NMDC pays Rs 200 cr advance royalty to Chhattisgarh govt to help fight Covid-19

State-run miner NMDC on Tuesday said it has made an advance royalty payment Rs 200 crore to the Chhattisgarh government to help the state fight coronavirus pandemic.

"NMDC advances Rs 200 cr to Chhattisgarh government towards royalty help in the fight against COVID-19," NMDC Chairman and Managing Director (CMD) N Baijendra Kumar said in a tweet. On Monday, Kumar had also announced that NMDC will be extending a financial assistance of Rs 150 crore towards PM-CARES Fund. As per rules, mining companies pay 15 per cent of the total sale value of the mineral to the government of the state in which they are mining, a company official explained.

In a separate statement, NMDC said "This support offered is unique as only yesterday NMDC contributed Rs 150 crore to the PM-CARES Fund. To top that contribution with another Rs 200 crore as advance royalty puts NMDC as one of the unique corporates who have supported both central and state governments."