Frequently Asked Questions
Maharashtra Minerals Corporation Ltd. (MMCL) is incorporated as Joint Sector Corporation in the year 1961; is having Silica Sand Leases in Sindhudurga District; since 1970. MMCL is the first company to have Beneficiation Plant for Washing and Grading of silica sand at Phondaghat which was promoted, assisted and put up with the active cooperation of then Industrial Credit and Investment Corporation of India (ICICI); now known as ICICI Bank.
Informed customers, like you, frequently ask intelligent questions about any mining company, to ensure the steady and reliable supply of desired quality and quantity. We are trying to enumerate a few which you should ask to any of your mineral supplier.
1. Can we purchase minerals from the open market?
No. You can purchase minerals only from
a) Lease Holders (*) of a lease of that mineral, and/or
b) Traders (**) having valid trading license for that mineral specifying from which lease the trader can deal with the sales of the particular mineral.
(*) If your supplier is a Lease Holder, then he should have a Mining Lease. Being a lease holder, your supplier must have valid LEASE granted by the government; and he must have the Lease document in his possession only. In case of valid lease document, the lease holder can supply the material in the market.
For example - Maharashtra Minerals Corporation Limited (MMCL) is a Lease Holder and has got 5 leases of Silica Sand in Sindhudurg District (measuring total more than 400 Hectares). Presently the Company is working extensively in Kasarde, which is famous for Glass and Foundry grade Silica Sand. The Lease of Kasarde is of 36.54 Hectares and valid up to 2054, having total proven deposits (by Asahi Glass, Japan) in excess of 30 million tonnes. Other leases deposits of MMCL will exceed about another 100 Million tonnes.
(**) If your supplier claims to be a Trader then he must have trading license granted by the government and must disclose the name of the place of lease from where he will get that material. It is important that you should know from which mine he will purchase. There are instances where the supplier gets the mineral from places were mining could be illegal. You must therefore get above mentioned information about the mining lease, even if you are getting the material from any trader. Also note that the Trading Licenses have a validity of one year (usually from January to December). So it would be pertinent to check the validity of the trader’s trading license beforehand.
2. Apart from Lease what other permission/Documents required by Mine Owner?
There are several permissions required to start & to operate production & dispatch the material.
a) Lease Execution Order - permission?
Yes, the mining lease has been successfully secured and executed with the government of Maharashtra and is valid until 30th September 2054.
b) Environmental Clearance (EC) is mandatory permission takenor not?
Yes, MMCL is obtained EC of 4.5 lakh metric ton per annum of life of the mine fully compliant with all MOEF (Ministry of Environment, Forest and Climate Change) regulations, ensuring sustainable & responsible mining operations.
c) Second valid permission from Pollution Control Board?
All mining companies operating in Maharashtra require CONSENT TO ESTABLISH (CTE) and CONSENT TO OPERATE (CTO) from Maharashtra Pollution Control Board (MPCB). For example – MMCL has got CONSENT TO OPERATE from MPCB till 2026 for 3 lakhs tones per annum, and the increase being sought up to 4.5 lakhs tonnes per annum, for which its application is under active consideration.
d) First have an approved Mining Plan?
Mining is required to be done as per the Mining Plan approved by either Indian Bureau of Mines (IBM) or by Director, Directorate of Geology and Mining (DGM). Mining Scheme is required to be renewed for every 5 years.
For example – MMCL has APPROVED MINING PLAN and Mining Scheme approved by the Director, Directorate of Geology and Mining, Nagpur, Government of Maharashtra, till 2029.
e) Third have valid permission to operate heavy machines in the mines?
For Mechanical Mining purposes, every mining company requires PERMISSION TO USE HEAVY MACHINERY. This permission is granted in writing with certain conditions, such as, appointment of Mines Manager and other requisite staff. Please note, for sufficient supply of mineral; certain scale of production is required and this could be achieved only with mechanized mining. If the supplier claims that he is doing manual mining; he will not be able to supply you requisite quantity. Many mines do not operate in monsoon, so in limited period they have to dewater the pit and produce the mineral.
For example - MMCL has got the permission from Directorate General of Mines Safety (DGMS), to use the Heavy Earth Moving Machinery (HEMM) with no restrictions on number of Machines or types of Machines.
f) Fourth have blasting permission?
As minerals are to be excavated from the earth, sometimes as per the Geology of the lease, BLASTING is required for which permission is essential.
MMCL is not doing any deep hole drilling & blasting operation in the mine. Permission is not required, because our silica sand is frivable in nature and directly extracted from the stratum.
3. Does the Lease holder have an appointed Mines Manager?
MANDATORY TECHNICAL PERSONNEL - It is mandatory to appoint various technical persons for every mechanized mine according to The Mines Act, 1957 and Indian Bureau of Mines (IBM). These positions include Mines Manager, Foremen and Mates as well as Sr. Geologist, Surveyor and Mechanical Engineer especially for mechanized mining. No mine can be operated without a Mines Manager even for a day.
For example – MMCL has got a technical team comprising all these positions duly registered with IBM and Directorate of Mines Safety (DMS). At present, the team is working under our Mines Manager.
OPERATIONAL SUPPORT STAFF – Apart from technical staff, various positions of support staff required to be maintained for a mining company. That includes – Chemist, Supervisors, Operations Co-ordinators, and Accountants.
For example – MMCL has all the above personnel for its smooth operations.
4. Do Lease Holders need to have their own testing lab for analysis of Silica Sand?
Yes. Our own lab of physical analysis at Kasarde is equipped with testing quality testing equipment’s like AFS Calculator, Sieve Shaker, Moisture Tester, and Dryer. With our chemist, it becomes a fullfledged laboratory for quality testing.
5. How the quantity of excavated mineral is calculated?
WEIGH BRIDGE is a mandatory requirement specified by the Directorate of Geology and Mining (DGM) and District Mining Officer (DMO).
Weigh Bridge is required at every mine to record the mineral production and dispatch. Accordingly MMCL has established two Weigh Bridges at its Kasarde Mines.
6. Does the mineral require any process to be performed before going in the market?
Minerals are available in various grades and are required to undergo the process of beneficiation for the improvement of the same. The process is performed in BENEFICIATION PLANTS or Manual Washing.
For example – MMCL has arrangement of Washing and Grading of Silica Sand, for 3 lakhs metric ton per annum
7. Can we reach the Mines Manager when there are problems with the mineral supply? And will we get our query answered?
Most of the times, the mines are located in remote regions of the state and the mining company’s office is situated in or near the city. But at the same time for smooth functioning, COMMUNICATION between both these offices is the key.
For example - MMCL has the most modem communication system between its operations in Sindhudurg and HO at Mumbai, through having highly qualified and experienced Management Staff both at Head Office and at the Site Offices.
8. What is the core requirement for mining?
Mining is highly regulated business and government controls it with submission of various mandatory reporting measures. Mining requires SUPPORT FROM THE GOVERNMENT.
For example – MMCL has been receiving active cooperation from the Government of Maharashtra for all these years, and is a continual support.
9. How to deal with local issues regarding mining?
Mining companies are required to deal with local issues especially in Kokan. As MMCL is active in COMMUNITY PARTICIPATION INITIATIVES (our CSR), it has kept excellent relations with the villagers for last 60 years.
10. Are there any ethical issues related to washing in minerals and mining?
As Maharashtra Minerals Corporation Limited Company was founded by freedom fighter, Shri GB (Bhausaheb) Newalkar, it maintains the highest standards of integrity. All its transactions are transparent. The Company does not believe in transactions that are not ethical, and it always believes in sustainable development for the communities it touches. Needless to say that our Company information is also available on our website www.mahamines.com
