14-07-09

Mining – India 1
1. Iron ore mining scam continues to cause chaos 1
2. NMDC signs contract with Japanese, Korean steel mills 2
3. As China probes Rio, BHP quietly pushes iron ore index 2
4. International Convention on Iron & Steel Making at Bhubaneswar from July 15 4
5. Long term iron ore supply mooted 6
6. Front Page Illegal mining: Lokayukta slams Government 7
7. Uproar in Orissa Assembly over mining scam charge 8
Mining – International 9
8. Chinese miners freed after 25 days in flooded mine 9
9. EPA to develop financial assurance rules for mines 10
10. Freeport: Mine operations normal after fatal attacks 10
11. Battle raging in US mining country 11
Other News 14
12. Transparent Environmental clearance process and sharing information with all stakeholders 14
13. Prepare database on slums, Selja tells States 15
14. Variation in monsoon not due to climate change: Ramesh 16
15. BJP seeks immediate solution to water woes 16


Mining – India

Iron ore mining scam continues to cause chaos
;Statesman News Service
BHUBANESWAR, 13 JULY: The BJP and Congress continued to join hands to disrupt proceedings in the Assembly by persisting with their demand for a CBI probe into the alleged manganese and iron ore mining scam.
At the start of today’s session, Leader of the Opposition, Mr Bhupinder Singh, argued that if the government had ordered a vigilance probe into the alleged mining scam, it should not be scared of facing a CBI inquiry.
The BJP, which had raised the issue on 10 July, joined the protests and forced the Speaker, Mr Pradip Amat, to adjourn the House for a brief period. Angry Opposition members stormed the well of the Assembly and continued to disrupt proceedings, forcing four adjournments over a period of more than four hours. They also boycotted the discussion on the budgetary demands of the school, mass education and higher education departments as the government rejected their demand for a CBI inquiry. Some of them entered into a tussle with the watch and ward staff as they tried to climb onto the podium.
At one point, former minister and BJP member, Mr Jaynarayan Mishra, moved a privilege notice against the steel and mines minister alleging that he had mislead the House on 10 July by saying that mining activity was not taking place at the controversial site.
The BJP and Congress delegations have separately visited the reputed site in Keonjhar district for an assessment of the mining activity.
Mr Mishra went on to question the CM on why he ordered a vigilance probe on 11 July. "What prima facie material did the CM get to take such a step when his government had denied the charge the previous day?" he questioned.
The BJP leader Mr KV Singh Deo was the first to raise the issue on 10 July when he charged that a private individual in connivance with some officials was operating a manganese and iron ore mine defrauding the state exchequer to the tune of crores of rupees. The commotion continued right through the pre-lunch session of the House.
http://www.thestatesman.net/page.news.php?clid=9&theme=&usrsess=1&id=260840



NMDC signs contract with Japanese, Korean steel mills

13 Jul 2009, 1745 hrs IST, PTI

Print
EMail
Discuss Share
Save
Comment
Text:




NEW DELHI: State-owned mining giant NMDC has clinched a 33-44 per cent lower rate on the long-term contracted prices for iron ore with Japanese

and South Korean steel mills for the current fiscal.

"We have entered into the contract at the same rate as of Rio Tinto. About 32.95 per cent down on iron ore fines and 44.47 per cent down on iron ore lumps from the last fiscal's contracted rates," NMDC Chairman Rana Som told PTI over phone from South Korea.

Elaborating on the deal, Som said the contracted rates for iron ore fines stand at USD 61.7 a tonne and that on lumps is at USD 71.5 a tonne. Global mining giant Rio Tinto has earlier this year settled its 2009-10 long-term contract with Japanese steel mills at such discount.

The proposed price negotiation holds significance for the domestic steel companies like JSW and RINL as the rate settled by NMDC with overseas firms acts as a benchmark for them.

A team, led by Som, had left for the two Asian countries last week. While the pact was signed with the Japanese steel makers last week, the country's largest iron ore miner inked the pact with the South Korean mills today. Of its annual iron ore production of about 30 million tonnes, NMDC had supplied over three million tonnes to Japanese and South Korean steel companies, including Posco, last year.


http://economictimes.indiatimes.com/News/News-By-Industry/NMDC-signs-contract-with-Japanese-Korean-steel-mills/articleshow/4772997.cms

As China probes Rio, BHP quietly pushes iron ore index

Tue Jul 14, 2009 2:10am EDT

Email | Print |
Share
| Reprints | Single Page
[-] Text [+]
By Miyoung Kim - Analysis
SEOUL (Reuters) - While the global steel industry is riveted to the intrigue surrounding Rio Tinto and its iron ore negotiations with China, miner BHP Billiton is quietly pushing its own index pricing agenda with bedrock Asian customers.
In its latest attempt to break down the decades-old benchmark system, BHP gave customers in Japan and South Korea a choice: pay up for iron ore supplies that were ordered but not delivered last year, or write off unsold volumes and switch the contract to prices based on market-based indices.
As a result, at least some customers have been unable to finalize new contracts for the April to March 2010 period, even after agreeing to the same 33 percent price cut versus last year that Rio Tinto set as the industry's early benchmark in May.
"An annual iron ore deal with BHP hasn't been agreed yet due to differences over how to settle carry-over amounts but we expect to conclude negotiations this month," Kwon Young-tae, executive vice president of raw material procurement at the world's No. 6 mill, POSCO, told reporters on Monday.
"We hope to agree on prices with BHP at a similar level that we have already signed with Rio Tinto," he added.
Under iron ore contracts that normally span a decade, mills and miners agree at the start of each year how many tons of ore will be sold; in the previous 2008/09 period, however, many mills ultimately took far less than agreed due to the collapse in demand that forced some to cut production by as much as half.
BHP now says they must agree to fulfill their previous contract purchases -- at last year's record-high prices -- before moving on to this year's supplies, which are some $30 cheaper per ton, unless they are willing to change the terms to spot price indices.
For the moment there seems little doubt that the traditional buyers -- more conservative than their Western or Chinese peers and fearful of ceding more control to three miners that own 70 percent of the world's traded ores -- will choose to pay up for old tonnage rather than abandon the fixed price mechanism, but BHP's move underscores the growing pressure on the benchmark.
"That has made it difficult for Asian mills to wrap up this year's benchmark deals, although they are likely to go for the second option as they have preferred to keep the benchmark system in place," said the source close to the matter.
BHP, the world's No.3 iron ore miner after Vale and Rio Tinto, has yet to decide which iron ore indices it wants to use for pricing and is open to discuss it with Asian customers, the source said.
A spokesman for Japan's Nippon Steel said on Tuesday it has yet to complete a formal agreement with BHP on the 2009 term price, although sources said they have basically agreed with BHP already by settling carryover issues.
Its smaller rival JFE, which market sources say had little carryover volume from last year's pricey contract, is the only major Asian mill that has officially signed a 2009 deal with BHP.
RIO TIED IN CHINA
BHP has been in the vanguard in pursuing the demise of 40-year-old benchmark pricing, urging customers to switch from annual contracts based on a single fixed annual price to a mechanism that would adjust prices more regularly, retaining the security of long-term contracts while allowing one or the other to benefit from changing prices.
The Australian miner has said it will honor deliveries already contracted under future benchmark prices but would not negotiate new benchmark contracts for as-yet undecided volumes. Instead, it favors an index-type pricing mechanism based on taking prevailing spot prices into account.
Rio Tinto has said it is ready to sell on whatever basis its customers want, though it prefers more flexible prices, while top-ranked Vale of Brazil wants to retain the benchmark system.
Asian steelmakers, however, have refused a switch to a spot-market based system for fear of a volatile cost structure, which could also affect broader industries, such as autos, construction and home appliances, that use steel as a key input.
BHP's push with its legacy customers comes as larger iron ore rival Rio Tinto leads negotiations with Chinese mills, which have already run past the June 30 deadline as the steel industry rejected the 33 percent deal and pushed for a bigger discount, dealing a potentially major blow to the once-yearly mechanism.
Its marathon talks took a fresh turn last week when China detained a top iron ore executive of Rio Tinto in China and three Chinese employees on suspicion of stealing state secrets during this year's pricing talks.
The outcome of that process remains uncertain, as do the prices that Chinese mills will ultimately pay.
But there is little doubt about the fact that the tussle has put the system, where producers and steel firms decide prices of around $88 billion a year seaborne iron ore trade, under still more strain this year, with an eventual shift toward independent market pricing -- rather than negotiating might -- inevitable.
(Additional reporting by Yuko Inoue in TOKYO)

http://www.reuters.com/article/newsMaps/idUSTRE56D0YY20090714?sp=true

International Convention on Iron & Steel Making at Bhubaneswar from July 15

Monday, July 13, 2009
Email Story
Feedback
Print Story


Report by Orissadiary correspondent; Bhubaneswar: As India aims at producing about 250 mtpa of steel by 2020 up from the current output level of 65 mtpa, Orissa would be one of the major contributors to this escalation. 49 nos of Memoranda of Understanding (MoUs) have been signed by the Govt. of Orissa envisaging an output of 90 mtpa. Iron and steel making is intensive in terms of usage of natural resources including minerals of different descriptions, energy and capital . Further, the raw materials used being intrinsically carbon based emissions are high impacting the climate materially. Mining, a pre-requisite activity to iron and steel making is also another area of concern. Hence, both preventive and ameliorative interventions are essential for sustained mining and industrialization. Clean & green technologies when adopted in manufacturing will reduce consumption of resources and energy and also reduce emission of green house gases. In this context, the convention aims at identifying appropriate technologies that will promote sustainability and create an awareness among various stakeholders including steel promoters, mining companies, scientists, academia, policy makers and people at large. The convention, first of its kind in India will come out with a package of recommendations that are of practical value and thereby generate immediate gains for the State in the short run. In addition to its local relevance, it would be a step towards meeting India's international obligation in consonance with the Kyoto protocol. We recognize that global warming is a matter of critical concern.
In the above context, the organizers have chosen appropriate themes which include environment, energy conservation, mineral conservation, energy efficiency in iron and steel making and issues relating to resettlement and rehabilitation among others. The delegates confirmation is cosmopolitan comprising iron and steel manufacturers, mining companies, research institutes, universities, equipment manufacturers and policy makers from within and outside the country. High quality papers encompassing various themes have also been received and selected papers are being published in a Souvenir on this occasion. In terms of practical utility, the convention would focus on waste heat recovery, efficiency in coke making process, energy saving techniques and utilization of low grade ores. Water saving measures would also be an important issue since it has competing demands from agriculture, domestic use and industry.
Public Private Partnership in organizing the convention:
The organizing partners of the convention include both Public and Private Sector Undertakings. The funds for the convention are being mobilized purely through sponsorships and delegate fees. The Convention is scheduled to be held from 15-17th July, 2009 at Hotel Swosti Plaza, Bhubaneswar. The convention would be inaugurated by Shri Naveen Patnaik, Hon'ble Chief Minister, Orissa on 15th July, 2009 at 10.00 AM. Shri Raghunath Mohanty, Hon'ble Minister, Steel & Mines, Industries and Parliamentary Affairs, Orissa will be the Guest of Honour and Shri P.K. Rastogi, Union Secretary, Ministry of Steel will deliver the keynote address. Shri Ajit Kumar Tripathy, Chief Secretary, Orissa and Chairman of the Organizing Committee will preside over the function.
As many as five technical sessions have been accommodated and one of the star session would be the plenary session on July 16th at 9.00 AM. It would be an open house brainstorm on a basket of thoughts enabled by eminent leaders of industry, environment & ecology and Resettlement & Rehabilitation. Sri B.K.Patanaik, Principal Secretary to Chief Minister would be chairing this session.
An exhibition has been organized to showcase various technologies and management practices. The students of various Engineering Colleges, Technical Institutes & other colleges and universities are invited to visit the exhibition and appreciate the relevance of adopting clean, green and sustainable technologies. They are free to visit on any of the days of the convention from 3.30 PM to 5.00 PM and no fee would charged.
Outcome:
The convention hopes to enable sharing of international best practices on the chosen theme leading to enlisting of critical and prioritized area of concern and suitable technologies that can be adopted, as also, identify gaps in the existing knowledge calling for more research. The package of recommendation would also help the Government to adopt them in policy formulation and execution guidelines.
Global recession and steel growth:
There is co-relation between GDP growth rate and demand for steel. Global recession has seen the world crude steel output plummet from 1197.30 million tonnes in April, 2008 to 845.00 million tonnes in April 2009 a decline of 23%. India has been an exception registering a growth of 8% over this period. The recession is expected to make a turnaround from the year 2009-10 and stabilize around 2013. With projected optimistic growth rates of India, the per capita consumption of steel in India is expected to rise from the current low level of 37 Kgs and create substantive demand for steel. Hence, this lag period of 3-4 years can be used by investors to commission their projects in alignment with the expected firm upswing from the year 2013. The convention would also serve in generating hope & confidence during the times of relative global slowdown.

http://www.orissadiary.com/ShowBussinessNews.asp?id=13375

Long term iron ore supply mooted

13 Jul 2009, 2122 hrs IST, Nageshwar Patnaik, ET Bureau

Print
EMail
Share
Save
Comment
Text:




BHUBANESWAR: The Orissa steel and mines ministry has mooted an idea of long-term supply arrangement with small and medium steel and iron

industries.

“The steel ministry has written a letter to the Orissa Mining Corporation to explore the possibility of long-term supply arrangement with the industries which do not have captive iron ore mines,” steel and mines secretary Ashok Dalwai said on Monday.

Mr Dalwai was addressing a press conference to provide details about forthcoming three-day international convention on - “Clean, green and sustainable technologies in iron and steel making,”- to begin here from Wednesday.

Many sponge iron, small and medium scale steel units not having access to captive mines like the large and mega units are facing the heat with the OMC slashing the price of iron ore only marginally. This has led to closure or drastic fall in capacity utilization of several units at Kalinganagar and elsewhere in the state due to global downturn.

“In fact, we in Orissa have also seen positive growth in steel output. There are indications of a turnaround by the last quarter of 2010 and stabilization by 2013,” Mr Dalwai said adding that although the steel industry in the world felt the heat of recession, India and China remain less affected by it and maintained their growth momentum by achieving an 8 % growth.

Mr Dalwai said the purpose of the exercise was to find ways how to achieve sustainable development without harming the ecology.

“Steel industry has been a guzzler of natural resources and influences climate change materially. Energy intensive processes and carbon intensive raw-materials also pose threat to environment. All these concerns will be discussed during the convention,” Mr Dalwai informed.

The convention, among others, is likely to be attended 50 high profile delegates from different parts of the globe, including Europe and America.

Representatives from iron and steel industry, technology suppliers, mining companies, academicians, environment specialists and policy makers will deliberate on subjects like energy efficiency and conservation, technologies in iron and steel making, utilization low grade resources and improved management practices, eco-friendly technologies in iron and steel industry, regulatory mechanism for protection of environment, resettlement and rehabilitation and addressing the social concerns.

“The convention is the Stage II activity after industrialisation. The focus of the convention is to find ways how to execute project without affecting local environment and climate,” chief secretary Ajit Kumar Tripathy said on Monday at a media briefing.




http://economictimes.indiatimes.com/News/News-By-Industry/Indl-Goods-Svs/Long-term-iron-ore-supply-mooted/articleshow/4773573.cms


Front Page

Illegal mining: Lokayukta slams Government

Staff Reporter

Santosh Hegde terms ATR an ‘action to be taken report’
— Photo: Sampath Kumar G.P.

TALKING TOUGH: Lokayukta N. Santosh Hegde addressing the media in Bangalore on Monday.
BANGALORE: Expressing dissatisfaction with the Action Taken Report (ATR) submitted by the State Government on the findings of the Lokayukta concerning irregularities and illegalities in the mining sector, Lokayukta N. Santosh Hegde said: “It’s not an action taken report, but action to be taken report.”
Mr. Hegde told presspersons on Monday that the ATR contained directions and show-cause notices that were issued in February. “It does not say anything as to whether these directions were acted upon. There is no mention as to what actions have been taken between February and July,” he said and added: “On the request of the Government, I had allowed them three extra months to file the ATR. This extension has not served any purpose.”
The State Government on July 10 submitted to the Lokayukta its action taken report (ATR) on the findings of illegalities and irregularities in the mining sector. The ATR submitted to the Lokayukta is in 11 volumes containing the responses of various departments.
Border row
Referring to his recommendation about the joint survey of the Karnataka-Andhra Pradesh border in Bellary and the need to stop illegal mining in that area, Mr. Hegde, quoting the ATR, said that the Chief Minister had written to the Prime Minister and Union Minister for Science and Technology on this issue but action had not been taken by the Centre.
The Lokayukta said: “The Government, instead of remaining silent, should have pursued the matter and taken action to stop illegal mining in the border areas, which is still continuing.”
In another instance, the State Government had not commented on 39 cases of “Raising Contracts” used for illegal mining.
Raising Contract is an agreement permitting a third person to carry out mining activity on behalf of the mining lease holder, which is prohibited under the Mines and Minerals (Development and Regulation) Act 1957.
“The Government has commented only about the loss suffered by State-owned Mysore Minerals Ltd. about the Raising Contract entered into by it. It has not said anything about the other 38 cases,” he said. On the question of de-reservation of forest land, the Lokayukta said the State Government in the ATR had said it was waiting for the information from the State Forest Department.
“Why should the Government wait for Forest Department to submit the files when the records are already with it. How long does it take to get the relevant records from its own officers?,” he asked.
To the issue of fly ash contamination as the ore was transported, Mr. Hegde said the Government in the ATR had said it had asked lorries to spray water on the roads as they moved and cover the vehicles with tarpaulin. “What kind of response is this? Does it indicate any concern for the environment and the health of the common man?,” he asked.
On the loss suffered by the State-owned Mysore Minerals Ltd, Mr. Hegde said the Government had stated that the MML had inflated its losses in its statement to the Lokayukta, which was around Rs. 600 crore. The Government said the actual loss was around Rs. 140 crore. Mr. Hegde wondered if the MML officials had inflated the loss figures why did the Government not take action against them, instead of merely pointing it out in the ATR.
http://www.hindu.com/2009/07/14/stories/2009071461270100.htm

Uproar in Orissa Assembly over mining scam charge

Bhubaneswar (PTI): Uproarious scenes were witnessed in the Orissa Assembly on Monday when Opposition Congress and BJP members stalled the proceedings demanding a CBI probe into what they claimed a Rs 4,000-crore mining scam in Keonjhar district.
The Opposition members rushed into the well of the house as soon as the proceedings began in support of their demand, while rejecting the vigilance probe ordered by the government on Sunday.
As the pandemonium continued, Speaker Pradip Kumar Amat adjourned the house till 3 pm.
Earlier, leader of the Opposition Bhupinder Singh wanted to know how the government took the decision to hand over the inquiry to the State Vigilance Department without taking the house into confidence.
The Congress leader said the Opposition would persist with its demand for a CBI probe into the allegation. Besides, a House committee should visit the mines in the Joda area of Keonjhar district to find out whether illegal mining of manganese ore was going on there or not, he said.
Congress and BJP members claimed that their respective parties had deputed teams to visit the area and they had found that there was illegal mining going on there.

http://www.hindu.com/thehindu/holnus/004200907131580.htm


Mining – International

Chinese miners freed after 25 days in flooded mine

By HENRY SANDERSON – 20 hours ago
BEIJING (AP) — Three miners survived 25 days trapped in a flooded mine in southern China by drinking dirty water and chewing coal before rescuers burrowed through a collapsed tunnel to reach them, a local official and state media said Monday.
The men and 13 others became stuck when the Xinqiao Coal Mine flooded June 17. On Sunday, rescue workers digging into the mountainside cleared a path to the miners and saw their lights, which still gave off a dim glow, said Wang Guangneng, a Communist Party spokesman in the Guizhou province county of Qinglong.
The miners stayed alive by drinking water that seeped through the earth, Wang said. The official Xinhua News Agency cited a rescuer saying that oxygen was also able to get into the tunnel easily.
They also chewed on coal to stave off their appetite, the Guiyang Evening News, based in the provincial capital, reported.
It was not clear whether the men had any information on the others still missing. Rescuers had found the body of one miner a week after the flooding, the official Xinhua News Agency said.
A Xinhua photo showed one of the rescued miners, Wang Kuangwei, his bones prominent through his skin, getting medical attention Sunday, with his eyes covered to protect them from the light. The party spokesman said the three men were in stable condition.
During an interview with Shenzhen Media Group television, one of the miners, 36-year old Zhao Weixing, who was lying down with his eyes and face covered, told reporters: "I feel OK."
The miners' rescue after 604 hours underground was a rare tale of survival in China's coal mines, the world's deadliest, where an average of 13 workers are killed every day. Most accidents are blamed on failures to follow safety rules, including a lack of required ventilation or fire control equipment.
In August 2007, two brothers were forced to chew on coal and sip their own urine from discarded water bottles after nearly six days in a mine tunnel. They even managed to crack jokes during that time about their wives remarrying after they were declared dead.
In Sunday's rescue, the miners — all of whom were from central Henan province — were found 500 to 600 yards (meters) from the entrance to the mine shaft, on a level intersection that protected them from the flood, the Beijing Youth Daily newspaper reported. The ceiling had collapsed, blocking a path to the tunnel opening.
The county's head of work safety, Li Xingwei, was digging a channel into the mountain and found an unblocked pathway, then noticed the miners' lights, the newspaper said.
"We crept along the tunnel in excitement," Xinhua news agency quoted him as saying.
Rescuers shouted to the men to remain calm, the Beijing Youth Daily report said.
Once rescued, it said, the miners did nothing but ask for water.

http://www.google.com/hostednews/ap/article/ALeqM5hN_T7fYoiWlqyYL-RJPEtfBhJRnAD99DH8FG2

EPA to develop financial assurance rules for mines

THE ASSOCIATED PRESS
BOISE, Idaho -- Hardrock mining companies could face new federal rules to set aside money to clean up pollution.
Earlier this year, a federal judge ordered the Environmental Protection Agency to address the issue after groups including the Sierra Club and Idaho Conservation League sued in U.S. District Court.
They contended the EPA's failure to develop financial assurance requirements in accordance with three-decade-old provisions of the Superfund cleanup law was exposing the environment to "unremediated releases of hazardous substances."
The groups praised EPA's announcement Monday that it planned to propose new rules by 2011, calling this "a first step in closing a loophole in hazardous waste laws."
Mining companies could fight EPA efforts, however, on grounds such requirements will dent profits and because they already fall under other state and federal cleanup requirements.

http://www.seattlepi.com/local/6420ap_id_financial_assurance_mining.html


Freeport: Mine operations normal after fatal attacks

3 deaths at Grasberg site spotlight political, social challenges facing firm
by Andrew Johnson - Jul. 14, 2009 12:00 AM
The Arizona Republic
Freeport-McMoRan Copper & Gold Inc. says operations at its Grasberg mine in Indonesia are normal after two workers and a police officer were killed in separate attacks this weekend outside the massive complex.
The violence, however, underscores the political and social challenges facing Arizona's second-largest public company based on annual revenue.
Analysts do not anticipate the attacks harming Phoenix-based Freeport's financial performance in the near term. Global business experts, however, say the incidents further spotlight issues affecting companies that operate in regions rife with political and social struggle and raises questions about Freeport's role in mitigating such activity.
"The short-term (issue) for Freeport is a security problem," said Mary Teagarden, a professor of global strategy at Thunderbird School of Global Management in Glendale who studies how multinational corporations address social and environmental risks.
"The longer term problem is a brand or reputation problem - what can we do to protect our image as an upstanding company in the global community," she said.
The incidents likely will not hinder Freeport's financial performance in the immediate future, but they potentially could affect relations with shareholders if problems persist, said Eric Fernald, director of research for Boston-based KLD Research & Analytics Inc., which analyzes environmental, social and governance risks facing businesses for investors.
For example, a state-run pension fund in Norway sold its $853 million stake in London-based miner Rio Tinto plc last year because of environmental concerns surrounding the Grasberg mine. Rio Tinto is involved in a joint venture with Freeport that oversees part of the Grasberg operations.
Indonesian police suspect the violence could be the work of local militant groups.
According to news reports, Australian technician Drew Grant was shot and killed Saturday outside the mine while riding in a company vehicle. On Sunday, shots were fired at two security vehicles, killing contract security worker Markus Rattealo and injuring five others. An Indonesian police officer also was found stabbed to death outside the mine on Monday.
Freeport spokesman Eric Kinneberg declined to discuss the incidents but said PT Freeport Indonesia, the company's majority owned subsidiary that operates the Grasberg mine, is cooperating with local investigators.
The attacks are the latest in a string of violence near the mine in recent years. Three contract teachers, including two Americans working for Freeport in 2002, were killed in an ambush on a road near the mine by a local separatist group.
Last week, during the Indonesian presidential elections, arsonists started fires outside the mine area, damaging several Freeport vehicles and facilities.
Separatist groups protest the Indonesian government's rule over the remote eastern province of Papua, where the Grasberg mine is located. They view the mine as symbol of the government's alleged exploitation of the area's natural resources.
Roe Goddard, an associate professor at Thunderbird who focuses on Asia business issues, said American economic struggles have resulted in a plunge in demand for Asian exports. Those financial woes have intensified the political strife in countries such as Indonesia.
"Indonesia as a whole has . . . really been hard-hit by the recent global financial crisis, experiencing rising levels of unemployment and additional economic stress," Goddard said.
Before Freeport's acquisition of Phoenix-based Phelps Dodge in 2007, the Grasberg mine was its primary asset. Despite being more diversified today with mines in North America, South America and Africa, it continues to rely heavily on the Grasberg complex. The mine contains the largest single recoverable copper reserve and gold reserve in the world. In 2008, its Indonesia mining operations contributed $3.4 billion to its $17.8 billion in annual sales and $1.3 billion in operating income, helping keep its annual operating loss at $12.7 billion.
Freeport, one of five Arizona-based Fortune 500 companies, expects the Grasberg operations to sell 1.3 billion pounds of copper and 2.2 million ounces of gold this year.

http://www.azcentral.com/arizonarepublic/business/articles/2009/07/13/20090713biz-freeport0714.html

Battle raging in US mining country


Despite its obvious environmental impact, mountaintop mining still has support from many in West Virginia

Opinion is divided in West Virginia's coal belt over a controversial mining technique, reports Jean Snedegar for the BBC's Americana programme.
For years, a battle has been raging in the Appalachian Mountains over a coal-mining practice known as "mountaintop removal mining".
In the last three decades this kind of mining has flattened some 2,500 square miles, and buried more than 1,200 miles of mountain streams.
With a new administration in Washington, the battle over mountaintop removal mining is heating up, most notably in southern West Virginia - and grassroots activists are at the forefront.
Blasting and dumping
Maria Gunnoe, 41, lives with her husband and two children in a tiny community called Bob White, in Boone County, which produces more coal than any other county in the state.
Her family has lived in the area for more than 200 years, and coal mining has been in her family for generations. Two of her brothers are underground miners.
But over the last 10 years, coal has started to threaten her land, and her life. Three different mountaintop removal operations surround Ms Gunnoe's home, which sits in a steep, narrow hollow. The first mine started in 2001.
"To begin with I heard chainsaws," she tells me.
"When I went back, I seen massive clear-cutting on the mountain behind where I live at. All of the trees and timber that weren't of value went into the valley behind me."


I had the opportunity to sit and watch the sun set on this mountain for the last time last year... It'll never happen again - the mountain has been blasted down now
Maria Gunnoe
Anti-mountaintop removal activist
Shortly afterwards, the mining company began blasting the top off the mountain, and dumping the rock and debris - called "overburden" - that it had removed from above the coal seam into the valley as well.
When she walked up the stream that flows by her house - also her main water source - she noticed it was plugged.
"This is known as a valley fill," Ms Gunnoe explains.
The valley fill contained two ponds full of waste water from the mine.
In 2003, some of that waste water broke through and flooded the narrow valley where Ms Gunnoe lives.
"The flooding devastated our property. In places it was 20ft deep and 60ft wide - almost like a mini-tsunami. It literally washed live standing trees by myself and my family. We were trapped in. We had no way out."
And emergency services had no way in.
In the flood's wake, Ms Gunnoe and her husband lost five acres of land, the access road to their property and the stream which served as their water supply. Today it contains toxic levels of selenium.
Disappearing communities
Regular blasting continues above her property.
"I have coal dust inside of my computers, my TVs, my refrigerator - everything in my home is inundated by coal dust. My kids shouldn't have to be breathing this. Our community members shouldn't have to be breathing this."
Ms Gunnoe's experiences turned her into an activist and community organiser against mountaintop mining.
Since 2004, she has testified at hearings for mountaintop removal permits and in lawsuits against coal companies.
As a result, she faces regular intimidation from angry miners who feel she is taking away their jobs.
But Ms Gunnoe is eager to show anyone who will listen what the mining has done to the community where she grew up - to the homes, air and water.
From her house, we drive about 10 miles along a narrow, twisty road that used to be populated with small mining communities.


For every mining job that's out here, there's approximately four or five other jobs that are generated by that one miner working
Roger Horton
Citizens for Coal
But with mountaintop mines on either side of the road, many of the mountaintops have disappeared.
Pointing to one flattened summit, Ms Gunnoe says: "I had the opportunity to sit and watch the sun set on this mountain for the last time last year - for the last time ever. It'll never happen again - the mountain has been blasted down now."
Most of the small communities have disappeared too. Residents have been bought out, or driven out by the noise of blasting and large mining machines.
Despite the obvious environmental impact on land and water, many people in West Virginia support mountaintop mining.
Coal brings 20,000 mining-related jobs and earns $8bn (£5bn) a year.
Of that, the state gets more than $400m in taxes - a major source of income in the state.
Job generation
About 25 miles from Maria Gunnoe's home, Roger Horton drives a lorry at Guyan Mine, owned by St Louis-based Patriot Coal and the sixth largest mountaintop mine in West Virginia.
In January, he started a pro-mountaintop mining group called Citizens for Coal.
"I decided that we should be pro-active," Mr Horton says.
"We should come forward and tell the entire world what it is that we do here and how it benefits America. Over half of the electrical energy that we use in this country is derived from coal."
Mr Horton points out the clear economic benefits: that miners earn two to three times the average wage of the area, and how some former mining sites have been reclaimed.
On one site near his home is a new regional jail. On another, an industrial park, and on a third, a new NASCAR racetrack is being built.
"On top of that, for every mining job that's out here, there's approximately four or five other jobs that are generated by that one miner working," Mr Horton says. "And we buy cars, we buy homes, we buy clothing, food - it's just in the best interest of everybody for us to continue working. It really is."
In late June, Maria Gunnoe and Roger Horton took their battle to Washington - to a Senate sub-committee hearing on "The Impacts of Mountaintop Removal Coal Mining on Water Quality in Appalachia".
At the hearing, Maria Gunnoe told her story, and Roger Horton and 200 other miners and their families were there to show their support for mountaintop mining.
Two senators - Democrat Ben Cardin of Maryland and Republican Lamar Alexander of Tennessee - are planning to introduce legislation that could effectively ban mountaintop removal mining.
This is music to the ears of those like Ms Gunnoe who believe passionately that it should be stopped, and anathema to those who support mountaintop removal mining.
Though Maria Gunnoe's work recently brought her the 2009 Goldman Environmental Prize for North America - sometimes referred to as the "Green Nobel" - Roger Horton remains confident that mountaintop removal mining will not be stopped any time soon.
"I believe that in the end that we will be victorious, and continue to mine coal," he said.

http://news.bbc.co.uk/2/hi/americas/8148395.stm

Other News

Transparent Environmental clearance process and sharing information with all stakeholders

15:10 IST
Rajya Sabha

Ministry of Environment & Forests has proposed amendments in the Environment Impact Assessment Notification, 2006, vide S.O. 195(E) dated 19th January, 2009 for obtaining comments / suggestions from all concerned. The environment clearance process is attempted to be implemented in a transparent manner and the information shared with all stakeholders.

The proposed amendments are both clarificatory in nature and also to make the notification more comprehensive and rationalized, which inter-alia include: (i) enhancement of threshold limit for construction projects from 20,000 sq.m. to 50,000 sq.m, (ii) modernization and expansion projects without increase in pollution load to be exempt from the provision of EIA Notification, 2006, (iii) prospecting of minerals to be exempt from EIA Notification, 2006, (iv) biomass based power plants upto 50 MW to be exempt from EIA, (v) category ‘B’ projects to be exempt from scopping for three years, and (vi) proactive / voluntary disclosure of information relating to grant of environmental clearance for ensuring effective implementation and enforcement of environmental regulation through the creations of societal vigil. The comments / suggestions on the proposed draft amendments have since been received. The Environment (Protection) Act, 1986 provides a time limit of 365 days for finalization of the draft Notification from the date of its issue after taking into consideration the comments received.

An Expert Group constituted under the Chairpersonship of Smt. Sindhushree Khullar, Special Secretary in the Department of Economic Affairs to examine the schemes of statutory clearances for industrial and infrastructure projects in India in its report dated November 10, 2008 made recommendations for rationalizing the procedure for environmental clearance which inter-alia included; (i) expeditious constitution of the State Level Environment Impact Assessment Authorities for all the States / UTs, (ii) evolving of standardized Terms of Reference for undertaking detailed Environment Impact Assessment (EIA) studies, (iii) wide publicity for the provision existing in the EIA Notification regarding appointment of alternate agency for timely completion of public hearing, (iv) exemption of certain category of expansion projects from the purview of EIA and (v) combined clearance under CRZ Notification of 1991 and EIA Notification, 2006.

The Expert Group as referred to above was to examine the schemes of statutory clearances for industrial and infrastructure projects and suggest specific steps for removal of bottlenecks and speeding up the approval process of these projects. The other Members of the Group included; (i) Dr. Renu Singh Parmar, Advisor (Industry), Planning Commission, (ii) Shri N.N. Prasad, Joint Secretary, Department of Industrial Policy & Promotion, (iii) Shri Hari Sankaran, Managing Director, Infrastructure Leasing and Financial Services Ltd., (iv) Dr. Rajiv Lall, Managing Director & CEO, Infrastructure Finance Company Ltd., (v) Shri S.S. Kohli, Chairman and Managing Director, India Infrastructure Finance Company Ltd., (vi) Shri Shubendu Amitabh, Senior President (Corporate Affairs), Aditya Birla Management Corporation Ltd., Representative of ASSOCHAM, (vii) Shri Ravi Singh, CEO, World Wildlife Fund for Nature – India, Representative of CII, (viii) Shri Surendra Kumar, Advisor, Federation of Indian Chambers of Commerce and Industry, Representative of FICCI and (ix) Dr. Arvind Mayaram, Joint Secretary, Infrastructure, Department of Economic Affairs.

The various steps taken to bring transparency in the clearance process inter-alia include, exhibiting the information in public domain on the website of the Ministry relating to (i) status of pending projects, (ii) schedule and agenda of the meeting of Expert Appraisal Committees, (iii) minutes of the meeting, (iv) clearance letters and (v) circulars and guidelines / instructions relating to Environmental Clearance.

Minister of State for the Ministry of Environment and Forests (Independent charge) Shri Jairam Ramesh replied in a written question by Shri Subhash Prasad Yadav in Rajya Sabha today.

KP/DB

http://pib.nic.in/release/release.asp?relid=50216


Prepare database on slums, Selja tells States

Special Correspondent
Rajiv Awas Yojana norms under preparation
________________________________________
Need to develop an urban land policy
Create legal framework to accord property rights to slum dwellers
________________________________________


NEW DELHI: Union Minister for Housing and Urban Poverty Alleviation Kumari Selja has asked Chief Ministers to amend the existing city planning models and prepare and implement ‘inclusive’ master plans to address the needs of slum dwellers. She wanted the States to complete survey of all slums in cities and towns within three months and develop an authentic database on the prevailing field conditions.
In her letter, Ms. Selja said her Ministry was formulating the parameters of the Rajiv Awas Yojana for slum dwellers as announced by the President in Parliament.
Developing a robust database on slums, visioning slum-free cities and towns and creating a legal framework to accord property rights to slum dwellers and the urban poor, reconfiguring and developing an urban land policy for slums with basic infrastructure networks, adopting a ‘whole city’ approach and access to cheap credit are some key elements under consideration.
Pointing out that the master plans in the past had led to exclusion of the poor from the city development process and driven them to precarious and illegal settlements, Ms. Selja said there was need to develop an urban land policy and a legal framework for according security of tenure and property rights to the urban poor. The legal framework may also cover innovative land assembly techniques including land pooling, use of the Floor Space Index as a resource, incentive zoning and other measures to promote affordable housing to the urban poor.
“I would request you to consider not only the needs of the existing slums but also the causes as to why slums arise. Urbanisation is bound to occur and the cities must be prepared to provide space to the growing urban population, many of whom may be poor. Both the issues of backlog as well as those likely to emanate from the future urban growth rate are to be tackled. Inclusive cities will be critical to inclusive growth and tapping fortune at the bottom of the pyramid,” the Minister said.

Variation in monsoon not due to climate change: Ramesh


13 Jul 2009, 1615 hrs IST, PTI

Print EMail Discuss Share Save Comment Text:
NEW DELHI: Climate model studies has shown no significant impact on change in the mean onset of monsoon in the country, government said.
"The long-term mean onset date of monsoon in India is 1st June, with a standard deviation of about 8 days," Environment minister Jairam Ramesh informed Rajya Sabha.

"However, year to year variations in the onset or the propagation are part of the natural variability and cannot be attributed to climate change," he said.

He however, added that "the government is aware of the challenges posed by climate change and has taken steps in this regard,"

Ramesh said the National Action Plan on Climate Change (NAPCC) which was released on 30th June last year outlines steps that will enable the country to adapt to climate change and enhance the ecological sustainability of India's development path.

Indian Institute of Tropical Meteorology (IITM) in Pune is a dedicated centre for climate change research set up to undertake focused research on the science aspects of climate change, the minister added.

http://economictimes.indiatimes.com/Global-Warming/Variation-in-monsoon-not-due-to-climate-change-Ramesh-/articleshow/4772586.cms


BJP seeks immediate solution to water woes

DNA
Monday, July 13, 2009 18:53 IST
Email


Print


Text


Share

Jaipur: Opposition BJP today staged a walk-out in the assembly over acute water shortage in remote areas of the desert state and demanded an immediate solution to the crisis. The saffron party was irked over Water Resource and PWD minister Mahipal Maderna seeking support of opposition parties and public to solve water scarcity.
________________________________________

BJP deputy leader of House Ghanshyam Tiwari said the government has announced a long-term programme and that it provided no immediate relief to public and cattle reeling under water shortage in many parts of the dry zones. Maderna had said a collective effort of all, including Opposition MLAs and public, could control the crisis.
Throwing light on the expanding dry zone, the minister in his reply said, there were only 12 divisions declared as dry zone in 1984, but it rose to 195 in 2008 in the state. "We are reviewing ground water situation in the state and can say that stored ground water would deplete in ten years," he cautioned.
"Weather system and rain pattern are changing, ponds are drying while dams are also getting empty, so we need strong and collective efforts for a permanent problem," he said. BJP's Kolayat MLA, Devi Singh Bhati, who raised the issue of water scarcity in his constituency protested saying that the minister did not offer an immediate relief to people of his region and threatened to start a fast-unto-death if the issue was not solved immediately.
http://www.dnaindia.com/india/report_bjp-seeks-immediate-solution-to-water-woes_1273674