Govt. allows inclusion of quartzite in limestone mining lease held by Ramco in Nandyal district

The Andhra Pradesh Government has permitted the inclusion of quartzite mineral in the existing limestone mining lease held by M/s Ramco Cements Limited in Nandyal district, fixing the seigniorage fee at ₹160 per MT for industrial use.

According to G.O. Ms. No. 261 issued by the Industries and Commerce (Mines-II) Department, the inclusion applies to a mining lease spread over 663.46 hectares in Kalvatala and Kotapadu villages of Kolimigundla mandal.

The decision has been taken under Section 15B(4) of the Mines and Minerals (Development and Regulation) Act, 1957, without waiting for amendments to the Mineral Concession Rules, 2016.

The mining lease had initially been granted in 2002 in favour of M/s Prism Johnson Limited for limestone extraction and was later transferred to Ramco Cements Limited in 2023. Following the transfer and execution of supplementary lease deeds, the lease was valid up to March 10, 2053.

Based on geological studies and inspection reports submitted by the District Mines and Geology Officer, quartzite deposits were identified in parts of the existing mining lease area. The company reported quartzite occurrence over 289.94 hectares and limestone deposits in over 373.52 hectares.

The mining plan, approved by the Indian Bureau of Mines, estimates total geological resources of 327.20 million tonnes, with mineable reserves of 84.06 million tonnes.

The Director of Mines and Geology stated that the quartzite proposed to be extracted would be used for industrial purposes such as manufactured sand and pozzolanic additives in the cement industry. As the material was not suitable for use as building stone for cubes and kerbs, the higher royalty applicable to building stone would not apply.

Instead, the government approved a seigniorage fee of ₹160 per MT, which was applicable for quartzite used for industrial purposes.