Government Extends Deadline For Jindal To Meet Requirements For Mining Contract

Published by MAC on 2007-04-05

Government Extends Deadline for Jindal to meet Requirements for Mining Contract

BNAmericas

5th April 2007

Bolivia's mining ministry is willing to extend the deadline set for India's Jindal Steel & Power to meet the requirements needed to sign the mining contract for the El Mutún iron ore deposit.

"We cannot create obstacles. On the contrary, we have to do everything possible to get the contract signed," mining minister Luis Alberto Echazú was quoted by local press as saying.

Jindal has until April 15 to submit its operating plan and certification showing that it has established a local subsidiary, among other documents, the press reports said.

The CEO of the Indian firm, Vikrant Gujral, was quoted as saying that the company already meets requirements and has the necessary documentation to speed up the legalization process and sign the contract.

Jindal won in June last year the bidding process for control of 50% of El Mutún.

El Mutún is located in Santa Cruz department and is one of the world's largest iron ore and manganese deposits, with a surface area of 60 sq km holding some 40Bt of reserves at an average content of 50% iron.

By Business News Americas staff reporters