Bhubaneswar: Odisha Chief Minister Mohan Charan Majhi on Monday urged Union Coal and Mines Minister G Kishan Reddy to allocate the Sasubohumali bauxite block in Rayagada and the Thakurani iron ore block in Keonjhar to the state-run Odisha Mining Corporation (OMC), according to a government statement.
Strategic Mineral Assets
The Sasubohumali block, a high-grade bauxite deposit with an estimated reserve of around 81 million tonnes, is seen as a key asset for the state's aluminium and refining sector. Currently, the block remains an unallocated strategic reserve under government oversight, while most other blocks have been allocated to industries through auction. In March 2015, the Centre allocated the Karlapat bauxite block, with 207 million tonnes of reserves, to OMC.
Similarly, several blocks in the Thakurani mining region have been allocated to different private companies, but the one sought by Odisha for OMC is a virgin mine that has not been auctioned or explored yet.
Industrial Growth Potential
“These two blocks would be critical for the state to attract industries, as the government can promise raw materials of bauxite and iron ore,” a government official said. During a meeting with Reddy at Lok Seva Bhavan, Majhi sought greater central support to strengthen Odisha's mining sector and boost its contribution to the national economy.
The chief minister highlighted that the state produced around 471 million tonnes of minerals in 2025-26, generating revenue of nearly Rs 46,000 crore, and stressed the need for enhanced Centre-state coordination to accelerate growth.
Clearances and Infrastructure
Majhi also requested expeditious forest and environmental clearances for auctioned mineral blocks. He underlined the need for improved rail and port infrastructure to make mineral transportation more efficient and cost-effective.
Environmental and Technological Proposals
The chief minister further proposed framing a policy for backfilling abandoned coal mines using fly ash from an environmental standpoint and flagged the need for advanced technology in mineral analysis.
Reddy said resolving mining sector issues requires coordinated efforts among multiple ministries, including railways, ports, forest, and environment. He suggested a high-level meeting involving all stakeholders to address pending matters.
