Rio Tinto to mine diamonds in Madhya PradeshDecember 31st, 2008 - 1:16 pm ICT by IANS
Bhopal, Dec 31 (IANS) Rio Tinto India will soon set up a project for production of diamonds in Madhya Pradesh, the state government has said.
“The company has detected a diamond deposit in Chhatarpur district and will soon set up a diamond project for commercial production of diamonds,” Minister of State for Mineral Resources Rajendra Shukla told IANS.
Rio Tinto India is a subsidiary of Anglo-Australian mining major Rio Tinto.
Shukla said the state government is expected to get Rs.100 crore (Rs.1 billion) royalty annually from the project.
“The government is trying to increase revenue sources and generate revenue from minerals,” the minister added.
Shukla said the mineral resources department has been directed to survey prospective mining areas and generate revenue, besides curbing illegal mining.
According to him, special efforts are being made to take action against illegal mining and transportation of minerals.
Among other initiatives in the mining sector, Shukla said the government has allotted 25 coal blocks for captive power plants and other use to private and public undertakings.