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Metals & Mining: Bills to be paid

Monday 11th Jul 2011 1352

Mumbai : While the draft Bill may resolve some of the sticky issues, the profitability of mining companies will take a hit in the short term.

From the look of it, the government is ready with its draft, Mines and Minerals Development and Regulation bill. An initial interpretation speaks of an extra payout by companies in the mining business. The bill proposes that coal mining companies share 26 per cent of their net profit with the affected people. And, non-coal mining companies pay an amount equivalent to the royalty, for the same purpose.

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