JSW Steel Declared Preferred Bidder For Goa Mining Block

JSW Steel Ltd. has been declared the preferred bidder in a forward auction for granting the mining lease of the Codli Mineral Block XII in Goa, according to an exchange filing on Tuesday.

The highest final offer price is at 92.60% of the value of the mineral dispatched. The projected iron ore resources in Dharbandora is 48.5 million tonnes in addition to 2.7 MT of ore in dumps.

JSW Steel will take the required steps as per the tender document to obtain letter of intent and all statutory clearances to execute the lease deed with the Mine Development and Production Agreement and commence the mining operations, it said.

In another filing, the company said that subsidiary JSW Steel Italy SrL signed a commercial agreement with Metinvest Adria SpA on Tuesday, following up an earlier memorandum of understanding with the Ministry of Industries and Made in Italy from March 1.

This agreement is regarding the transfer of rights to Metinvest for a northern area of the property owned by JSW Steel Italy Piombino SpA. As part of the deal, Metinvest will pay the firm €30 million.

Metinvest is required to meet certain conditions with the government and institutions within a set timeframe to complete the transaction. This agreement supports the memorandum and aims to implement the Accordo Di Programma, a programme focused on modernising Piombino's steel production.

This includes upgrading the rolling mills, setting up a hardening facility, and increasing rail production length to 120 metres. The collaboration between JSW, MIMIT, and government institutions is part of efforts to revitalise the Piombino industrial site as a steel hub.

Shares of JSW Steel closed 0.43% lower at Rs 947.30 apiece on the NSE, compared to a 0.28% uptick in the benchmark Nifty 50.