PRE-FEASIBILITY REPORT FOR. GURUDA BLOCK MANGANESE MINES Village-Guruda, Tehsil-Barbil, District-Keonjhar, Odisha. M/s Serajjudin & Co.

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1 PRE-FEASIBILITY REPORT FOR GURUDA BLOCK MANGANESE MINES Village-Guruda, Tehsil-Barbil, District-Keonjhar, Odisha M/s Serajjudin & Co.

2 CONTENTS SECTIONS DESCRIPTION PAGE NO. CHAPTER-1 EXECUTIVE SUMMARY 3 CHAPTER-2 INTRODUCTION OF THE PROJECT/ BACKGROUND INFORMATION 5 CHAPTER-3 PROJECT DESCRIPTION 9 CHAPTER-4 SITE ANALYSIS 16 CHAPTER-5 PLANNING BRIEF 19 CHAPTER-6 PROPOSED INFRASTRUCTURE 22 CHAPTER-7 CHAPTER-8 CHAPTER-9 REHABILITATION & RESETTLEMENT (R & R) PLAN PROJECT SCHEDULE & COST ESTIMATES ANALYSIS OF PROPOSAL (FINAL RECOMMENDATIONS) FIGURES Fig. No. 3.1 General Location 10 Fig. No Km Radius Topographical map of the Area 11 Page-2

3 CHAPTER-1 Executive Summary Guruda Block Manganese Mines of M/s Serajuddin & Co. is located in village Guruda, Barbil Tehsil, Keonjhar district of Odisha spread over an area of Ha. The lease was executed on for a period of 20 years which shall expire on Subsequently, the lease period shall be extended up to as per MMDR (Amended) Rule The lease area comprises of Ha. of Ha. of non-forest land and Ha. of forest land. The mine shall be operated by Open Cast Method with deployment of HEMM and categorized under Category A (OTFM). The peak rated production capacity of the mine shall be 1.5 Lakh Ton Per Annum (LTPA) of manganese ore. Mine lease area is bounded by Latitude to North and Longitude to East & belongs to Topo Sheet Number 73 G/5. The ML area is located on a hill terrain sloping towards east and surrounded by rugged hilly tracts both in east and west directions. The narrow valleys have been occupied by few low order ephemeral streams which form part of the Baitarani River system. These streams flow North-- Westerly, Westerly and South-Westerly and are dendritic in nature. As per the exploration survey, total geological reserve is estimated as Lakh Tons & total mineable reserve as Lakh Tons. Therefore, anticipated life of the mine beyond 2020 would be 12 years considering maximum production capacity 1.5 LTPA. As per the scheme of mining, 3,65,075 CuM of Waste will be generated in 5 year and Lakh Ton CuM of waste will be generated in the conceptual period. The average stripping ratio is 1:1.02 ton per CuM of waste. Inclined drilling shall be adopted. Hard materials shall be dislodged by drilling & blasting prior to excavation and loading. With the production target of 1.5 LTPA, the ultimate size of the pits will cover surface area of Ha., out of which Ha. is proposed to be degraded up to first 5 year of working and Ha. is likely to be degraded at the end of life of mines. Page-3

4 About 62 nos. of manpower will be engaged in the mine. 50 KLD of water will be required for drinking, dust suppression & green belt. About 150 Liters of diesel will be consumed per day for activities viz. compressor for drilling, excavators for excavation work, vehicles for transportation and DG set for generating electricity for office requirement. Proposed mining project shall contribute for overall socioeconomic development of the area and it will generate revenue for the Govt. Page-4

5 CHAPTER-2 Introduction of the project/ Background information 2.1 Identification of Project & Project Proponent Guruda Block Manganese Mines of M/s Serajuddin & Co. is located in village Guruda, Barbil Tehsil, Keonjhar district of Odisha spread over an area of Ha. The lease was executed on for a period of 20 years which shall expire on Subsequently, the lease period shall be extended up to as per MMDR (Amended) Rule The lease area comprises of Ha. of Ha. of non-forest land and Ha. of forest land. The mine shall be operated by Open Cast Method with deployment of HEMM and categorized under Category A (OTFM). The peak rated production capacity of the mine shall be 1.5 Lakh Ton Per Annum (LTPA) of manganese ore. Mine lease area is bounded by Latitude to North and Longitude to East & belongs to Topo Sheet Number 73 G/5. Total mineable reserve is estimated as Lakh Tons. Therefore, anticipated life of the mine beyond 2020 would be 12 years considering maximum production capacity 1.5 LTPA. Details about Project Proponent The Lessee M/s Serajuddin & Co. is a partnership firm carrying out business in mining and trading of minerals particularly iron & manganese ore. The name and address of the lessee and all partners are given in following table. Table No.-2.1: Address of the Lessee M/s Serajuddin & Co. 19/A, Abdul Hamid Street, 1st Floor, Kolkata Pin Page-5

6 Table no.-2.2: Name & Address of the Partners S.No Name address 1 Maohammad Mofazzalur Rahman, Joint At/Po-Jhumpura, Ps-Champua, Managing Partner Keonjhar 2 Mrs. Hamida Khatoon, Partner 38,Circus Avenue,Kolkata Mohammed Intekhab Alam,Working Partner At/Po-Jhumpura, Ps-Champua, Keonjhar 4 Mohammed Sarfaraz Alam, Working Partner At/Po-Jhunpura, Ps-Champua, Keonjhar 5 Sarosh Yazdani, Working Partner At-N-4/135, IRC Village, Nayapalli, Bhubaneswer, Khurda 6 Seraj Yusha, Joint Managing Partner At-N-4/135, IRC Village, Nayapalli, Bhubaneswer, Khurda 7 Meraj Yusha, Working Partner At-N-4/135,IRC Village, Nayapalli, Bhubaneswer, Khurda 2.2 Brief Description of Nature of the Project Guruda Block Manganese Mines of M/s Serajuddin & Co. is located in village Guruda, Barbil Tehsil, Keonjhar district of Odisha spread over an area of Ha. The manganese Ore deposit in the area forms a part of the Singhbhum-Keonjhar-Bonai belt, also known as the Jamda-Koira valley and is represented by a narrow NNEly plunging folded synclinorium of 60 Km. long and 25 Km in width. The ML area is located on a hill terrain sloping towards east and surrounded by rugged hilly tracts both in east and west directions and elevation varies from 603 m to 690 m above MSL. The narrow valleys have been occupied by few low order ephemeral streams which form part of the Baitarani River system. These streams flow North--Westerly, Westerly and South-Westerly and are dendritic in nature. The peak rated production capacity of the mine shall be 1.5 Lakh Ton Per Annum (LTPA) of manganese ore. Page-6

7 2.3 Need of the Project and Its Importance to the Country / Region The factors attributing the need for the project are highlighted as follows: The proposed mining project under reference has got its importance because the lease area is a source for Manganese ore (more the 25% Mn). The operation of the mines will give employment opportunity to most of the local people both directly/ indirectly. The growth in their income will naturally be enhanced and improve overall socio-economic scenario of the region. The project will also improve the health and sanitation c onditions of the people, and will help in providing better education to the local community. The continuity of the project shall also generate lots of revenue to the government exchequer. 2.4 Export Possibility Out of total mineable reserve 90% is saleable. The ore to be produced from the mine will be entirely sold in the domestic market and the size / grade specification of the ore depends on the requirement of the customer. The manganese ore produced from the mine would be sent to the different industries like ferro manganese plant & battery industries. Page-7

8 2.5 Demand Supply Gap Due to high demand in the domestic market, there is no possibility of exporting the ore. 2.6 Employment Opportunity (Direct and Indirect Due to the Project) Direct Employment: During operation of the mines, the project is likely to generate substantial employment and income of which significant portion is likely to trickle down to the local people. But many people will be benefited from indirect employment. This will generate substantial income for the local people. Hence it can be said that the project is going to have significant employment and income effects. About 62 persons will be engaged in the mine as direct manpower Indirect Employment: Based on the present day management policy, indirect employment will be much larger than direct one. In the case of indirect employment also, the effect is likely to be quite strong and widespread due to its multiplier effect. Indirect employment may be created in the small scale industries, supplying vendors, contractors, consultancies etc. to cater the needs during operation of the mines. Overall assessment of the employment and income effects indicates that the project has strong positive direct as well as indirect impact on employment and income generation. Page-8

9 CHAPTER 3 PROJECT DESCRIPTION 3.1 Type of Project Including Interlinked and Interdependent Projects The ore to be produced from the mine will be entirely sold in the domestic market to different customers as per their requirement. The manganese ore produced from the mine would be sent to the different industries like ferro manganese plant & battery industries. This project is not interlinked to any particular industries or is not interdependent on any industries. 3.2 General Location: Guruda Block Manganese Mines of M/s Serajuddin & Co. is located in village Guruda, Barbil Tehsil, Keonjhar district of Odisha. Mine lease area is bounded by Latitude to North and Longitude to East & belongs to Topo Sheet Number 73 G/5. The mine is at a distance of 5.4 Km from nearest railway station Jaroli. Joda town is at a distance of 10.2 Km from the mine. State Capital Bhubaneswar is at a distance of 186 Km from the mine. Black topped road passes along N-S direction close to the area connecting Joda township. Page-9

10 Fig-3.1: General Location of the Area Location map showing the 10 km buffer zone around the mine lease is given in following Fig. No.3.2. Page-10

11 Fig. No. 3.2: 10 Km Radius Topographical Map of the Area Page-11

12 3.3 Details of alternate sites considered and the basis of selecting the proposed site No alternate sites were taken into consideration for the mines as the deposits of minerals naturally occur within the surface. 3.4 Size or Magnitude of Operation Guruda Block Manganese Mines of M/s Serajuddin & Co. has been planned for a projected production of manganese 1.5 Lakh Ton/annum. As per the exploration survey, total geological reserve is estimated as Lakh Tons & total mineable reserve as Lakh Tons. Therefore, anticipated life of the mine beyond 2020 would be 12 years considering maximum production capacity 1.5 LTPA. 3.5 Manufacturing Process and Flow Diagram Proposed Method of Development / Working with Design Parameters : The mine shall be operated by Open Cast Method with deployment of HEMM and categorized under Category A (OTFM). Mine has been planned for an ultimate production of 1.50 LTPA. It is proposed to adopt a system of semi-mechanization to work the manganese deposit in the ML area. Mining equipments like jack hammer, air compressor, tractors, dumpers and hydraulic excavators shall be used. The mining is proposed to be carried out through 6m X 6m benching pattern. The excavation and loading of waste rock will be done by deploying hydraulic excavator and a rear dump combination. Sorting, sizing and stocking of ore for dispatch will be done with the help of manual labour. Loading of ROM into dumper will be by using hydraulic excavator. The tippers will have pay-load capacity of 10MT. Page-12

13 3.6 Raw Material required along with estimated quantity, likely source, marketing area of final product/s, Mode of transport of raw material and Finished Product The mineral to be produced from the proposed mine is manganese ore which is a raw material sources for Ferro alloys & Battery companies. The processing of manganese ore (ROM) shall be carried out through manual breaking, sorting, sizing and stacking. The waste materials generated shall be transported to the dumping site by 10 MT capacity dumpers / tippers which will be loaded by hydraulic excavators. Market of Final Products: The ore to be produced from the mine will be entirely sold in the domestic market and the size / grade specification of the ore depends on the requirement of the customer. The manganese ore produced from the mine would be sent to the different industries like ferro manganese plant & battery industries. Grade of manganese ore to be produced from proposed mine is having Mn content more than 25 %. Mostly the ore will be sold in the domestic market and transportation will be carried through road network. 3.7 Resource Optimization/ Recycling and Reuse Envisaged In the Project: By developing the deposit of Manganese ore in the area, the quantity being purchased by the local industries from outside will be reduced to some extent. About 90% of the manganese ore grade remains above +25% and only 10 % is sub grade having Mn grade less than 25%. The subgrade ore (10 to 25%) of Mn. Will be stacked separately in the earmarked area for future utilization as per the market demand. Sub-grade shall be further blended and sold if required by the customers. Page-13

14 3.8 Availability of Water its Source, Energy/ Power Requirement and Source: Water Requirement Water requirement for mining & domestic purposes will be sourced from Ground Water to the tune of 50 KLD (Avg.) and 70 KLD (Peak). Water will be required for drinking, dust suppression & green belt. No water will be required for mining purposes Sources of energy / power and its sources: The total power requirement of the project shall be 1MW and shall be sourced from the Power Distribution Company of Odisha. Approx. 150 Liter HSD shall be required daily for movement of HEMMs for mining activities. 3.9 Generation and Disposal of Wastes [Waste Water and Solid Wastes] & its management Solid Waste Management: The waste produced during the course of extraction of manganese which is intercalated in nature. It is mainly waste in general comprising lateritic soil, ferruginous shale, alluvium etc. The waste generated from the mines shall be dumped in the existing 2 dumps situated in the NW and NE respectively & also be dumped in the proposed new dump in the ML area. The dump shall be built in three steps covering a height of 20 m in total over an area of ha. During 1 st five years. The ultimate dumping area required for the total lease period would be ha. The proposed mining activity is likely to generate Lakh m 3 overburden/ waste during entire life of the mine which includes 3.59 lakh m 3 of existing dump. Out of which 25% of the Page-14

15 quantity of waste material to be utilized for bund and road making and the balance 75% will be utilized for backfilling over the mined out quarry as reclamation. During the conceptual period, the dumps will be rehandled and refilled into the worked out pits. Hence there will be no dumps at the end of conceptual period. 46,613 Ton sub grade ore will be generated in the 5 year scheme period. The sub-grade ore (10 to 25%) of Mn. will be stacked separately in the earmarked area for future utilization as per the market demand. Sub-grade shall be further blended and sold if required by the customers Waste Water Management No waste water will be generated in the proposed mine since water is not required for mining process. There is no proposal for beneficiation process. Hence no tailing waste water will be generated. During monsoon, surface runoff generated from the mine will be routed through garland drains, check dams & settling pits so that the water quality of the surrounding water bodies will not be contaminated. No chemical will be used in the proposed mine, hence chemical contamination is also not possible. Page-15

16 CHAPTER 4 SITE ANALYSIS 4.0 Site Analysis This chapter gives details regarding type of land; land use, topography and site connectivity etc. The details are as follows: 4.1 Connectivity of the Site Guruda Block Manganese Mines of M/s Serajuddin & Co. is located in village Guruda, Barbil Tehsil, Keonjhar district of Odisha. Connectivity of the mine site is given below. Road: Balck topped road passes along N-S direction close to the area connecting Joda township. Railway Station: The mine is at a distance of 5.4 Km from nearest railway station Jaroli. Town: Joda town is at a distance of 10.2 Km from the mine. Airport: Airport at State Capital Bhubaneswar is at a distance of 186 Km from the mine. Forests: Two forests namely Baitarani RF & Siddhamatha RF are located at a distance of 2.5 Km & 6.5 Km respectively in the North direction. River: Baitarani river is at distance of about 7 Km in the east direction. 4.2 Land Form, Land Use and Land Ownership Guruda Block Manganese Mines located at village Guruda, Barbil Tehsil, Keonjhar district of Odisha belongs to M/s Serajuddin & Co. The land area details are given below. Page-16

17 Table-4.1: Land Use pattern Area put on At the end of End SL using at start HEAD scheme conceptual No. of scheme period(ha) period (Ha) (Ha) 1 Area of excavation Storage of top soil Nil Nil Nil 3 Overburden/dump Nil 4 Mineral storage Nil 5 Infrastructure(Workshop/Building) Roads Railways Nil Nil Nil of 8 Safety Zone Effluent treatment plant Nil Nil Nil 10 Mineral Separation plant Nil Nil Nil 11 Magazine Nil Nil Nil 12 Temporary Colony Nil Nil Nil 13 Other (Retaining wall, Check dams) Nil Nil Nil 14 Area utilized Area for future plantation Nil Nil Area which will remain untouched Nil for future exploration TOTAL Existing Infrastructure No Construction works are envisaged for infrastructure like admn building & workshop as because these are already developed over an area of ha and the existing facilities shall cater the need in future. Page-17

18 4.4 Soil Classification The soils in the area are generally of clayey loam types soil. The soils have been classified as Ustocherpts/ Ustorthents/Rhodustalfs/ Haplustalfs/ Haplusterts, as per pedological taxonomy. 4.5 Climatic Data from Secondary Sources The climate of the district is characterised by an oppressively hot summer with high humidity. Summer generally commences in the month of March. Temperature begins to rise rapidly attaining the maximum in the month of May. During the Summer maximum temperature is 38.2 C. The weather becomes more pleasant with the advent of the monsoon in June and remains as such up to the end of October. The temperature in the month of December is lowest i.e C. Sometimes it even drops down to 7 C. The average annual rainfall is mms. 4.6 Social Infrastructure Available Social infrastructure like school, hospital, post office are situated nearer to the lease area. Page-18

19 CHAPTER 5 PLANNING BRIEF 5.1 Planning Concept Guruda Block Manganese Mines of M/s Serajuddin & Co. has been planned for a projected production of manganese 1.5 Lakh Ton/annum. The mine shall be operated by Open Cast Method with deployment of HEMM and categorized under Category A (OTFM). It is proposed to adopt a system of semi-mechanization to work the manganese deposit in the ML area. Mining equipments like jack hammer, air compressor, tractors, dumpers and hydraulic excavators shall be used. The mining is proposed to be carried out through 6m X 6m benching pattern. The excavation and loading of waste rock will be done by deploying hydraulic excavator and a rear dump combination. Sorting, sizing and stocking of ore for dispatch will be done with the help of manual labour. Loading of ROM into dumper will be by using hydraulic excavator. The tippers will have pay-load capacity of 10MT. The ore to be produced from the mine will be entirely sold in the domestic market and the size / grade specification of the ore depends on the requirement of the customer. The manganese ore produced from the mine would be sent to the different industries like ferro manganese plant & battery industries. Mostly the ore will be sold in the domestic market and transportation will be carried through road network. The sub-grade ore (10% of ROM) will be stacked separately in the earmarked area for future utilization as per the market demand. Sub-grade shall be further blended and sold if required by the customers. The roads which will be used for transportation activities will be maintained and developed with avenue plantation on either side of the road. Page-19

20 5.2 Population Projection Village Guruda is the nearest habitation from the mine site. The buffer zone of mine comprises of so many villages out of which some densely populated villages present in the vicinity are mentioned below: Populated Villages: Ganua 1.5 Km (W) Jarhibahal 4.0 Km(NE) Jalhari 6.5 Km (NE) Langalata 5.6 Km (NE) Kalmang 7.0 KM (WSW) Bichhakhundi 8.5 km (N) Khandabandh Camp 5.5 Km(N) Bamebari Camp 3.6 Km (ESE) There are no major human settlements in the close vicinity of the project site. The manpower requirement will be sourced from the local areas to the extent possible. About 62 nos. of manpower will be engaged in the mine. However, population concentration may increase around the project site due to increase in ancillary activities. 5.3 Land Use Planning Existing Land Use of the lease area will be changed due to mining & other allied activities. The mining activity shall create opencast voids as well as external dumps which will results in change in topography and land use classes. However, the dumping area over an area of ha shall retain its original topography due to the backfilling of quarry area. Other than this, the infrastructure and roads developed during the course of mining shall be kept as it for future use by the villagers. Page-20

21 The land use pattern of the mine is already given in Chapter Amenities / Facilities The mining activity envisages the deployment of local laborers. So, it is likely that the general economic condition of the local people will improve. The peripherial development package will also improve their health and sanitation. Apart from introducing eco-friendly mining (Open Cast Method with deployment of HEMM and categorized under Category A (OTFM).) special attention for upliftment of socio economic conditions of the nearby villages by providing following facilities has been proposed. Health and education facilities created in the project shall be extended to villagers also. Adjacent transportation roads will be maintained by the Lessee in consultation with the District Admn Authority. Drinking water facilities, Cultural and recreational centers. Afforestation of the village areas, distribution of seedlings and involving people in such programmers. Providing employment to local people will be the one of the major factors for upliftment of the society. Page-21

22 6.0 Proposed Infrastructure CHAPTER 6 PROPOSED INFRASTRUCTURE The land covered under mining lease is spread over an area of Ha. The ML area comprises of ha of DLC forest and ha of Non forest land. The ML area is mainly hilly. The mining and ancillary activities shall bring some permanent as well as temporary changes in the land use and land cover. The details of land utilization plan is as follows. Table No.6.1: Land Utilization Pattern Sl. No. Particulars Area (Ha) 1. Quarry OB Dump 7.168* 3. Road Infrastructures Mineral storage 1.361* 6. Safety zone & Green Belt Others (Retailing wall etc) Area for future plantation Untouched Total *- During the conceptual period, OB dump will be rehandled and backfilled and there will be no mineral storage area, hence, the original topography shall be restored after the post mine closure. 6.1 Industrial Area (Processing Area) The entire lease hold area of ha falls under the processing area and shall be purely utilized for mining and allied activities. Page-22

23 6.2 Residential Area (Non Processing Area) No residential colony is planned to be set up within the project area. The manpower shall be housed at nearby village and most of the semi-skilled and skilled workers shall be from the nearby region. 6.3 Green Belt As per approved mining plan for arresting dust and creation of green belts around the lease and block plantation will be carried out during the conceptual plan period. A thick green belt shall be provided around the periphery of mine to screen the noise. Plantation has been made over an area of ha. in the safety zone by planting 1728 saplings. It is proposed to take up plantation over ha area during the proposed 5 year scheme period. Details of plantation programme is as follows: Table No.6.1 : Plantation Programme Year No of Saplings Safety Zone& East part of ML area Location Area(in ha) Type of Sampling Neem, Chakunda, Krishnachuda, Cost of Plantation in Rs 4,08, Safety Zone Safety Zone & near Quarry-3 area Safety Zone & near dump-1 Safety Zone Arjun, Debadaru, Teak, Harida, Bahada, Amla, Guava, Mango, Fashi, etc 6,72,000 9,36,000 5,52,000 3,96,000 TOTAL ,64,000 Page-23

24 A total of ha. of land will be utilized during conceptual period for mining. This area will be backfilling and plantation will be carried out on the reclaimed area. 6.4 Social Infrastructure Social infrastructure will be developed as per the need in the Villages at close vicinity of the project with consultation with the gram panchayat. 6.5 Connectivity The mining lease area is well connected with infrastructures like road, rail, towns, airport etc. The details of site connectivity are already described in Chapter Drinking Water Management The drinking water required for the mining and allied activities shall be sourced from the ground water and the tube well located in the nearby village Guruda. 6.7 Sewerage System The domestic waste generated within the ML area shall be discharged to soak pit through septic tank and no waste water shall be discharged outside the ML area. 6.8 Industrial Waste Management The monsoon run off which is one of the major liquid effluent from the ML area during the monsoon shall be routed through long drainage channel and shall be passed through settling tank before being discharged to the nearby water body. Other than this, no effluent shall be generated or discharged outside the ML area. Page-24

25 6.9 Solid Waste Management The proposed mining activity is likely to generate Lakh m 3 overburden/ waste during entire life of the mine which includes 3.59 lakh m 3 of existing dump. Out of which 25% of the quantity of waste material to be utilized for bund and road making and the balance 75% will be utilized for backfilling over the mined out quarry as reclamation Power Requirement & Its Source The total power requirement of the project shall be about 1MW and shall be sourced from Power Distribution Company of Odisha. Page-25

26 CHAPTER - 7 REHABILITATION & RESETTLEMENT (R & R) PLAN 7.0 No rehabilitation and resettlement is required as there are no habitations in the concerned mine site. Page-26

27 CHAPTER - 8 PROJECT SCHEDULE & COST ESTIMATES 8.0 Likely Date of Start of Construction: The mining will be started as early possible after getting statutory approval from SEIAA, Odisha & Ministry of Mines / concerning department. 8.1 Estimated Project Cost: Estimated cost of the project is Rs.100 Crore, including Rs. 15 Lakhs towards provision for expenditure during mine closure. 8.2 Financial Analysis of the Project: Due to the high demand of manganese ore is the present market by the ferro alloys industries, proposed mining project will be economically viable. Page-27

28 CHAPTER 9 ANALYSIS OF PROPOSAL (FINAL RECOMMENDATIONS) 9.1 Financial and social benefits with special emphasis on the benefit to the local people including tribal population, If any, in the area:- Due to proposed mine activities in the M.L area, there will be approximate engagement of 62 persons as direct manpower in the mining & other auxiliary activities. In addition to these, some more persons may be associated with this project to carry out some other developmental jobs as per need-base from time to time. Ancillary income will be generated in the local area due to the proposed project viz. shopping, supply of food items, tailoring, hoteling etc. Medical, transport, communication facilities including the Purchase facilities and cultural activities will be developed in the surrounding area. Moreover, the proposed project will bring socio-economic development of the area. Page-28