Date | Dec 18, 2017:

India Info Line reported that Supreme Court increased the cap on Karnataka iron ore mining from 30 million tonnes to 35 million tonnes per year. According to the industry experts, 27 to 28 million tonnes of iron ore is mined annually in Karnataka currently. This news is a positive for mining stocks in particular NMDC and Sandur Manganese.

Sandur Manganese in particular is likely to benefit from the ruling as the production of its iron ore mine was restricted to 1.17 million tonnes . The mine had previously had been obtained clearances for 1.6 million tonnes of production. Iron ore accounted for 53% of the revenue of Sandur Manganese in FY17. NMDC is also likely to benefit to some degree as Karnataka accounted for 37% of the company’s iron ore production YTD.

(Source: https://steelguru.com/)