The Mines and Minerals (Development and Regulation) Act, 1957 has been amended by the Mines and Minerals (Development and Regulation) Amendment Act, 2023 with effect from 17.08.2023. The Amendment Act, inter alia, inserted section 11D in the Act which empowers the Central Government to exclusively auction mining leases and composite licenses in respect of ‘critical and strategic minerals’ specified in Part D of the First Schedule of the Act.

The Ministry of Mines has successfully conducted auction of 24 blocks of critical and strategic minerals in four tranche still date. The Nayakkarpatti Tungsten Block covering an area of over 20.16 sq. km. was proposed for the auction in the month of February, 2024. Inputs were taken from the Government of Tamil Nadu before the block was put up for auction.

The State Government informed that land schedule details were unavailable. It was also informed that a quarry lease for granite over 47.37 hectares in Aritapatti Village, Melur Taluk, had been granted to TAMIN, a State PSU, on 19th September 2008 for a period of 30 years. Subsequently, TAMIN submitted a surrender proposal for the lease. Additionally, the State Government sent a notification from the Environment, Climate Change, and Forest Department notifying specific survey 379/1, 379/2 of Aritapatti village, and survey no. 137 in Meenakshipuram villages of Madurai District as a Biodiversity Heritage Site. As per the information available, out of the total area of 20.16 sq. km., only 1.93 sq. km within Aritapatti and Meenakshipuram villages has been notified as a Biodiversity Heritage Site.

The block was successfully auctioned with Hindustan Zinc Ltd. being declared as the preferred bidder on 07.11.2024. Since February, 2024 when the block was first put to auction till the declaration of result of auction on 07.11.2024, there was no communication from any quarter including State Government regarding any opposition to the auction. Nor did the State Government request the Central Government to drop the block from auction.

Nayakkarpatti Tungsten block is spread over in an area of 20.16 sq. km. This block has been auctioned as a composite licence block, which means that the block has been partially explored and the successful bidder will have to carry out exploration in the block before mining lease is granted. The mining lease is ultimately granted only for a part of the composite licence block of 20.16 sq. km. where there is sufficient evidence of existence of mineral contents.

For carrying out exploration in any forest area, the guidelines laid down by MoEF&CC are followed. Areas such as Biodiversity site is not included for exploration activities. Further, before a mining lease is granted, necessary forest clearance and environmental clearance are required to be obtained as per norms and any area which is not agreed to by the MoEF&CC is not included in the mining lease area.

The economic development including development of mineral sector has to go hand in hand with the preservation of India’s archaeological, cultural and natural heritage. The norms fixed by MoEF&CC and other agencies in the country are strictly followed to ensure this objective and will also be followed in case of the Nayakkarpatti Tungsten block also.

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