10 of 29 mines execute supplementary lease deeds with Odisha

At least 10 mining companies today signed the supplementary lease deeds in Sundergarh district.
"At least 10 mines lease holders of Koida circle executed the supplementary lease deeds with the government," Sundergarh district collector-cum district magistrate Bhupindrasingh Poonia told reporters.
According to the director of mines, Deepak Mohanty, some more mining companies operating in the Joda circle of Keonjhar district would execute lease deeds tomorrow.
The state government had recently sent letters to 29 mines, 21 merchant miners and 8 captive mines, to resume operation in their closed mines after entering into fresh agreement.
However, the mines lease holders were reluctant in executing the supplementary lease deeds citing excess stamp duty on them. As per the rules, the mines companies will have to pay seven per cent of the average value of their mining (mineral excavation) plan as stamp duty.

The state government had amended its Stamp Duty Act in 2013, empowering it to collect the duty from mines which did not have a proper lease deed but were operating as per provisional clearance called 'deemed extension'. Since the deemed extension clause has been removed in the new Mines and Minerals- Development & Regulation (MMDR) Act, the state government has to collect dues from extended lease deeds.
All these 29 mines were closed in view of the Supreme Court judgement as their second and subsequent renewal applications had not been accpeted by the government.
The state government had extended the lease period of 29 iron ore, manganese, limestone and dolomite mines as per the provision of the MMDR (Amendment) Act, 2015, steel and mines minister Prafulla Kumar Mallick said.