Odisha is reportedly considering the suggestion of Vedanta Aluminium to allow mining of laterite, which can be used as a substitute for bauxite, in the state.
At a presentation to the ministers of Odisha government
Vedanta Resources suggested the prospects of mining laterite. The company informed that laterite can be used as an alternative to bauxite with some beneficiation.
The company, which has an aluminium smelter and refinery in Odisha, has been unable to operate them because of lack of bauxite.
Vedanta pointed out that laterite is a minor industrial mineral whose exploitation would not require central government approval.
Facing shortage of bauxite, the company used laterite from Andhra Pradesh, and brought it to the notice of the state government.
The refinery of Vedanta is capable of using laterite as an alternate exigency feed, the company said.
Vedanta has been facing shortage of bauxite because it faced hurdles in mining the 72 mn t bauxite reserve in the nearby Niyamgiri hill.