Government cancels auction of 13 out of 20 mineral blocks due to tepid response

Mineral block auction cancelled: The government announced on Friday the cancellation of the auction for 13 out of the 20 mineral blocks initially offered for sale in the first tranche of critical minerals due to a tepid response.

In a statement, the mines ministry declared, "The e-auction process for 13 mineral blocks was annulled vide notification dated March 13, 2024, as no bids were received for two blocks, and less than three technically Qualified Bidders (TQB) participated for 11 blocks."

Out of the total 20 blocks on offer, a total of 56 physical bids and 56 online bids were received for 18 blocks. Following the cancellation, seven of the abandoned mines have been earmarked for auction in the third round.

Meanwhile, the second round of auction for six blocks has been successfully concluded according to schedule.

Regarding the Kundol, Nickel, and Chromium block in Gujarat, a decision will be made by the designated officer in due course, as stated in the ministry's announcement.

Earlier this month, the government initiated the third tranche of auction for critical and strategic minerals, marking the ongoing efforts in this domain.

With this development, the Centre has now launched auctions for a total of 38 critical and strategic minerals to date.

(With PTI inputs)