Tata Steel is awaiting approval from the High Court of Jharkhand to resume operations at its Noamundi iron ore mine. This follows the region’s government agreement last week to renew Tata’s mining licence, Kallanish learns from the Indian steelmaker.

The Jharkhand government issued in September a stop mining order for Noamundi following a request from authorities to clamp down on mines operating under second or third renewals. This came despite Tata submitting for a mining lease renewal well ahead of the deadline. The mine provides the company with around 5 million tonnes/year, or over 30%, of its iron ore requirement.

In Odisha, meanwhile, the state government issued in May express orders for Tata’s Joda East Iron Mine, Katamati, Bamebari and Joda West Mines. All are currently in operation and procedures for the lease renewals are underway.

However, express orders are still pending for the firm’s Sukinda Chromite Mine and Khondbond Iron Mine in Odisha. Consequently, the mining operations and expansion of mining capacity at Khondbond have been suspended since May. The suspension of mining at Sukinda, moreover, has meant the continued stoppage since August at Tata’s Bamnipal ferroalloys plant and TS Alloys subsidiary.

“We continue to engage with the state governments and the Ministry of Mines on these issues,” Tata Steel says. “We’ve been implementing various mitigation plans to minimise the impact on our steel operations. However, if these issues are not resolved shortly, the company will face cost pressures.”

Steel deliveries at Tata’s Indian operations increased 3% year-on-year in the second fiscal quarter through September to 2.11 million tonnes, while crude steel output was 2.27mt.