___________

Following is an excerpt from a report in Economic Times.

As regards Orissa projects, where 80% of the employees are from the state, we have resolved not to go for any layoff. In fact, we are appointing more and more people in our projects here,” Vedanta Group chairman Anil Agarwal told reporters here on Saturday on the sidelines of his first meeting with Orissa chief minister Naveen Patnaik after the latter swept the just concluded polls.

Mr Agarwal claimed that Vedanta had already invested Rs 25,000 crore of its promised Rs 50,000 crore investment in the state. “The rest will be spent in the next two years”, he assured.

Meanwhile, the VAL had secured Stage I clearance for mining of bauxite in Niyamgiri hills to feed its Lanjigarh project. …

Mr Agarwal also stated that Vedanta had got coal block for its Jharsuguda smelter project and it will soon start coal mining. To a query on the University project, Mr Agarwal said: “We are going to start our university project very soon.”

Mr Agarwal hoped that the state government would soon pass the Vedanta University Bill in the Assembly. “We have already submitted all papers to the state government required for passing of the Vedanta University Bill. I hope it will be passed in the House shortly,” he added.

He informed that Anil Agarwal Foundation – which is setting up a world class university at Puri that includes a 1000-bed hospital – will have its extended centre in Bhubaneswar. “During the meeting, the CM was contemplating if we have can have an extended centre of our hospital project in Bhubaneswar to set up a trauma centre for burn and coma patients. We have in fact agreed for it,” he said.

Following is from a report in Business Standard.

The joint venture (JV) Company formed between the state owned Orissa Mining Corporation (OMC) and Sterlite Industries India Ltd (SIIL) for mining of bauxite in the Niyamagiri hills in Kalahandi district will be incorporated as a Private Limited Company soon.

.. “The draft memorandum of association (MoA) and Articles of Association (AoA) of the new company has been submitted to OMC for approval. The incorporation of the JV company will be completed shortly after the approval”, P K Panda, vice-president (mines), Vedanta Aluminium Ltd.(VAL) told Business Standard.

The process of incorporation of the Joint Venture company named as “South-West Orissa Bauxite Mining Private Ltd.” has been set in motion after the signing of the modified JV agreement between SIIL and OMC in February this year, paving the way for start of bauxite mining in Niyamgiri hills near Lanjigarh.

Meanwhile, the special purpose vehicle (SPV) namely ‘Lanjigarh Scheduled Area Foundation’ has already been formed and SIIL has deposited Rs 20 crore up to 2008-09 with the SPV for overseeing the all-round development in the Lanjigarh area.

Supreme Court in its judgement on 8 August 2008 cleared mining of bauxite in the Niyamgiri hills located in the Kalahandi district by SIIL following affidavits filed by SIIL, OMC and Orissa government accepting the rehabilitation package suggested by it on 23 November 2007.

While the company has deposited Rs 12 crore for tribal development, another Rs 10 crore is proposed to be deposited with the SPV during 2009-10. As part of its plan for the overall development of the area, the company also intends to provide connectivity to all the villages of Dongria Kandh, which are remotely located.

This is in line with the 5-year development plan drawn up for these villages by the Dongria Kandh Development Authority (DKDA).

Regarding the JV agreement of Vedanta Aluminium Limited (VAL) with OMC for getting the raw material linkage, the apex court had stated that since Vedanta Resources Plc is not an indian company, it will not have any objection if the its indian subsidiary (SIIL) is made the JV partner of OMC.All provisions of the supreme court judgement were incorporated in the modified JV agreement signed by OMC and SIIL

It may be noted, VAL, a Sterlite group company, signed the JV agreement with the OMC on 5 October 2004, for developing bauxite mines at the Niyamgiri hill near Lanjigarh in Kalahandi district and the Khambasi hill in the adjoining Rayagada district. The bauxite was to be used for use in its one million tonne alumina refinery at Lanjigarh.

Following is an excerpt from a report in tathya.in.

… Mr.Agarwal impressed upon the Chief Minister that his group is eager to expand the .50 million ton smelter in Jharsuguda to a 1.6 million ton per annum (MTPA). 

Naveen Patnaik, asked the Chief Secretary to look into the matter finalize the expansion program, said sources. 

Mr.Agarwal updated the Chief Minister about the status of Vedanta’s ongoing projects in the state here on 3 January..

The Alumina Project at Lanjigarh, Smelter and Power Projects at Jharsuguda and the University project at Puri is being implemented by the Vedanta group.

On Corporate Social Responsibility (CSR) front, adoption of 400 anganwadis, providing education for 14000 children at Kalahandi are being implemented, briefed Mr.Agarwal.

Mr. Agarwal agreed to extend the coverage to 40000 children and agreed to introduce the Mid Day Meal scheme for 30000 primary and the secondary level school student in the state through Nandi and Sterlite Foundation as the Chief Minister requested him.

He also announced a 100 bedded state-of-the-art multi-speciality hospital at Jharsuguda will provide medical facility to the local people.

Chairman Vedanta group reiterated his earlier commitment to build a 1000 bedded super-specialty hospital at Puri.

It was also informed that the design and the engineering has been completed and construction is to begin soon.

In addition Mr Agarwal put forth his plans of setting up of a downstream Aluminium Park in collaboration with the government to promote as many as 600 small and medium scale industries at Jharsuguda. 

The project will generate large scale employment opportunities and additional economic activities in the region.

Currently the Vedanta Group’s investment commitments are in excess of Rs 50,000 crores, half of which has already been invested in various projects of Orissa.

Vedanta is presently generating a huge number of direct and indirect employment for approximately 25000 people, eighty percent of which belong to the state of Orissa.

After the meeting the CM, Mr Agarwal told reporters that all the ongoing projects of Vedanta would continue as per schedule in spite of the recent global recession.

He also assured that in his personal capacity he would make all possible efforts to complete the Vedanta University Project, a world class University at par with the Havard and Stanford University of U,S.A.

He has already committed personal contribution of Rs 5000 crore towards this project.

Following is an excerpt from a report in the Statesman.

The state government today inked an MoU with RSB Metaltech for setting up of an integrated light metal aluminum complex. The papers were signed by state industries and mines secretary Dr Ashok Dalwai and RSB Metaltech MD Mr SK Behera …

In the first phase, the proposed company, with an investment of around Rs 6,800 crore, will produce about 7 lakh tonnes per of alumina. In the second phase, nearly 1.75 lakh tonnes of aluminium is expected to be produced from the plant. The produced aluminium will be used for production of finer parts in motor vehicles, aerospace, railway and construction industry.

While the mining and refinery units of the project will come up a Rayagada, the smelter unit and power plant are proposed to be set up at Kamakshyanagar in Dhenkanal.

Chief minister Mr Naveen Patnaik said that the project will generate about 11,000 direct and the equal number of indirect jobs. "This project, along with its alumina refinery at Rayagada and Gopalpur port will form an industrial corridor in southern Orissa," Mr Patnaik said adding that the corridor will help fast development, alleviation of poverty and improvement of life of the local people in that region. He suggested that provisions should be made to provide technical education to local youths. "The rehabilitation, resettlement and environment aspect should be taken proper care of," he pointed out.

The Union minister has been requited to expedite and complete the "Therubali-Gunupur railway project to enhance the connectivity in that region," he informed.

I wonder about the progress of the earlier plan of establishing an auto component manufacturing plant near Cuttack by RSB Transmission. (See  http://www.orissalinks.com/orissagrowth/archives/421.)

The following article in Samaja lists the bauxite deposits in Orissa. There is a total of 1.25953 Billion ton of bauxite in Orissa in 13 different locations. They are:

1. Panchapatamali, Koraput – 16 sq km area having 310 million ton
2. Gandhamardan – 230 million ton
3. Bafilamali – 195.73 million ton
4. Kodingamali – 91.4 million ton
5. Sajamali – 86 million ton
6. Sasubohumali – 81 million ton
7. Pattangi -75.12 million ton
8. Kalarapat – 59 million ton
9. Lanjigarh – 53 million ton
10. Krutimali –  40 million ton
11. Karnapathikonda –  17.12 million ton
12. Balada – 12.4 million ton
13. Mali mountain – 9.5 million ton

See http://orissagov.nic.in/e-magazine/Orissareview/dec-2007/engpdf/28-31.pdf for an older article on this.

Following is an excerpt from a report in Pragativadi.

The Supreme Court on Friday cleared the decks for Anil Agarwal promoted Vedanta Resources to mine bauxite from the ecologically fragile Niyamgiri hills for its proposed Rs 4,000-crore alumina project at Lanjigarh in Kalahandi district.

Vedanta had sought clearance for diversion of 660.749 hectare of forest land for mining purposes to feed its alumina plant.

The special forest bench comprising Chief Justice K G Balakrishnan, Justices Arijit Pasayat and SH Kapadia allowed Sterlite to go ahead with bauxite mining.

The application of Vedanta is allowed, the Supreme Court bench said in a statement. 

However, it asked the ministry of environment and forest to proceed in accordance with law.

… Vedanta wants to dig open-cast mines in the Niyamgiri hills located in Kalahandi district near its project area. 

Vedanta promoted Sterlite Industries had sought clearance for diversion of 660.749 hectares of forest land for mining purposes to provide required raw material for its plant.

Following is an excerpt from a report in the Statesman.

Vedanta Aluminium Ltd (VAL) offers the best rehabilitation package in the state, claimed company sources here recently. The company aims to reduce the impact of its activities on the environment, wherever feasible. The majority of the sites are certified by the international environmental management systems standard ISO 14001. This includes the requirement that environmental impacts are identified. There are ongoing programmes for improvement across key impact areas, they said.

Responding to the critics of its bauxite mining project at Kalahandi, Vedanta officials said that all 120 families that were displaced for the project have got pucca houses with round-the-clock electricity and water supply. Besides one youth from each displaced family has been trained and given a job in the refinery, adding that a total of 2,500 local people have found employment in the refinery project till date. “While about 2000 people had got direct employment at the refinery in Lanjigarh, over 2000 others were getting indirect income generating opportunities,” company sources said.

Vedanta has also started the ‘Sasya Silpa Abhijan’ an initiative of vegetable cultivation, run in collaboration with the Asian Institute of Sustainable Development to give a boost to agriculture in the area. “On an area of 550 acres of land, nearly 500 farmers are participating in the project as partners,” said a senior official. “Although we bear the expenses for irrigation through a diesel pump set by us, yet the training and support provided by Vedanta through this programme has helped us a lot,” said Mr Dinanath Pangi, a farmer.

Vedanta also offers various self-employment schemes for residents of the villages nearby and especially for the womenfolk. Women self-help-groups have been started under public-private partnership in collaboration with the district health department on the Swastha Parivar project. In a bid to widen its corporate social responsibility, the Vedanta group has also adopted 400 Anganwadi centres in Kalahandi district and will look after more than 40,000 children in some of the state’s most backward areas.

“Vedanta has signed an MoU with the state government and the Sterlite Foundation for the adoptions,” said Vedanta group spokesman Mr CV Krishnan. “As a part of the arrangement, every pre-school child aged between three and six years will be provided a cooked meal of 300 calories at noon. The company will also look after the health of the children through regular check ups and medicines,” he added.

He further said that the company is also undertaking the beautification of the Anganwadis by erecting green boundaries, whitewashing buildings and providing see-saws and slides for the children. Furthermore incentives are being provided to Anganwadi workers. While Anganwadi workers receive Rs 250 per month, each helper is given Rs 150 extra by the company. “The same exercise will also be replicated in Jharsuguda,” Mr Krishnan said. The total expenditure on child welfare activities in the two districts will be over Rs 15 crore, company officials revealed In order to ensure that everything goes as per plan, the process will be reviewed by a committee headed by the district collector, the local MLA and the chairman of panchayat samity, they said.

Mr Krishnan said that Vedanta further aims to improve the electricity network, construct roads and develop better educational and healthcare facilities.

Following is excerpted from a report in Pragativadi.

According to a preliminary estimation made by the Directorate of Geology, nearly 8 million tonnes (MT) of bauxite was reserved at Ushabali plateau in Kandhmal district. Estimation regarding bauxite reserve in Kandhamal district is preliminary. The volume of reserve could be more, an official said, adding survey work would be extended to nearby areas this year.

The Orissa Mining Corporation (OMC) recently reviewed the mineral survey activities taken up the Directorate of Geology to find new reserve, particularly iron ore, which was in demand as the state had signed MoU for setting up of at least 46 steel plants.

The Directorate had completed survey of Hirapur area in Nabarangpur district for iron ore deposits and had also undertaken fresh surveys in Joda, Badbil in Keonjhar and Daitari in Jajpur.

Though the directorate had completed iron ore survey work by using drilling method at Tensa area of Sundargarh district, the findings were under study, sources said.

Similarly, the survey had also concluded that small diamond reserve could be traced at Dharamabandha and Nangalbod area of Nuapada district where the precious metal was found along with stones.

Following is an excerpt from a report in Business Standard.

Aditya Birla Group, one of the largest business houses of the country having interests in sectors like aluminium, telecom, cement, textiles, fertiliser, mining, retail, finance and insurance plans to invest about Rs 75,000 – 80,000 crore in Orissa.

The proposed amount will be invested in sectors like aluminium,cement, telecom and retail sectors in the state over next few years.

… Birla, who was here to discuss some project related issues with the Orissa Chief Minister Naveen Patnaik said, the company also intends to launch its retail business in Orissa as part of its national roll out plan. It will be launched within the next 6 months.

… Stating that the projects are proceeding well, he said, the company is committed to a lot of social work like setting up ITIs and health centres at the project sites.

… Regarding the resistance of the local people to the alumina refinery project Utkal Alumina at Raygada, the group chairman said, a lot of projects are facing the same problem. The company has sought the state government’s intervention in resolving the issue.

He said, ABG took over the company four years ago from Alcan Inc and the company has complied with the rehabilitation and resettlemnet (R& R) package given to it. He, however, was non-commital about any additional package for the project affected people.

" We can not commit on the new package. As long as there is reasonable settlement we will be happy", he pointed out.

Regarding the possibility of investing in the port sector of the state, Birla said, the company is persuing the matter with the Orissa government and is expecting a positive outcome.

It may be noted, Essel Mining, a group company of the ABG had earlier proposed the state government to set up a port at Chudamani. However, the state government had not accepted its proposal.

The major projects of the group in Orissa include Utkal Alumina refinery at Raygada, Hindalco’s alumina smelter and power plant at Sambalpur and 3.5 million tonne per annum cement plant in Sundergarh district.

Following is from a report in Pioneer (Note: It may be in response to http://www.orissalinks.com/?p=1134.):

National Aluminium Company (Nalco) has so far spent more than Rs 100 crore towards various social sector development activities. Creation of infrastructure in the surrounding villages for communication, education, healthcare and drinking water gets priority in the periphery development plans of the company.

Nalco sources said community participation in innovative farming, pisciulture, social forestry and sanitation programmes apart, encouragement to sports, art, culture and literature are all a part of Nalco’s involvement with the life of the community. Successful operations of the company have led to employment and income generation for the local people in many significant ways.

These apart, during natural calamities, Nalco has been donating to the Chief Minister’s Relief Fund and Prime Minister’s National Relief Fund. Soon after Super Cyclone in Orissa in 1999, Nalco created 197 primary school-cum-cyclone shelters in the coastal districts. Besides, illuminating Lord Lingaraj Temple, Nalco has set up Mahatma Gandhi Park and Biju Patnaik Park in Bhubaneswar and Gandhi Ghat Park at Puri. The company has also committed Rs 2 crore for renovation of Ananda Bazar in the premises of the Jagannath Temple.

"In education, our focus is on primary education, for which we have been extending financial assistance in remote tribals-dominated places of Orissa. But, despite our best of intentions, it is not possible to fund all such projects. As a result, at times, some aggrieved persons do turn to media to tarnish the image of Nalco," a senior officer of the company remarked.

As for the rehabilitation of the 635 families displaced due to the Nalco project in the Damanjodi and Angul sectors, the company sources said employment has been provided to 629 nominees. The nomination status of balance six families has been taken up at appropriate level. Besides, 1,530 families were substantially affected (parting with one-third or more of their lands) in Angul. Even from these, jobs have been provided to 1,160 persons. Nalco has also been sponsoring ITI training to such persons, with 543 having been technically trained so far.

Nalco CMD CR Pradhan said, "As a corporate policy, Nalco has been allocating 1 per cent of its net profit of the year for social sector activities in the succeeding year. During the 2006-07 fiscal, Nalco made a net profit of Rs 2,381 crore and, accordingly, for the 2007-08, the company allotted Rs 23.81 crore for various developmental activities. "Today, in any investment plans in Orissa, the interested companies are cited Nalco’s role as a responsible corporate citizen."

Following is an excerpt from a report in sify.com.

An environment regulatory committee set up by the Supreme Court has recommended a stringent mechanism for granting mining lease to Sterlite Industries, the parent company of the London-based Vedanta Alumina Ltd, to mine bauxite from the eco-sensitive Niyamgiri hill area for its proposed Rs 4,000 crore aluminium project in Orissa.

As against the plea by the Sterlite India, the Central Empowered Committee suggested that the majority 51% share in the special purpose vehicle — ‘Lanjigarh Scheduled Area Development Foundation’ — should be with the Orissa government and 24.5% each should be with the Orissa Mining Corporation (OMC) and Sterlite.

The Sterlite had suggested that its own share should be 49%, while the Orissa government and OMC should hold 26% and 25%, respectively.

A bench of chief justice K G Balakrishnan, justices Arijit Pasayat and H S Kapadia directed Sterlite and the Orissa government to file affidavits on the formation and constitution of the special purpose vehicle.

…
Sterlite has sought direction from the court to accord clearance of the forest diversion proposal submitted by Orissa Mining Corporation for diversion of 660.749 hectare of forest land to undertake bauxite mining on Niyamgiri Hills in Lanjigarh for its Rs 4,500 crore Alumina plant in Orissa.

Sterlite has agreed to give 5% of the annual profits before tax and interest from the Lanjigarh project, consisting of bauxite mining and alumina refinery, or Rs 10 crore per year, whichever is higher, to the Foundation every year from April 1, 2007.

Sterlite also said it would make a payment of the net present value (NPV) of Rs 55 crore and Rs 50.3 crore towards wildlife management plan for conservation and management of wildlife around the Lanjigarh mine and Rs 12.2 crore towards development for the tribal people.

The committee said there has to be a balance between conservation and development. “The balance between these two would thus lie in permitting conservation not merely for private profit but in a manner that maximises the public interest component in the activity,’’ it said. …

Following is an excerpt from http://www.hemscott.com/news/latest-news/item.do?newsId=53878217759003. 

… India’s Supreme Court set new conditions for the project.

Vedanta’s battle to mine bauxite to feed the refinery in forests considered sacred by indigenous people has been seen as a test case in India, pitting industrial development against the interests of local inhabitants and the environment.

The Supreme Court refused to let the project in the eastern state of Orissa go ahead in its present form on the grounds that it could affect ‘sustainable development’ and asked Vedanta to come back with a new plan.

The court said Vedanta would have to give money for forest destruction, wildlife management and tribal development totalling around 180 mln usd.

Other conditions would include handing over 5 pct of pretax profits annually from its mining projects across India to the Orissa government.

Vedanta would also have to set up a ‘special purpose vehicle’ to ensure that environmental regulations were met, the court said.

Vedanta must file an interim application within eight weeks saying if it agreed to the conditions and the Supreme Court would reconsider the project, the court bench ruled.

Vedanta has been fighting for three years to obtain clearance for open cast mining of vast deposits of bauxite in the densely forested Niyamgiri hills to feed the 900 mln usd alumina refinery it has built nearby.

There was no immediate comment from Vedanta on the court ruling but it has in the past denied any wrongdoing and argued its projects would be welcomed by residents of the desperately poor region.

Following is an excerpt from Pioneer that gives the first reaction from Vedanta officials in Orissa on the supreme court judgment.

Reacting to the judgment, vice-president of Vedanta Alumina Ltd AK Samal said the Supreme Court had reiterated its emphasis on sustainable development but has no objections in principle to mining at Niyamgiri. However, the court has stipulated certain conditions to be complied by the project proponent.

He said the apex court had desired that Sterlite Industries, the flagship company of Vedanta Resources PLC in India, duly enlisted on the Indian Stock Market be a part of the Special Project Vehicle (SPV) for mining at Niyamgiri and Scheduled area development at Lajigarh, where the company’s alumina refinery is located. "We will take all steps to immediately abide by the directions and conditions set out by the SC," he said, adding that the company was still waiting for a copy of the judgment.

Samal said his company was committed to the cause of the social uplift through reasonable industrialisation.

…. Secretary of the Orissa Wildlife Society Biswajit Mohanty, who had filed the petition against the Centre’s decision to allow Vedanta to set up its aluminum refinery and undertake mining activities, said the SC had taken note of their concern. On behalf of the Lok Abhiyan, noted activist Prafulla Samantray had also filed a petition before the Central Empowered Committee (CEC) of the SC.

The social activists filed the petition alleging that if Vedanta was allowed to undertake mining activities, the whole biosphere of Niyamgiri would be affected. The two major rivers, Bansadhara and Nagabali, which originate from the hill, would disappear. Thus it would affect the whole tribal population of the southern parts of the State, they argued.

Taking note of the serious allegation, the CEC had sent a two-member expert team (SK Chadda and SC Shrama) to make a spot inquiry. The team visited Niyamgiri in December 2004. It submitted its report in January 2005. Later, the CEC started the hearing of the petitions. The CEC visited Lanjigarh, where the plant is coming up. It submitted its report to the SC in September 2005, reportedly suggesting that Vedanta should not be allowed to take up mining activities.

The Ministry of Environment and Forests (MoEF) granted environmental clearance for the project on September 22, 2004, and in its letter clearly specified that the source of bauxite for the refinery would be the Niyamgiri mine near Lanjigarh. This led to a furore among environmentalists, who argued that as it came under the Schedule V area of the Constitution, the environment clearance granted by MoEF and forest clearance should be reviewed.

Following are excerpts from a report on this in Business Standard.

National Aluminium Company (Nalco), the largest producer and exporter of aluminium in the country, plans to set up an aluminium park at Angul to boost consumption of the metal within the state.

Most of the aluminium produced by the public sector blue chip company, at present, is either exported or sold outside the state for further value addition. Out of the average 30,000 tonnes of aluminium produced per month by Nalco’s smelter at Angul, 28,000 tonnes are dispatched outside the state, with only 2,000 tonnes being consumed in the state.

The proposed aluminium park is expected to increase the metal consumption within the state to at least 20,000 tonnes per month, says CR Pradhan, chairman and managing director of Nalco.

He said both national and international aluminium players would be invited to set up downstream units in the proposed park to facilitate more metal sales within the state. Nalco has approached the Industrial Infrastructure Development Corporation of Orissa (IIDCO) to acquire about 1,000 acres to be handed over to it for the purpose.

Meanwhile, Nalco’s plan to set up a second smelter plant along with a captive power plant in Orissa depends on the company being allotted additional bauxite mines and coal block for the project. …

Allaying all apprehensions regarding delay in the ongoing expansion project of Nalco, both at Angul and Damanjodi facilities, he said they would be completed within stipulated time.

Update: Livemint has a more succinct report.

The court suggested that VAL’s holding company, Sterlite Industries (India) Ltd, file an affidavit with three undertakings:

• commit to pay Rs50 crore as a security deposit to the court;
• agree to pay 5% of the net profit accruing from all its mining activities or Rs10 crore, whichever was greater, towards tribal development and environmental safeguards; and
• present a report on employment opportunities that the project would generate.

Following is an excerpt from a Reuter’s report on this.

The Supreme Court set new conditions on Britain’s Vedanta Resources Plc and its Indian unit on Friday before allowing it to mine bauxite in sacred, forested hills in the east of the country.

Vedanta wants to dig open-cast mines in the Niyamgiri hills in Orissa to feed an alumina refinery it has already built in the area, as part of an $800 million project expected initially to produce 1 million tonnes of alumina per year.

At an earlier hearing, Vedanta had promised to invest 1.12 billion rupees ($28.4 million) to develop the poor region, but a three-judge bench said it wanted this commitment to be made by the firm’s Indian unit, Sterlite Industries Ltd.

“What is Vedanta?,” the bench said. “Vedanta is not listed in India. So let Sterlite give an undertaking.”

Thousands of tribal people say the mine will destroy hills they consider sacred, force them from their homes and destroy their livelihoods, which are based on farming millet, hunting and collecting fruits and spices from the forests.

Environmentalists say the open-cast mine would also wreck the rich biodiversity of the remote hills and disrupt key water sources that supply springs and streams in the area and feed two rivers that irrigate large areas of farmland.

The court asked Sterlite to pay five percent of its annual profits from mining throughout India to the state government to be ploughed into developing the region.

It also asked the company to deposit 500 million rupees ($12.7 million) with the state government, and specify how many local people would be employed in the project.

When Sterlite objected to the conditions, the court adjourned the case until the company made a formal response.

The state and central government both back the plan, as part of efforts to industrialise and exploit the mineral resources of underdeveloped eastern India.

The Environment Ministry told the Supreme Court earlier this month that the mining would only affect a marginal amount of forest land.

It also promised “special efforts” would be made to manage and conserve wildlife in the area, which is part of an elephant corridor, shelters leopards and is the only known home in Orissa of the rare golden gecko.

If the state government and central government back this plan then they should require this from all mining companies in India not just Sterlite. It would be an excellent move.

Following is an excerpt from Deepika Global’s report on this.

(UNI) The National Aluminium Company Ltd (NALCO), …, has achieved a net profit of Rs 446.66 crore for the first quarter ended June 2007.

According to the unaudited financial results for the 3-month period of the financial year 2007-08 taken on record in the Board of Directors meeting held in New Delhi today, the company achieved a net profit of Rs 446.66 crore, with a sales turnover of Rs.1287.12 crore.

However, during the first quarter of previous fiscal, the figures were up at Rs 622.30 crore and Rs 1620.82 crore respectively.

The company also achieved higher alumina production of 3,87,800 tonne compared to 3,58,100 tonne in the first quarter of the previous year.

Equitybulls.com reports on this. Following are some excerpts.

Hindustan Dorr Oliver Ltd has announced that the Company has got an order from Vedanta Alumina Ltd valuing Rs 300 millions for Complete In-plant water circulation and distribution piping system and compressed air piping with accessories for their 5 million ton per annum Aluminium Smelter Plant at Jharsuguda, Orissa. Execution of the said project shall be completed by December, 2007.

The Company is already working alongwith its Chinese partner Chaileco in the above Jharsuguda refinery for a Fume Extraction Plant valuing Rs 2100 million.

Business Standard reports on this. Following are some excerpts.

Canadian metal giant Alcan today announced an agreement to sell its 45 per cent stake in Utkal Alumina to the Aditya Birla group’s Hindalco Industries for an undisclosed sum.

The Utkal joint venture was established in 1992 between the Birlas and Alcan, with the Birlas owning the remaining 55 per cent of the equity. The venture involved the development of a new bauxite mine and alumina refinery in Orissa. …

“Alcan will have no surviving rights or obligations as Hindalco becomes the 100 per cent owner of the Utkal project,” it said. The Indian company expects the deal to be closed in the next 30 days. …

The project has been marred by controversy, with local residents opposing its construction on the plea that it will displace three villages and at least 200 families. Local critics have estimated that as many as 22,000 people could be affected. In December 2000, there was a clash between villagers and police in Maikanch over land acquisition. Three tribals were killed in the police firing that followed. Utkal was initially established as a joint venture between Hindalco, Alcan and Hydro Norsk. The shareholding was shared between Indal, now a part of Hindalco at 20 per cent; Alcan at 35 per cent and Norsk Hydro with 45 per cent. Norsk Hydro later sold its stake to the other two partners.

Livemint reports on NALCO’s expansion plan. Following are excerpts from that report.

State-run aluminium producer, Nalco, will tap the overseas market to raise $250-million by August-end for its ambitious capacity expansion plan.

Nalco is undertaking a major expansion, including ramping up of its alumina capacity at the cost of Rs 5,040 crore. …

In between, Nalco has placed orders on foreign equipment suppliers for its expansion project and the deliveries are due in 2008.

The project involves expansion of capacity of its bauxite mine, alumina refinery, captive power plant and aluminium smelter by about 33%, he said.

Under the expansion, the capacity of bauxite mine in Koraput district of Orissa would be increased from 4.8 million MT a year to 6.3 million MT.

The alumina capacity would go up to 2.1 million MT annually from the present 1.58 million MT, he said. Besides, the capacity at the captive power plant at Angul in Orissa would be ramped up to 1,200MW, he added.

The PSU also plans to enhance its aluminium smelting capacity from 345,000 MT to 460,000 MT per annum.

In the medium-term, after the completion of the expansion project by 2008-end, a growth of 30% is targeted, the official added.

Various news reports mention that BHP Biliton’s proposal has been rejected by the Orissa government as it did not have an appropriate value addition component. Following are excerpts from the Financial Express report.

The Orissa government has rejected BHP Billiton’s proposal to set up a 3-million tonne alumina refinery special economic zone (SEZ) in Gopalpur with an investemnt of $3.3 billion (Rs 14,000 crore). …

The government reportedly refused to accept the offer on the ground that the project did not have any proposal for aluminium smelter. The state government, which is insisting on value addition to at least 50% of the alumina in the state as part of its bauxite mineral policy, has asked the company to submit a fresh proposal with facilities for production of aluminium.

BHP Billiton has sought bauxite mines with proven reserve of 300 million tonne and 5500 acre in Gopalpur for the project.