Cement Energy and Environment

. ' mining and metal sectors and global understanding is required to achieve sustainable development in the mining industry said the speakers. Industry should be encouraged to adopt scientific mining, water stewardship, renewable energy etc. mitigating environmental impacts and proper restoration of closed mine sites , they said. Mining has to grow in order to contribute to India's GOP and become a driver of socio-economic upliftment. Mr H Noor Ahmed, President FIMI , Mr T V Narendran, MD, Tata Steel, Mr Deepak Kumar Sinha, IG Forest, MoEf, Mr Sanjay Pattnaik, Vice President, FIMI addressed the inaugural session. Mr Narendran felt that the big players were largely adhering to sustainable mining practices and scientific mining. The small players need to be encouraged by the government to do the same. He spoke on the need to ensure that the cost of business is competitive to attract investment. To translate the riches below the earth to uplift the poor living above it in mineral based states like Jharkhand, Odisha, Chhattisgarh one needs to give importance to the mining industry, he observed. Mr Sinha, said mining cannot not be done without removing forest cover, hence it all the more important to use appropriate technology to reduce environmental degradation. The processes have been eased of the mined area. It will not do just pay for compensatory afforestation etc. and feel that the job is done, Mr Sinha said a recent review had shown that in most cases restoration work on closed mines is not done seriously by the mine owners. The reclamation plan was not executed properly, he noted. Talking to reporters, Sinha said the auction of mines process is delayed largely due to incomplete forms provided by states and gaps in data etc. Courtesy: FIMI News Bulletin. Volume XLIX, 01.06.2016, Pg. No. 10, From Internet NEW MINING LAW TO SPUR CEMENT STEEL M&AS The Rajya Sabha on Monday approved an enabling legislation to make it easier for mergers and acquisitions (M&A) of steel and cement companies reeling in the aftermath of the collapse in global commodity prices. The legislation will also help alleviate a bad– loan crisis afflicting commercial banks, many of which have heavy exposure to steel and cement companies. Since Lok Sabha has already approved the proposed law, The Mines and Minerals (Development and Regulation) (Amendment) Bill, 2016, is just one step away from becoming a law– it nowonly requires the President's signature. The legislation will facilitate UltraTech Cement Ltd's deal with Jaiprakash Associates Ltd to acquire its 21 .20 million-tonne cement capacity for Rs.15,900 crore. Once the Bill is signed into law, there will be no bar on the transfer of mining leases. In February, LafargeHolcim called off its deal with Birla Corp. Ltd to sell its 5.15 million-tonne cement assets in east India, citing the MMDR rules that did not allow the company to transfer mining rights. The companies acquiring the cement units will now have raw material security as they can access limestone mines belonging to the acquisition targets. In cases where the companies have mortgaged these licences, the lenders will be able to transfer the licence to a potential buyer, which will help creditors to recover some of their dues. "The amendment enables transfer of captive mines on a basis similar to that allowed for mines that are won through an auction. This eliminates uncertainty that held up mergers and acquisitions of resource-based companies earlier, and permits distressed metal and cement producers to sell their production units along with the mines," said Kameswara Rao, leader of the energy, utilities and mining practice at PricewaterhouseCoopers India. consultancy According to Debasish Mishra, senior director, Deloitte Touche Tohmatsu India Lip, the metals and minerals sector accounts for a majority of the non-performing assets in the banking sector. "Lenders will benefit from the amendments proposed in the MMDR Amendment Bill as assets will shift from the books of stressed groups to better-off balance sheets . The change will also help mergers and acquisitions in the metals and minerals industry where assets are stressed," said Mishra. 69