Successful allotment of Graphite Block in Chhattisgarh through E-Auction

• 03 Apr 2023

Why in News?

According to the information provided by the Chhattisgarh Public Relations Department on 31 March 2023, the Kenapara graphite block located in the Balrampur district was successfully allotted as a composite license through e-auction by the Chhattisgarh Mineral Resources Department. The said block was explored by GSI at the G-4 level.

Key Points

• The highest bid (final price offer) of 111.00 per cent was placed by the M/s Maa Kudargarhi Steels Pvt. Ltd. for allotment in the form of composite license through e-auction of Kenapara Graphite Block by Chhattisgarh Mineral Resources Department
• A total of 670 bids were placed in the e-auction conducted on 29 March 2023 in the MSTC portal under the direction of Director, Land and Mining Jayaprakash Maurya, in which the highest bid of 111.00 percent was placed by M/s Maa Kudargadi Steels Pvt. Ltd.
• It may be noted that for the first time, the e-auction of graphite blocks has been successfully done by the state. Prior to this, only Odisha and Madhya Pradesh allocated graphite blocks through e-auction in the country.
• Graphite is an important mineral for manufacturing refractories, batteries, lubricants, and crucibles. Presently it has major mines in Odisha and Jharkhand only.
• Joint Director and InCharge Auction Anurag Dewan said that allocation of mines through the e-auction method is a very important system for the purpose of transparency and revenue sharing to the state government.
• So far, a total of 28 mineral blocks of limestone, bauxite, iron ore, gold metal and nickel, chromium and PGE and graphite have been successfully allocated by the Chhattisgarh Mineral Department, which will generate royalty, DMF, environmental and financial resources in the coming years and In addition to the infrastructure cess, the state government will get an additional income of about 81 thousand crores.