India denies scrapping of Afghan iron-ore mining project

[Hindustani78]

India denies scrapping of Afghan iron-ore mining project | Zee News
Last Updated: Sunday, May 24, 2015 - 23:06

Kabul: India has dismissed reports that an Indian consortium has scrapped a multi-billion dollar iron-ore mining deal in Afghanistan, saying only an analysis of the proposed project's opportunities and strengths had been done.


Media reports had stated that after developing cold feet over the proposed USD 10.8 billion steel Hajigak iron ore mine project in Bamiyan province, conceived in November 2011, the SAIL-led consortium of leading Indian steelmakers has now decided to scrap the project altogether.

Dismissing the reports, India's Ambassador to Afghanistan Amar Sinha tweeted, "Not correct. Meeting only did a SWOT analysis of opportunities and strengths. No decision of this sort."

The Hajigak mine is expected to be one of the largest economic projects in Afghanistan.

After winning bids for three iron ore mines at Hajigak in the war-torn Afghanistan in November 2011, the Indian consortium AFISCO had then said that it would invest USD 10.8 billion to set up a 6.2 mtpa steel plant in two equal phases along with a 800 MW power plant, besides creating the necessary infrastructure.








PTI

 

[That Guy]

We'll see. If work doesn't begin soon, then it's clear that India scrapped the deal. Who really knows at this point?

 

[BJlaowai]

Good job

 

[Hindustani78]

We'll see. If work doesn't begin soon, then it's clear that India scrapped the deal. Who really knows at this point?

If the remember carefully some months back Afghanistan parliament did clear mining law. So seems that negotiations are being held even during the visit of Afghan President Ghani to India last month


August 8, 2014 17:02 IST
‘New mining law helpful to India, Afghanistan companies’ - The Hindu

The passage of a new mining law will enable Indian companies and Kabul to begin negotiations on the first phase of an ambitious iron ore project in Afghanistan.

“The new Mining Law has been approved by Parliament and now it needs to be signed by the President,” Afghanistan’s Deputy Minister for Mines and Petroleum Jamil Hares said in New Delhi on Friday. Hamid Karzai is nominally the President of Afghanistan while two candidates seeking to succeed him are locked in a dispute over the auditing of votes in a recently held election. Mr. Hares was here to attend an Assocham event.

A seven-company consortium of Indian firms, from both public and private sectors, AFISCO [Afghanistan Iron & Steel Consortium] had won bids for three mines in Afghanistan’s Hajigak province. It initially lined up plans for investment worth dollars 10.8 billions for a mega steel plant and a captive power unit. The Chinese had won the bid for a copper mine but are said to have turned lukewarm following the security situation.

The consortium has filed Rs 7,000 crore investment plan (a little over dollars 1 billions) after Afghanistan came up with a new mining law. Led by Steel Authority of India Limited (SAIL), AFISCO's smaller project size is in keeping with the security situation in which it is prudent to have compact operations.