Company looks forward to govt support to navigate freefall of iron ore prices; Chief Minister Parsekar flags off first shipment of iron ore PANJIM: Vedanta’s iron ore division shipped its first cargo of iron ore on Monday after resuming mining operations at its Codli, Bicholim and Surla mines. The first shipment of 88,000 tonnes, comprising mostly e-auctioned ore, was exported to China on the vessel “Ao Hong Ma”. Vedanta’s iron ore division is the first mining company to start operations in Goa after the three-year ban on mining was lifted. Chief Minister Laxmikant Parsekar after flagging off the vessel said, “Vedanta has taken the lead and I am hopeful that all other miners will follow suit. Vedanta took the initiative and adopted a proactive approach, to fulfill their promise. Further, they have kept the work force motivated during trying times. This is the need of the hour and I wish them great success in their endeavours.” Parsekar added, “The industry has suffered and so have the people of Goa due to the mining ban. The industry still faces many hurdles of taxation, dumping outside lease area, and increase in production capacity. The need of the hour is the support and cooperation of all stakeholders, especially the truck and barge owners to work towards attaining complete mining in Goa. I am positive and confident that very soon we will be able to see the mining industry resume business in full swing.” Vedanta iron ore division Chief Executive Officer Kishore Kumar said, “This achievement of resuming operations after three years of suspension on mining activity is with significant challenges. Iron ore prices are in free fall and are nose-diving. We also are faced with an arduous task of recovering our fixed costs and look forward to complete utilization of the manpower and resources. We are positive that we will overcome the tough times and are well positioned to achieve our production target.” At the peak of mining activity, Goa contributed US $ 7.5 billion to the nation’s foreign exchange. Vedanta expects to mine 5.5 million tonnes of fresh iron ore from its mines in Goa. The low grade ore is not used by domestic steel makers, and most of it will be exported by March 2016. The company is also seeking a higher production capacity allowance from the government which has now been capped at 20 million tonnes per annum in the State. Issues of removal of export duty for low grade iron ore and dumping of overburden and waste outside the lease area need quick resolution if the mining industry has to go full steam in the State.