Vedanta scouts for new site after curbs

NEW DELHI, AUG 24
Halted by the Government from mining bauxite in Niyamgiri in Orissa for the $1.7 billion aluminium project, Vedanata Resources today said it has not violated any law and would look for alternate sources of the mineral.
“Vedanta Resources Plc reconfirms that there has been no regulatory violations of any kind at the Lanjigarh Alumina refinery. We are not in possession of Niyamgiri mines and no mining activity will be undertaken till all approvals are in place”, the company said in a statement here.
The company also said that the Orissa Government is “actively considering” to allocate alternate bauxite mines to feed its 1 million capacity alumina Lanjigarh refinery where capacity augmentation is planned at an investment of $1.7 billion.
In a setback to Vedanta, the Government on Tuesday rejected clearance for mining bauxite in Niyamgiri hills on environment grounds and said a show-cause notice is being issued to the group asking it to explain why the clearance for Lanjigarh refinery should not be cancelled in view of gross violation of environment norms.
“It (stage II clearance for Vedanta’s bauxite mining proposal in Niyamgiri) stands rejected”, Environment Minister Jairam Ramesh said while accepting the recommendation of Forest Advisory Committee.
“There has been a very serious violation of Environment Protection Act, Forest Conservation and Rights Acts by the Orissa Government and Vedanta’s bauxite mining in the Niyamgiri Hills”, he also told reporters.
Therefore the stage II forest clearance for the State-owned Orissa Mining Corporation (OMC) and Sterlite Bauxite mining project on the Niyamgiri Hills in Lanjigarh, Kalahandi and Rayagadha districts of the State cannot be granted, Ramesh added.