Jindal Steel’s mining permit in Odisha’s Keonjhar revoked; Orissa HC upholds DFO’s order

The Orissa High Court has upheld the decision of the Keonjhar divisional forest officer (DFO) to revoke Jindal Steel Limited’s working permission over 51.99 hectares of diverted forest land in the Roida-I iron and manganese mine area in Keonjhar.

According to reports by The Times of India, the ruling granted the company the option to pursue statutory clearances for restoration and came after months of legal contention over environmental compliance and operational authority.

Court Affirms Legality Of Revocation

In a Nov 29 judgment, the High Court observed that the DFO’s withdrawal of permission was neither arbitrary nor malicious. The Court clarified that the revocation followed statutory obligations and reflected adherence to environmental prudence.

The Court further directed that Jindal Steel may submit a fresh application for restoration once the required approvals are obtained, and authorities must evaluate such submissions promptly and on merit.

Company Cites Lawful Acquisition

The TOI reports stated that Jindal Steel had challenged the Oct 19 revocation, which halted mining operations a day before Diwali. The company’s advocates claimed that statutory dues exceeding Rs 700 crore had been deposited, including performance securities.

The unexpected cessation, the petition claimed, jeopardised operational timelines, risked forfeiture of security deposits, and threatened the livelihoods of nearly 400 employees dependent on mine-related activity.

Industrial Expansion In Angul Complements Operations

Parallel to the mining developments, Jindal Steel has been expanding its steelmaking capacity in Odisha.

In October, the company commissioned a 3 MTPA Basic Oxygen Furnace (BoF) at its Angul plant, increasing crude steel production from 6 MTPA to 9 MTPA. This addition enhances the conversion of molten iron into steel using gaseous oxygen, reinforcing the plant’s capacity to serve domestic and international markets.

Earlier, in September, Jindal Steel had brought a 5 MTPA blast furnace, ‘Bhagavati Subhadrika,’ online, doubling hot metal output from 4 MTPA to 9 MTPA. The combined expansion forms part of a Rs 20,000 crore plan to scale Angul to 12 MTPA in the near term and ultimately target 25 MTPA, positioning it among the largest single-location steel facilities globally.

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The company has also invested in green steel projects, collaborating with Jindal Renewable Power Private Limited for green hydrogen production at Angul. The first phase targets 4,500 tonnes per annum by this month.