2.8694 0.950

Railway 0 0 0

Tailing Pond 0 4.923 4.923

Effluent treatment plant 0 0 0

Mineral separation plant (Crushing & screening unit, beneficiation plant) 0 15.6557 12.85

Township area 0 0 0


0 6.4557 6.4557

Sub Total 1.098 85.9451 122.371

Safety zone (ML Boundary, road) 6.755 6.755 6.755

Untouched area (Exploration area converted to mining and allied activities)

131.312 46.4649 10.039*

Grand total 139.165 139.165 139.165

# As indicated in the Geological report of GSI and also noted by IBM at the time of approval of Mining Plan.

*It is proposed to do exploration over 10.039 Ha during plan period. After exploration the area will be

utilized as per the outcome of the result.

** During conceptual period the sub grade iron ore will be kept over the back-filled area.

***The total area required for mineral separation plant (i.e. crushing and screening, beneficiation facility

is 15.6557Ha out of which crushing and screening facility is 4.9057 Ha. This will be utilized in virgin

area during plan period and part of conceptual period. During the 11th

year part of crushing and

screening facility area is required for mining. Hence part of the facility over an area of 2.8057 ha will be

dismantled and placed on the backfilled area. Thus the area of crusher and screening facility remains

the same i.e. 4.9057 ha.

74

5.4 ASSESSMENT OF INFRASTRUCTURE DEMAND (PHYSICAL & SOCIAL)

National Highway No.215 connecting Panikoili on National Highway No.5 with Rourkela

via Keonjhar, Joda, Barbil and Koira passes near the area.

As far as social infrastructure is concerned, this being a developing area & there is a

great demand for it. The proponent will carried out need based assessment of the locals, social

infrastructure demand and is implementing good measured towards the same.

All the future social demands will be complied considering its need after the commencement of

project.

5.5 AMENITIES/FACILITIES

All required amenities / facilities required for the mining activities like site office, rest shelter,

VTC, Canteen etc will be developed at the site. These facilities will be suitable for the proposed

project.

* * * * * * * *

75

CHAPTER – VI

PROPOSED INFRASTRUCTURE

6.1 INDUSTRIAL AREA

The project area does not fall in the notified industrial area.

6.2 RESIDENTIAL AREA (NON PROCESSING AREA)

There are no residential plots within the mine lease area.

6.3 ENVIRONMENT MANAGEMENT PLAN


authorities for preserving as well as improving the environmental conditions in and around the

mining lease area.

The following prevention and control measures will be undertaken during actual course of

mining to ensure that there are no adverse effect on the environment :

Providing Environmental friendly dust collector / extractor system in the drill machine.

The wet drilling arrangement with drill bit grinding will also be provided.

Blasting will be carried out by emulsion explosives which optimize transfer of energy from

explosive to rock. To get the better fragmentation and to avoid fly-rock, ground vibration,

noise, air over-pressure, staggered pattern multi row blasting and row-by-row initiation

with an optimum inter row delay will be adopted.

Non-electric shock tubes will be used to minimize the noise and ground vibration.

Installation of mist gun sprayer arrangement at screening & crushing unit as well as

loading & unloading point for dust suppression.

To suppress the dust on the feeder roads and haul roads pressurized water sprinkler will

be deployed for sprinkling on the haul road.

Water sprinkling will be done on the working faces, screening & crushing plants areas and

the stacking areas by mist gun water sprayers and mobile water tankers.

Frequency of water sprinkling by high pressure pumping facility water tankers may

increase to keep the haul roads wet including both sides of the haul roads, working

surfaces and the stacking dumps to control the dust pollution.

Periodical maintenance of plant & machinery will be done.

STP & ETP for workshop effluent will be provided.

Surface run off from pits and OB dump site if directly discharged into the nearby streams

may cause siltation problem. However, it is proposed construct protective measures like

retaining wall, garland drain settling pond etc in and around the proposed dump and at

strategic point of quarries. Further, it has been proposed to cover the coir mate over part of

the proposed dump and subsequently plantation will be carried out over the coir matting

area. It has been proposed to made surface drainage system around the mine to discharge

the mine water outside the lease. Further, a scientific study regarding rainwater

76

management will be under taken, by an institute of repute after the commencement of

mining operation.

The details of surface run off management structures are as follows:

RETAINING WALL

It has been proposed to construct retaining wall of 2230m around the bottom periphery of

proposed dump, sub-grade dump, back-filled area etc. The retaining wall will be of concrete

structure which will be constructed from 1st year onwards subsequently, maintenance will be

done for betterment.

Location Retaining wall


Dump-1 580 1.0 1.5

Dump - 2 530 1.0 1.5

Sub grade stack 1 350 1.0 1.5

Sub grade stack-2 590 1.0 1.5

Back filled area pit-1 180 1.0 1.5

Sub total 2230 1.0 1.5

Further, there will be embankment and retaining wall for tailing pond. The dimension of

embankment and retaining wall are furnished below:

Details Length(m) width(m) height(m)

Tailings area (retaining wall)

400 3 25

Tailings area (embankment)

300 45 15

200 10 5

Garland drain

Proposal of garland drain of 5430m has been made around dump, around quarry, and tailings

pond. The location of garland drain to be constructed will be as follows:

Location Garland drain


Dump-1 600 2.0 1.0

Dump – 2 530 2.0 1.0

Sub grade stack 1 -- -- --

Sub grade stack-2 -- -- --

Back filled area pit-1 -- -- --

Tailings area 1190 2.0 1.0

Around pit-2 1157 2.0 1.0

Eastern part UPL-2 1693 2.0 1.0

77

Settling pond

Two settling ponds around the dump and two sumps around the quarries (for surface run off

management) are proposed to be constructed during 1st year of plan period. The location and

dimension of settling pond and sumps will be as follows:

Location Settling pond/sumps (2nos and sump-2 no’s)

Length(m) Width(m) Depth(m)

Dump-1 10 8 2

Dump - 2 20 10 3

Sub grade stack 1 -/- -/- -/-

Sub grade stack-2 -/- -/- -/-

Back filled area pit-1 -/- -/- -/-

Tailings area -/- -/- -/-

Around pit-2 30 20 10

Eastern part UPL-2 80 30 10

Water in the rainy season that will be percolated through the waste in the waste dump shall be

drained to the existing garland drain and the retaining wall shall help in arresting movement of

waste materials along with water. The garland drains shall be canalized in such a way that the

water flows to an area which will be on non-ore bearing and a wasteland. Regular cleaning of

the drain shall be done for easy flow of water. Besides the garland drains and the retaining

walls, two settling ponds and two sumps has been envisaged at strategic point at the end of

garland drain, in which water will be accumulated. The dimensions of the settling pond and

sumps have been furnished in the above tables. The sump will be utilized for storing of water

and the stored water will be utilized for dust suppression and plantation purpose.

Backfilling of mined out area to the maximum and reclamation of backfilled area, mined

out benches will be done.

Appropriate Personnel Protective Equipment (PPE) and enclosed AC cabins will be

provided.

6.4 GREEN BELT

Afforestation and Reclamation/Rehabilitation: This area is applied for mining lease and

operation yet to be commenced after lease granted. During plan period, Planning has been

made in such a way that reclamation will be started from 4th year onwards. It will include best

management practices for surface mine reclamation. It will also provide communities with

greater certainty regarding sustainable environmental practices with respect to reclamation of

degraded land. During this plan period it is proposed to undertake pit-1 reclamation

Plantation is proposed about 2.20 Ha within safety zone and dump area during plan

period.

78

Plantation Schedule during ensuing plan period: The proposed plantation schedule is given

hereunder -

Year Location Area

Proposed No. of

saplings Name of the species

1st Safety zone 0.55 1375 Neem, Mango, Chakunda, Sissom

Shrubs etc.

2nd Safety zone 0.37 925 -do-

3rd Safety zone 0.61 1525 -do-

4th Safety zone 0.30 750 -do-

5th Safety zone and proposed dump

0.37 925 -do-

Total 2.20 5500

No plantation will be undertaken during plan period over the back-filled area since concurrent

back-filling will be continued up to 8th year. From 9th year plantation over the back-filled area

can be started.

6.5 SOCIAL INFRASTRUCTURE

Good social infrastructural facility exists in the area. However, these facilities will be suitably

upgraded to meet the proposed mining activity requirements.

6.6 CONNECTIVITY

As mentioned in para 4.1, the area can be approached from Barbil or Koira through NH-215.

National Highway No.215 connecting Panikoili on National Highway No.5 with Rourkela via

Keonjhar, Joda, Barbil and Koira passes near the area. The other important mining centers in

the vicinity are Kalta, Tensa and Barsuan. The nearest rail head is Barbil, located 30km away

on the Tatanagar-Barbil section of the South-Eastern Railway.

6.7 DRINKING WATER MANAGEMENT (SOURCE & SUPPLY OF WATER)

The total water requirement for the integrated project is estimated to be 3230 m3/day , out of

which 430 m3/day for mining & allied activities and 2800 m3/day for beneficiation plant. The

entire water required is and will be sourced from the bore wells. The area falls in the “safe”

category as far as the stage of development is concerned.

6.8 SEWERAGE SYSTEM.

The domestic waste water is being passed through the soak pit.

6.9 INDUSTRIAL WASTE MANAGEMENT

In the mining project no process effluent are generated. However, in the beneficiation

plant the HGMS reject materials will be the final tailing (<45 % Fe) and sent to the tailing

thickener. The thickened underflow of the tailing thickener will be sent to tailing pond in the form

slurry from where the water will be recovered and re-circulated to the plant.

79

A beneficiation plant of 6.7MTPA ( product) capacity will be established from 4th year on

wards during the plan period, as per the material balance, approximately 3.4million tons of iron

ore with average Fe of 61% will be fed to the beneficiation plant for up-gradation. It has been

envisaged that based on the material balance, about 20% of total feed quantity will emerge as

mineral rejects having Fe content less than 45%. The details of year wise generation of mineral

rejects from beneficiation plant will be as shown below:

Year Generation of waste from Beneficiation plant

MT Cum

4th 682281 341141

5th 680812 340406

Total 1363093 681546.5

The waste to be generated from beneficiation plant during the plan period as shown above

will be disposed of at proposed tailings pond and an area of 4.92Ha has been earmarked for the

same. During the conceptual period from 6th year onwards an area of 6.93 Ha of Pit -1 (mineral

exhausted pit) will be used for disposal of tailings.

6.10 SOLID WASTE MANAGEMENT

The details of soild waste generation from the mine, beneficiation plant and its management is

given in para 3.5.1.3, Chapter – III.

6.11 POWER REQUIREMENT & SUPPLY/SOURCE


22165 KVA. The power requirement will be met from the State grid and backup power from DG

Sets.

* * * * * * * *

80

CHAPTER – VII

REHABILITATION & RESETTLEMENT (R&R) PLAN

Establishment of the beneficiation plant and the mining activities will be carried out in the

applied mine lease area of 139.165 Ha only. The applied ML is consists of both forest & non-

forest land. There are no habitations within the lease area. As such there will be no

rehabilitation and resettlement due to this project.

* * * * * * * *

81

CHAPTER – VIII

PROJECT SCHEDULE & COST ESTIMATES

8.1 LIKELY DATE OF START OF CONSTRUCTION & LIKELY DATE OF COMPLETION

The block has been allotted by Govt of Odisha through the auction process for the

purpose of captive use. It is proposed to achieve 7.16 MTPA (ROM) iron ore production in the

5th year after commencement of mining operation, whereas during 1st year it is proposed to

produce 3.90MTPA.

The operation of Beneficiation plant will commence during 4th year of the plan period.

8.2 ESTIMATED PROJECT COST ALONG WITH ANALYSIS IN TERMS OF ECONOMIC

VIABILITY OF THE PROJECT.

CAPITAL COST:

The estimated cost of project is as follows

INR Cr

D. Capital Cost .1588

E. Closure Cost 7.50

F. Margin for Working Capital 109.07

Total : 998.72

Project Cost

D. Capital Cost

Cost of Equipment 604.70

Buildings 10.00

Acquisition of mines 82.25

Statutory Payments 185.20

Sub – total 882.15

E. Closure Cost 7.50

F. Working Capital Margin

Working Capital Margin 9.51

Stores & spares @ 5% 46.73

Contingency @ 5% 32.25

IDC 20.58

Sub-total 109.07

Total

Funding by Debt 699.10

Funding by Equity 299.62

82

Financial Parameters :

Sensitivity Analysis

Impact of Selling Price NPV ( Rs

in Cr) IRR

-50.0% -391 -9.9%

-40.0% -228 1.2%

-30.0% -64 10.0%

-20.0% 99 18.0%

-10.0% 262 25.7%

0% 425 33.1%

10.0% 588 40.6%

20.0% 752 47.9%

30.0% 915 55.3%

40.0% 1078 62.7%

50.0% 1241 70.0%

0 % represent current price of product :

Lump (FOB Paradeep) Rs/t 3881/-

Fines (landed at Dabuna) Rs/t 1953/-

Since this is a captive mine, it will result in supplying quantity and quality of ore

consistently to company’s steel plant and also provides the raw-material security to the same.

83

CHAPTER –IX

ANALYSIS OF PROPOSAL (FINAL RECOMMENDATIONS)

Financial & social benefits with special emphasis on the benefit to the local people

including tribal population, if any, in the area.

The proposed mining & beneficiation plant in the area will be developed locally by way

of employment generation, increase in income generation, creation of infrastructural facility,

marked improvement in the life style and living standards of the entire tribal and scheduled

caste population of the surrounding area.

There will be continued substantial improvement in case of local population in living

standards, receipt of per capita income, cultural patterns, living styles, educational standards,

etc. after expansion also.

The project proponent will carry out extensive beneficiary works, under their CSR

responsibility objectives. There will be continual improvements of the local amenities like roads,

communication, electricity, water supply, educational & recreational facilities, hospitals/

dispensaries, libraries, availability of variety of goods & services and other basic amenities

needed for the local society.

As already mentioned earlier, the project will improve the social and physical

infrastructural patterns of this interior area in its own way resulting in overall improvement of HDI

(Human Development Index). Besides, the Central and State Government will also derive good

financial benefits by way of receipt of taxes, duties and cess.

In view of above aspects of the project, the project can be said to be beneficial to the

local community, the local region, the State and to the entire country on the whole.

* * * * * * * *

84

ANNXURE – I

LETTER OF INTENT FROM GOVERNMENT OF ODISHA

87

ANNXURE – II

JOINT VERIFICATION REPORT

welcome to environment · road. 1.19 closure or diversion of existing transport routes or...

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