Coal India Wins Gadadharpur Iron Ore Mining Block

The state-run Coal India Ltd has diversified into the iron ore mining sector by emerging as the preferred bidder for the Gadadharpur mining block in the Keonjhar district of Odisha. The company secured the block by quoting a premium of 114.05% over the notified value, granting it access to approximately 258 million tonnes of iron ore resources.

This strategic move allows the company to enter a competitive market historically dominated by NMDC Ltd. The acquisition supports the broader national goal of increasing domestic iron ore production to meet a steel capacity target of 300 million tonnes by 2030.

While integrated steelmakers have expressed caution regarding the high premiums paid during the auction process, analysts believe the company can effectively monetize the resource through commercial mining and direct supply to the domestic industry. Rohit Kumar Lenka, the director of mines and geology for the state of Odisha, formally announced the results of the auction.