No one can snatch Chiria from us: SAIL

Steel Authority of India (SAIL) is confident that it would soon get to mine iron ore from Chiria reserves in Jharkhand, although other steel majors like ArcelorMittal and Tata Steel are eying a share in it.

"We are hopeful that Chiria mines cannot be snatched from SAIL," S K Roongta, who retired as SAIL chairman last evening, told PTI.

Last year, the firm had got assurance from Jharkhand government for renewal of mining leases over about half of the two billion-tonnes iron ore deposits in the Chiria and Gua region of the state.

Eying share of the remaining part the high-grade mineral from the region, ArcelorMittal had earlier said that it is also in talks with the state government to secure iron ore from the deposits. Besides, ArcelorMittal, Tata Steel and JSW Steel have also been looking to get share in Chiria mines.

The Chiria mines have been at the centre of a ownership battle for nearly five years. The mines were originally allotted to Indian Iron and Steel Company, which was merged with SAIL in 2005.

While SAIL claims the ownership of the Chiria reserves by virtue of the merger, the Jharkhand government disputes it.

The differences pertain mainly to the renewal of 4 leases -- out of 10 iron ore mines -- in the Chiria and Gua region.

SAIL, which aims to take up its annual production capacity to 60 million tonnes by 2020, wanted mining rights for Chiria mines to meet its growing iron ore requirement.