Mines Ministry says Nayakkarpatti tungsten block in Tamil Nadu will follow environmental safeguards
On 29 November 2024, the Ministry of Mines said the Nayakkarpatti Tungsten Block in Tamil Nadu, auctioned with Hindustan Zinc Ltd as preferred bidder, will follow all environmental and heritage safeguards.
Summary
On 29 November 2024, the Ministry of Mines said the Nayakkarpatti Tungsten Block in Tamil Nadu would follow environmental safeguards. The block, spread over 20.16 sq km, was put up for auction in February 2024 after inputs from the Tamil Nadu government, and Hindustan Zinc Ltd was declared the preferred bidder on 7 November 2024. It was auctioned as a composite licence block, meaning it is partially explored and the bidder must complete exploration before a mining lease is granted. The Centre auctioned it under Section 11D of the Mines and Minerals (Development and Regulation) Act, 1957, inserted by the MMDR Amendment Act, 2023 (effective 17 August 2023), which empowers the Centre to exclusively auction leases and licences for critical and strategic minerals. The ministry has auctioned 24 such blocks in four tranches. Biodiversity sites are excluded from exploration, and forest and environmental clearances are needed before any lease.
Key facts
- Block
- Nayakkarpatti Tungsten, Tamil Nadu, 20.16 sq km, composite licence
- Preferred bidder
- Hindustan Zinc Ltd, 7 Nov 2024
- Law
- Sec 11D, MMDR Act 1957 (via 2023 Amendment, w.e.f. 17 Aug 2023)
- Auctions so far
- 24 critical/strategic mineral blocks in four tranches
- Safeguards
- Biodiversity sites excluded; forest and environmental clearance before lease
Practice MCQs 2 questions
Which company was declared the preferred bidder for the Nayakkarpatti Tungsten Block in Tamil Nadu on 7 November 2024?
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Correct answer: D — Hindustan Zinc Ltd
PIB (Mines): the block was successfully auctioned with Hindustan Zinc Ltd declared as the preferred bidder on 07.11.2024.
Consider the following statements: 1. Section 11D, inserted in the MMDR Act, 1957 by the 2023 Amendment, empowers the Central Government to exclusively auction mining leases and composite licences for specified critical and strategic minerals. 2. The Nayakkarpatti Tungsten Block was auctioned as a mining lease block that requires no further exploration. Which of the statements given above is/are correct?
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Correct answer: A — 1 only
PIB (Mines): Section 11D empowers the Centre to exclusively auction such leases and licences (1 is correct). The block was auctioned as a composite licence block that is only partially explored, so the bidder must explore first (2 is wrong).