AluNews - August 2014

Bauxite mining comes to halt at Hindalco mine

Business Standard Ltd. - August 29th 2014,

Bauxite mining by Aditya Birla owned Hindalco Industries has came to a grinding halt in the Mali Parbat area near Semiliguda in south Odisha's Koraput district with the district administration imposing prohibitory orders under Section 144 of CrPC.

The prohibitory orders have been clamped in the area on August 21 in the wake of tussle between pro and anti-mining groups over mining of bauxite by Hindalco.

The clash between the two groups had also occurred on January 10 this year. The supporters of the Mali Parvata Surakhya Samiti (MPSS), the tribal organisation spearheading the agitation, had damaged over 15 vehicles of the company that had entered the mines in the morning.

"Since the situation is tense, we have imposed prohibitory orders in the area," said sub divisional police officer (SDPO) of Sunabeda V M Rao. The situation is normal, he said. Company officials were not available for comment on the situation.

The anti-mining organization alleged around 40 villages under the Sorishapodar, Hundi, Dalaiguda and Pakhajhola panchayats in Similiguda block would be affected by the mining.

"We have demanded for immediate cancellation of the mining lease to the company," said an anti-mining campaigner. He said the water sources would be dried up due to bauxite mining in the area.

"The water sources for irrigation to raise the vegetables in the area will disappear if bauxite mining continues at Mali Parbat. Our livelihood will be robbed. So we are opposing mining atop the mountain", he said. On the other hand, the pro-mining groups said their livelihood is threatened due to halt in transport of minerals. The villagers of some of the villages were engaged in loading and unloading of the minerals and they have pitched for continuing mining.

Hindalco, the aluminum manufacturing company was granted the bauxite mining lease at Mali Parbat near Doliamba, about 20 km from Semiliguda in November 2007. The company obtained the lease for 20 years with mining capacity of 0.6 million tonne per annum. The actual mining activity had started through a contractor engaged by the company on May 2008.

Mining activity was going on smoothly for about two years until the locals started opposing in 2010. Mining operations have been disrupted intermittently due to sporadic protests by the agitating locals.

UC RUSAL launches pilot unit at Urals aluminium smelter

Metalguru - August 25th 2014,

UC RUSAL has launched a pilot unit at the Urals aluminium smelter to produce primary scandium concentrate using red mud for the production of alloys. The new unit is capable of producing 2.5 tonnes per year of primary scandium oxide concentrate. Throughout 2014, investment in the project has totaled RUB 74 million.

The Company expects to create a pilot plant, along with the necessary technology, for the processing of the primary scandium concentrate into a commercial product, where the content of scandium oxide will reach 99.0% by the end of 2014. The market price for such a product ranges from USD 3,000 to USD 5,000 per kilogram. The capacity of a pilot plant will be 500 kilogram per year.

The scandium oxide produced will be used for the production of aluminium-scandium alloys at RUSAL's smelters. The use of scandium greatly improves the consumer properties of aluminium alloys. Producing our own raw materials for the production of alloys will allow the Company to reduce costs associated with the purchase of such materials.

RUSAL sees the aerospace, automotive and railway industries as potential consumers of aluminium-scandium alloys.

Mr Victor Mann director of RUSAL's Research and Development said that "The installation of the new pilot unit UAZ will help us achieve two important goals. Firstly, using waste disposal in the production of valuable raw materials will reduce costs and increase efficiency, which will later be replicated at our other alumina refineries. Refineries will also become more environmentally friendly by recycling their own waste. Secondly, the Company will benefit internally and economically in the long-term as a result of the production of these high-value products."

Bauxite mining comes to a halt after group clash in Koraput

The Times of India - August 23rd 2014,

Prohibitory orders have been clamped at Mali Hill in Semiliguda block following clash between two groups, one supporting and other opposing bauxite mining.

"Villagers have been asked not to assemble or hold meetings within 500- metre radius from the extraction and dumping area of Mali Hill," said sub-divisional police officer ( Sunabeda) V R Rao. The order will be in force for six months, he added.

Police have put up red flags near Tentuliguda, Kankadambo, Maliguda and a few other villages and alerted people about the prohibitory orders through loudspeakers. "The restrictions may be relaxed depending on the situation. At present, the situation is tense and we cannot take a chance," he said.

Sources said the state government has awarded bauxite mining at Mali Hill to Hindalco, an Aditya Birla Group company. Two groups of villagers are at the loggerheads since 2005 when the company started mining. The company was forced to stop mining in 2010 following stiff resistance from tribals under the banner Mali Parvat Surakhya Samiti (MPSS).

The MPSS claims farmland of 44 villages in Semiliguda block will be badly affected and over 20 water sources will dry up because of mining. Some villagers are supporting mining because the company had brought lots of job for locals.

In January, the administration imposed prohibitory orders after the group opposing mining ransacked the company's office and destroyed over 20 vehicles protesting against transportation of mined bauxite ore stocked at Tentuliguda. Fearing arrest, members of both groups went underground for months. Though at that time the administration had tried to hold meetings with both the groups and the company officials, the problem remained unresolved as the warring parties did not turn up.

After seven months, tension mounted in the area again as tribals under the MPSS assembled at Kakriguda on August 15 and vowed not to allow mining at Mali Hill.

AGL modelling says Hunter power plant and aluminium smelter could close

ABC Online - August 20th 2014,

Gas giant AGL says it is basing forward modelling on conservative assumptions that a newly acquired Hunter Valley power plant and the Tomago Aluminium smelter near Newcastle could close within three years.

AGL has finalised its $1.5 billion acquisition of Macquarie Generation, but highlights several risks in a briefing to the stock exchange.

It values the Bayswater power plant near Muswellbrook at $780 million, but says the Liddell plant is worth nothing.

It says conservative modelling shows the Tomago aluminium smelter shutting in 2017 and as a result the Liddell power plant would close the same year.

But AGL says there are many strategic benefits for its assets and plans to upgrade them.

The company says it intends to spend $405 million over four years on revised maintenance to reverse deteriorating availability at its Liddell and Bayswater plants.

That work would ensure Bayswater's future until 2035 and allow Liddell to operate until the end of its technical life in 2022, on the proviso the Tomago smelter stays open.

CEO of AGL Michael Fraser says the conservative assumption about the closure of Tomago in 2017 is a worst case scenario, and it is hoped the facility will continue operating.

"That's only an assumption," he said.

"In fact when we look at where they sit in the global aluminium cost stack, we think it's more likely to stay open than close.

"But to be conservative in how we valued the asset and negotiated the price, we just assumed that it would close."

While talking about key risks AGL elaborates on a power supply contract with Tomago Aluminium which is due to end in 2017.

AGL says Tomago has foreshadowed the possibility of the early renegotiation of contracts for the smelter or its closure post 2017.

Tomago Aluminium's CEO Matt Howell has told the ABC he has no comment.

China's refined copper output up, aluminium at record

Business Recorder - August 17th 2014,

China's refined copper production rose 1.6 percent month-on-month in July, increasing for the third straight month as smelters expanded capacity. Strong output in the world's top refined copper producer and consumer could mean end users may cut their demand for imports. Refined copper production stood at 633,518 tonnes in July versus 623,428 tonnes in June, data from the National Bureau of Statistics showed on Thursday.

The July output was up 16.5 percent from a year ago. In the first seven months of 2014, production increased 9.8 percent from the same period last year to 4.25 million tonnes. "More new smelting capacity is set to start production in the second half of the year," said Song Xiaolang, Shenzhen-based analyst at Jinrui Futures.

About 600,000 tonnes of smelting capacity was likely to come onstream between July and December after less than 100,000 tonnes had started in the first half of the year, Song said. Strong treatment and refining charges (TC/RCs) for imports of raw material copper concentrates also have been encouraging Chinese smelters to boost refined metal production, Song said.

TC/RCs are paid to Chinese smelters from foreign sellers to convert concentrates into refined copper and deducted from the smelters' buying prices. Spot clean, standard copper concentrate traded at TC/RCs of about $110 per tonne and 11 cents per pound this week, compared to about $90 and 9 cents in late June, traders said. TC/RCs usually rise when copper concentrate markets are well supplied. Refined copper output may rise further in August although two medium-scale smelters in the north-eastern region of Inner Mongolia were conducting maintenance currently, Song said.

ALUMINIUM, ZINC ON RECORD Production of primary aluminium went up 1.2 percent compared with last month, hitting a second consecutive record as smelters restarted idled capacity. Aluminium production stood at 1.98 million tonnes in July, compared to the previous record of 1.95 million tonnes in June. The July production was up 7.2 percent from a year ago.

In the first seven months, aluminium output increased 7.5 percent to 13.5 million tonnes. Production may rise further due to new capacity. State-backed research firm Antaike expects about 3 million tonnes of aluminium smelting capacity to come onstream in the second half of this year, after about 1.6 million tonnes started up in the first half. China's refined zinc production also hit a record in July, rising 5.3 percent from a month ago to 515,065 tonnes.

The July production surged 10.3 percent from the same month last year. Strong prices encouraged output, industry sources said. The most-active zinc futures in Shanghai rose more than 6 percent in July. Production of refined lead fell 13.6 percent on-month to 349,609 tonnes in July due to seasonal weak demand. Nickel stood at 31,530 tonnes in July versus 33,288 tonnes in June. Refined tin was at 15,889 tonnes in July versus 17,087 tonnes.

Aluminum Supply Tightening as Production Slumps in Brazil

Bloomberg L.P. - August 16th 2014,

Producing aluminum in Brazil got so expensive as electricity prices surged to records this year that Alcoa Inc. (AA) idled its Pocos de Caldas smelter and now sells the facility's power instead of metal.

The worst drought in decades drained reservoirs used to run hydroelectric generators that supply power to extract aluminum, boosting costs already inflated by more spending on labor and transportation. Cities may be forced to ration water, and last week the government cut taxes on imported aluminum to help ease shortages as demand grows for beverage cans.

While the country has the world's third-largest ore reserves, it is importing more refined metal than it ships after output in July fell to the lowest on records going back to 1996, data show. Aluminum prices this week reached the highest in 17 months as Brazil adds to output cuts that Goldman Sachs Group Inc. said will mean global deficits through at least 2017.

"It's not economical anymore," said Milton Rego, executive president of the Sao Paulo-based Brazilian Aluminum Association, known as ABAL, which represents the $18 billion domestic industry. "Its the chronicle of a death foretold."

Aluminum smelters are electricity guzzlers, with power accounting for as much as half the cost of producing refined metal. Hydro-electric generators that supply about 70 percent of Brazil's electricity were limited during the drought, sending spot power prices on Jan. 31, the peak of the Southern Hemisphere summer, to the maximum allowed by the government, or 822 reais ($362) per megawatt hour.

Economical preheating furnace improves safety

The Aluminium International - August 15th 2014,

VHE has completed the fabrication and installation of a preheating furnace for the Rio Tinto Alcan smelter at Straumsvík in Iceland.

Most smelters add cold aluminium metal to the charge of molten aluminium in the casthouse furnaces. This metal may be in the form of sows, pure offcuts, or other scrap arisings.

Such metal is frequently stored outdoors and can be wet. Charging of damp aluminium to hot furnaces results in the generation of large volumes of steam, and can cause steam explosions, in the worst cases blasting molten aluminium around the casthouse.

Traditionally, scrap metal has been heated with a gas flame to remove moisture, but such localised heating can never fully remove water, and steam explosion can still occur.

VHE's furnace, which is semi-automatic, is able to heat 15 tonnes of scrap to 200°C within two hours. At this temperature all water and many low-boiling point organics are fully removed. The oven is electrically heated and uses the recirculating air principle for best efficiency.

Aluminum sector investments in Gulf to reach $55bn by 2020

Arab News - August 12th 2014,

Gulf region's investments in the aluminum sector are forecast to reach $ 55 billion by 2020, compared to $30 billion in 2011, thanks to smelters' expansion and new projects in the region, according to organizers of Aluminum Middle East exhibition, which will be held from April 14-16, at Dubai International Convention and Exhibition Centre (DICEC).

Statistical data shows that the Gulf aluminum industry is growing by 8.4 percent annually, compared to an average annual global expansion of 3.5 percent, making the Middle East the fastest growing aluminum market in the world, said the event organizers who cited figures by Harbor Intelligence, a firm specialized in global aluminum markets' trends, analysis and forecasts.

Gulf region's aluminum production reached 3,739,290 tons, in 2012 compared to 3,488,357 tons in 2011 and is expected to increase to 5 million tons by 2015, making the Gulf region the biggest single player worldwide, the organizers added.

They say the region is not only one of the key aluminum producers in the world, but is also among major consumption markets of the metal.

The aluminum industry contributes significantly to the region-wide efforts to diversify economies beyond oil and gas. With widening scope, facilities and capabilities, the sector has helped increase foreign trade, create more jobs and expand regional economies.

Spanning through a wide range of industries, including transportation, aerospace, aviation, packaging and construction, aluminum is a prerequisite for industrialization in the Gulf region.

The Gulf aluminum industry has several competitive advantages over its counterparts across the globe. These include huge reserves of raw materials, energy and natural gas.

Aluminum Middle East exhibition, which will be held with a theme of "Forging Connections... Building Possibilities," is expected to attract over 200 exhibitors from 25 countries. The event will bring together top regional and international producers, suppliers and investors, according to the show organizers.

Daniyal Qureshi, group exhibition director at Reed Exhibitions Middle East, which organizes the event, said the biennial exhibition had proved itself to be a must-attend event for networking, building professional relationships, identifying investment opportunities and getting acquainted with the latest technologies and best practices from around the globe.

Rio Tinto fast-tracking Queensland bauxite mine South of Embley

The Sydney Morning Herald - August 10th 2014,

An Australian bauxite project could be one of the next major spending items announced by Rio Tinto, with chief executive Sam Walsh confirming he has fast-tracked studies into the South of Embley project in Queensland.

Located close to Weipa on the Gulf of Carpentaria, South of Embley would effectively be an expansion of the existing bauxite mines in the region, all of which are located on the north or east sides of the Embley river.

Improving conditions in aluminium markets – for which bauxite is the prime feedstock - have convinced many analysts that South of Embley's development could be imminent, and Mr Walsh confirmed he had decided to ''expedite'' studies on it.

''The investment committee has approved the study fund for that project to accelerate that project by 12 months,'' he said on Friday.

Mr Walsh said he and chief financial officer Chris Lynch were expecting the studies to be presented to the investment committee ''by the end of this year'', at which time a final decision on development would be made.

''It is a very attractive project,'' he said.

Mr Walsh later told analysts in London that those comments were an example of him ''hinting as strongly as I can about the South of Embley project''.

Cost estimates on development of the project have ranged between $US1.45 billion and $US2.5 billion, and the project would likely produce 22.5 million tonnes of bauxite in its initial stage, with the potential to expand.

While the current set of studies have been expedited, development of South of Embley is already well behind the schedule originally envisaged for it, with Rio previously hoping to formally approve it, and start construction in 2012.

But the project became a political football between the Gillard Labor government and the LNP state government in Queensland during much of 2012 and 2013, and the battle delayed its progress by several years.

Approval to develop South of Embley would be timely for the Australian mining sector, which has seen a sharp reduction in the number of new projects.

But with South of Embley looking likely, plus Gina Rinehart's Roy Hill and the nickel mine being proposed by Sirius Resources in Western Australia, the ''investment pipeline'' does not appear to be entirely empty.

Rio is forecast to spend $US8 billion on capital projects in each of 2015 and 2016, and the other projects that are well placed to win funding in the near future include the proposed underground mine at the Oyu Tolgoi copper and gold mine in Mongolia, and the plan to increase iron ore mine capacity in the Pilbara.

Mr Walsh has also named two copper projects – Resolution in the US, and La Granja in Peru - as being among the company's best development options.

The Rio board often approves new projects at their board meeting in late November or early December, with the announcement often tied to the investor day Rio holds in early December.

Sesa Sterlite to spend Rs 8,000 crore on expansion

The Economic Times - August 5th 2014,

MUMBAI: Sesa Sterlite, a Vedanta group company, will spend up to Rs 8,000 crore in the next three to four years to expand its Lanjigarh refinery in Odisha, after it received consent from villagers last week, a senior official, who declined to be named, said.

Sesa Sterlite recently got villagers' approval to expand capacity of Vedanta Aluminium's refinery in Lanjigarh to produce 6 MT of alumina from the present capacity of just 1 MT, according to the Odisha government.

"Formal approval of MoEF will be sought in 15 days. The application might be taken up by the Environment Appraisal Committee in their monthly meetings either in August or September. Once we have a formal approval, we will start expanding the refinery," said the official. The official said the total cost of the project is Rs 8,000-10,000 crore.

Total shutdown in Gumla, Kolhan division

Times of India - August 3rd 2014,

Deliberating on processes to reduce energy consumption by aluminium industries will be the focus of the national conference organized by the Jawaharlal Nehru Aluminium Research Development and Design Centre (JNARDDC) in the city from Monday.

A part of silver jubilee celebrations of JNARDDC, the conference titled 'Energy Efficiency Opportunities and Challenges in Aluminium Industries' will be held in association with Bureau of Energy Efficiency (BEE), Maharashtra Energy Development Authority (MEDA), SESA Sterlite Industry, GIZ, Indo-German Energy Program (IGEN) and National Aluminium Company Ltd (NALCO).

Convener of the conference Mukesh Laddha on Saturday said JNARDDC has been closely associated with BEE since last three years as sector expert for providing technical knowledge and expertise to manage the aluminium sector within Perform, Achieve & Trade (PAT) scheme implemented by National Mission on Enhanced Energy Efficiency. In aluminium industry, energy consumption is a major constituent of the production cost.

RJ Sharma, organizing committee member said the conference will help in identifying most of the areas, right from bauxite processing to downstream areas including captive power plant, where there is a scope for further energy reduction. "It will be beneficial for the participants, primary as well as secondary aluminium manufacturers in the country, particularly for implementation of the PAT scheme," added Sharma.

Scientist Upendra Singh informed that Ajay Mathur, director general of BEE, will inaugurate the conference on the JNARDDC premises. Abhijith Patil, President and CEO, SESA Sterlite, Jens Burgotorf, programme director, IGEN (GIZ), and V Balasubramaniyam from NALCO will be the other guests on the occasion.

Anupam Agnihotri, chairman of the organizing committee and JNARDDC director, said at present the economic slowdown and London Metal Exchange price not supporting the primary producers has left them with no choice but to improve the energy performance for optimizing cost of production and also to reduce impact on environment and depleting natural resources.

Government of India enacted the Energy Conservation Act, 2001, and established BEE in March, 2002. The Act provides for institutionalizing and strengthening delivery mechanism for energy efficiency services in the country and provides the much-needed coordination between various entities.

Total shutdown in Gumla, Kolhan division

Times of India - August 2nd 2014,

JAMSHEDPUR/GUMLA/HAZARIBAG: The statewide bandh called by pro-tribal outfits over the domicile issue saw a mixed response in the Kolhan division with rural markets in the three districts of the division remaining largely shut on Friday.

All India Adivasi Mahasabha, Chotanagpuriya Teli Uthan Samaj and other organizations were instrumental in ensuring a total shutdown in Gumla. The township wore a deserted took throug the day. Shops and business establishments remained shut.

Banks too remained closed throughout the day. Bauxite mining too came to a halt due to the bandh. Hundreds of trucks carrying bauxite from the mine areas located in Netarehat plateau remained off the road. Bauxite routes from Uppar pat (Gurdari) and Serengdag mine's areas witnessed no ? transportation today.

The bandh call given by Adivasi Chatra Sangh was partially successful in Hazaribag. Activists blocked NH-33 at the Zila Parishad Chowk here for several hours, bringing traffic to a grinding halt. They also forced premier institutes like St Columba's College and Annada college at two points in Hazaribag town to remain shut. No untoward incident was reported from the district.

Shops in the Seraikela-Chowka-Chandil area in the neighbouring district remained closed in the first half of the day. The daily vegetable market in Chandil too had to bear the brunt of the bandh.

The response in the Steel City was lukewarm as popular markets like Bistupur, Sakchi, Golmuri remained open and inter-city buses were running in good strength.

ome pockets in Karandih and Sundernagar, located on the outskirts of the city were affected. There's no report of cancellation or diversion of trains originating and running through Tatanagar railway station.

"Things were normal in the Ghatshila subdivision," said superintendent of police (rural) Shailendra Kumar, adding that there's no arrest or detention of any of the bandh supporters.

NT indigenous bauxite exploration approved

Herald Sun - August 2nd 2014,

AN indigenous-owned mining company has been given the go-ahead to begin bauxite exploration in northeastern Arnhem Land.

THE Gulkula Mining Company, a subsidiary of the Gumatj Aboriginal Corporation, received the nod from the Northern Land Council on Saturday to begin exploring at the Dhupuma Plateau, about 30km southeast of Nhulunbuy in the Northern Territory.

Rio Tinto also announced at the Garma indigenous festival on Saturday that it would invest $2.4 million in a new mining training centre.

"We're not going to be Rio Tinto, we're certainly not going to be Alcan," Gumatj Corporation chief executive Klaus Helms said.

"Our core business will be training indigenous people from the beginning to the end of mining so future operations will be understood by Yolngu people, not just lawyers or accountants or people like myself, so they can negotiate a fair deal from the beginning, if not own their own mine."

The region was rocked shortly before Christmas by the news that Rio Tinto's Gove alumina refinery would shut down its operations, with the loss of about 1100 jobs for the town's 4000-strong population.

Rio Tinto managing director Phil Edmands told the Garma key forum the closure "was not a decision taken lightly or before all other options had been canvassed".

Mr Edmands said Rio Tinto was committed to supporting economic development in the region, and would continue to invest in Nhulunbuy, which is a hub for regional services.

The mining training centre will be available to Aboriginal people throughout the Northern Territory who want to learn skills in the mining industry, the Gumatj Corporation said, and construction was expected to begin in the next year.

But Mr Helms indicated the community was learning from its past dependence on a single industry.

"We don't know how long bauxite will be here, maybe 15 to 20 years," he said.

"We had to look a future growth of sustainable industry."

He said forestry would be sustainable if properly managed, and Gumatj Corporation was working with Rio Tinto to set up forestry sites in rehabilitated areas of its former alumina operation.

"Our leaders now, their children's children, we want to give them a sustainable job," Mr Helms said.

"Our people are ready to move forward."

Odisha tribals and activists oppose Vedanta plant expansion plan

The Economic Times - August 1st 2014,

While putting Odisha State Pollution Control Board and Kalahandi Distirct administration at fault for holding the meeting without taking the affected tribal people into confidence, social and developmental activists said that there was no need of a public hearing for the expansion of Vedantar alumina plant as the company doesn't have any definite source of bauxite mineral.

Basudev Mahapatra
As part of activities to mark the Global Day of Action against Vedanta, the Anil Agrawal led UK based company renamed as Sesa Sterlite, a host of political parties and social organisations staged protest demonstrations in Bhubaneswar, on July 31, 2014, alleging involvement of the company in several illegal activities with support from the Biju Janata Dal led Odisha government.

Just a day before, on July 30, the public hearing meeting organized by State Pollution Control Board (SPCB) in Lanjigarh of Kalahandi dictrict for expansion of Vedanta's (now Sesa Sterlite) Alumina refinery to 6 mpta from its current capacity of 1 mpta had to disrupt midway as about 300 tribal people led by Lingaraj Azad, the leader of Niyamgiri Suraksha Samiti, came in group and stormed into the meeting held at the local primary school.

The tribals were angry because they were not invited to the meeting to place their voices.

"The company and the Odisha government always do like this keeping the affected tribal people in dark. It suggest, they are doing wrong things against the interests of the tribal people," said a protester.

While putting SPCB and Kalahandi Distirct administration at fault for holding the meeting without taking the affected tribal people into confidence, social and developmental activists said that there was no need of a public hearing for the expansion of Vedantar alumina plant as the company doesn't have any definite source of bauxite mineral.

"As the plant runs less than 50% of its present capacity, how come the company plans to source bauxite of 15.5million ton per annum for the 6 mpta project?" – asked social activist Prafulla Samantara in a letter to SPCB.

"The probable sources of Bauxite mentioned in the EIA such as Karlapat is part of a Wildlife Sanctuary and the other one Niyamgiri is already rejected by Gramsabha after the historic judgment of Supreme Court (SC) of India," Samantara added.

The company that initially aimed to mine bauxite from the Niyamgiri was denied by the tribal village council meetings organised after a Supreme Court directive. It is now trying to get the mineral from other bauxite reserves allotted to L&T in the district. However the troubles for Vedanta doesn't seem to end there because the newly mapped reserves are part of Karlapat wildlife sanctuary, which is also a tiger habitat.

The major hurdle on the way to mining Karlapat bauxite reserves would be the process of getting the proposals approved by the tribals in their village council meetings, called gramsabha, in compliance of the SC directive in case of Niyamgiri.

So, even if the company gets its expansion plan approved, the abovementioned issues in regard to mineral extraction and sourcing are going to trouble the company and operation of its Lanjigarh plant.

As such, on allegations that the particular plant is a threat to local environment and to the livelihood sources, Vedanta is facing strong opposition from the local tribal people and a number of international organisations working to safeguard the rights of indigenous communities across the globe.

The company that initially aimed to mine bauxite from the Niyamgiri was denied by the tribal village council meetings organised after a Supreme Court directive. It is now trying to get the mineral from other bauxite reserves allotted to L&T in the district. However the troubles for Vedanta doesn't seem to end there because the newly mapped reserves are part of Karlapat wildlife sanctuary, which is also a tiger habitat.