NLC LIMITED ('Navratna' - A Enterprise)

MINE-II PRE-FEASIBILTY REPORT FOR MINING OF LIGNITE & ASSOCIATED MINERALS (Silica sand & Ball clay)

PRE-FEASIBILITY REPORT FOR MINING OF LIGNITE & ASSOCIATED MATERIALS AT MINE-II

1. INTRODUCTION: NLC India Limited, (NLCIL) formerly ( Lignite Corporation limited) is Navaratna, a Government of India Enterprise registered under Indian Companies Act, 1956, engaged in commercial exploitation of the Lignite deposit available at Neyveli region.

NLCIL is engaged in commercial mining of the Lignite deposit available at Neyveli region in as well as in . Four lignite mines having a combined production capacity of 30.6 MTPA feeding lignite to thermal power stations having a combined generating capacity of 3240 MW. NLCIL is operating 1000 MW Coal based Thermal Power Station as joint venture project with NLC Tamilnadu Power Limited. The total power generating capacity of NLCIL is 4240 MW. In addition, NLCIL is also supplying lignite (1.9 MT/Y) to an Independent Power Plant (TAQA) of 250 MW generation capacity. A New Neyveli Thermal Power Station (NNTPS) of 1,000 MW generation capacity at Neyveli is under commissioning as a replacement for the existing TPS-I of 600 MW.

In the Non-Conventional Energy Sector, 51 MW wind power project and 640 MW Solar Power Project has been commissioned in Tamilnadu while another 709 MW at Neyveli is under implementation stage.

NLCIL has signed a JV agreement with UP Government to establish a 1980 MW Power Station (3 x 660MW) at Ghatampur, Uttar Pradesh and the project is at the execution phase. The below tables show the NLCIL existing operating projects. Another 3200 MW (4 x 800 MW) coal based Power Plant is planned in Odisha utilizing the coal from Talabira mine.

EXISTING NLCIL OPERATING MINES

Lignite Production capacity Sl. No. Existing Mine per annum in MT 1 Mine-I at Neyveli, Tamilnadu 10.5 2 Mine-IA at Neyveli, Tamilnadu 3.0 3 Mine-II at Neyveli, Tamilnadu 15.0 4 Barsingsar, Rajasthan 2.10 Total 30.60

EXISTING NLCIL OPERATING SOLAR & WIND POWER PLANTS

Existing NLCIL Renewable Energy Power units Sl. No. Power Units Capacity in MW 1 Solar Power Plant at Neyveli, Tamilnadu 140 MW 2 Solar Power Plant at South Tamilnadu 600

3 Wind power plant at Tirunelveli District, Tamilnadu 51

Total Renewable Energy Power plant capacity 791

1.0 PROJECT DETAILS: The applicant , Mine-II is a existing operating mine with a capacity of 15 MTPA to cater Thermal Power Station - II & Thermal Power Station - II Expansion. of 1970 MW. It is one of the important project at National level.

In order to expose lignite, overburden thickness of 45m to 112m has to be removed as waste. The Overburden consisting of lateritic loam or blackish grey alluvial clay with Kanker, group of sedimentaries, Sporadic occurrences of hand ferruginous and siliceous sandstones, unconsolidated sandstone with admixture of clay and silica sand occurring immediately above lignite and alternate layers of sand and clays below lignite. During the process of overburden removal and Lignite excavation, economic bands of clay and silica sand occurring within these formations were found which are segregated towards conserving natural resources.

For lignite production capacity of 15 MTPA of Mine-II, Environment Clearance from Ministry of Environment and Forest was obtained during December, 2002. The corresponding Environmental Impact Assessment report prepared by M/S Vimta labs earlier considered lignite as the main product and did not consider the recovery of clay & silica sand which occurs sporadically. Now it is proposed to include the clay & silica sand as an associated product with lignite, for which an amendment in EC is required incorporating the recovery of clay & silica sand. Hence this pre feasibility report is prepared for submission to MOEF & CC.

2. DETAILS ABOUT THE MINE:

The salient features of the project are given below:

Project name NLCIL, Lignite Mine-II (Open cast) Project proponent NLC India Ltd. Villages in the Mine area Spread of Mining area in part/full of the following villages:

Kammapuram, Kottagam, Seplanatham, Siruvarappu, Uyyakondaravi, Sathapadi, U. Adanur, Valaymadevei Keelpadi, Valayamadevi Melpadi, Agaram, Arasakuzhi, Kulapakkam, Kumaramagalam, Gopolapuram, Aziz Nagar, U.Mangalam, Uthangal, Vadakkuvellur, Veppanakurichi, Kathazhai, Managathi, Melpapanapattu, Mummudicholagam, Neyveli, Seplanatham & Maduvanamedu.

Longitude / Latitude Mine –II, Area Code Latitude Longitude o o o o 1 11 27” and 11 32” N 79 27”and 79 35” E Total Mine project Area Mine II & Mine II Expn. is 7193.975 Ha. Reserve Lignite: Geological Reserves : 622 MT, Mineable reserve : 595.69 MT, Mined Out : 304.27 MT (as on 31.03.2019) Balance Extractable Reserves : 291.42 MT

The occurrence of silica sand and ball clay is sporadic in nature, the reserves in the mine advancing front is estimated as below Silica sand: Mineable reserve : 32.37 LT Ball Clay: Mineable reserve : 26.88 LT Rated capacity (per annum) Lignite : 15.00 MT; Silica Sand : 02.00 LT; Ball clay : 00.50 LT

Life of the mine 20 years (considering balance lignite reserve mined at 15 Mt per annum)

Stripping ratio (OB/Lignite) 5.20:1 m³/T Overburden & Lignite: SME Technology (BWEs, Conveyors, Spreaders) Method of Mining & Transportation Overburden & Lignite associated materials (ball clay & silica sand): SME/ CME (shovel & dumper combination) as per site conditions.

Overburden quantity 1510 Mm3 (to be removed) Working days 365 days/year (3 shifts of 8 hour each)

Average number of persons worked during 2018-19 through direct Manpower employment is 2448 and employed through contractor is 1808.

Cost of the project for 4.7 MTPA: Rs.278 Crs. Cost of the project Cost of the project for 10.5 MTPA: Rs.1065.4 Crs. Cost of the project for 15.0 MTPA: Rs.2295.93 Crs. Elevation +15 m to +27 m above mean sea level (msl) Topography Flat

Mining lease: NLCIL was granted Mining Lease for mining in the region for a period of 20 years with effect from 6.12.1956 . Thereafter upon its expiry, first renewal of the aforesaid lease was granted for a period from 6.12.1976 to 5.12.1996 and second renewal was granted for a period from 6.12.1996 to 5.12.2016. Copy of composite Lease document of Neyveli Lignite Field (259 Sq.km) is enclosed which is valid up to 2016. For third renewal of mining lease, application submitted to the Tamilnadu state Geology and Mining department, through District collector, Cuddalore on 04.12.2015 before the expiry of lease. As per the Rule 24-A(6) of the Mineral Concession Rules, 1960, if the renewal application of mining lease submitted twelve months before the date of expiry of the lease period, the period of lease shall be deemed to have been extended by a further period till the State Govt. grants the lease.

3. Need for the project and its importance to the country and or region

Mine-II is an operating unit and feeding lignite to Thermal Power Station-II & II Expansion. The exploration studies carried out and our past mining operation has showed that in addition to lignite occurrence, sporadic occurrence of silica sand and ball clay was noticed. There is demand in market for silica sand used in glass making and ball clay used in making ceramic materials. In addition to lignite, recovery of silica sand and ball clay also will bring good return to State as well as Central Governments in the form of royalty and taxes. Therefore this proposal is very much essential in the perspective of conservation of these valuable raw materials, which otherwise would go as waste to the dump yard.

INDEX MAP OF MINE-II

4. Land use The Project area for Mine-II project is 7193.975 Ha which includes mine area, external dump area and infrastructure. In addition 159.645 Ha land is envisaged for formation of Re-settlement centers for displaced people. The present land use breakup details is given below:

LAND USE DETAILS TILL 31.03.2019 BREAK-UP

Sl. No. Land use Area in Ha

1 Area mined out 2355.61

2 Area reclaimed 874.50

3 Area afforested 670.50

4 No. of tree plantations 1320650

5 External OB Dump 1242.35

Reclamation and afforestation of overburden dumps is being carried out progressively as per approved Mine Closure Plan.

5. Demand-supply gap: There is a good demand in market for silica sand used in glass making and ball clay used in making ceramic materials. Mining these materials will increase State as well as Central Governments income in the form of royalty and taxes and contributes to nation’s growth by meeting market’s demand.

6. Imports vs. indigenous production Indigenous production benefits the community through direct and indirect employment creation. There is no import of this silica sand and ball clay at present.

7. Export possibility There is no export of this quality of silica sand and ball clay at present as there is demand in the country itself for these products.

8. Employment generation:

At present about 4,256 number of persons employed inclusive of both direct employment and employed through contractor. There is no additional manpower requirement for recovery of silica sand and ball clay.

9. PROJECT DESCRIPTION

Mine II project area : 7193.975 Ha. Mining area : 4122 Ha. Lignite Mining Capacity : 15.0MTPA

Details of alternate sites & Environmental considerations and Basis of selecting the proposed site:

Lignite deposition is site specific and mining in this area is inevitable. Hence, no alternate site could be considered. In order to exploit lignite, the overburden removal is carried out as a waste material during the removal of overburden ball clay and silca sand also mined out.

10. Geology

10.1 Regional Geology:

Geologically, the selected mining area and the surrounding area belong to the Upper Miocene age of the Tertiary & Recent. The sequence of the geological formation in the mining area and for the region is given below:

TABLE SHOWING STRATIGRAPHY OF NEYVELI AREA

11.0 Geology of the Area:

Geology of the second mine cut area is similar to the first mine cut area in the sense that in both the areas lignite is associated with Tertiary formations of upper Miocene age and stratigraphically similar formations, in the same sequence, are met within both the areas. i.e., sandstones, clays, lignite and aquifer sands. These formations are designated as “Cuddalore group of sedimentaries”.

Figure showing Geological map of the region

Typical vertical litho section of Mine-II

G.L G.L 0 TOP SOIL & LOAM

10

ARGILLACEOUS 20 SANDSTONE

30

40 MOTTLED CLAY

50 L

. 60 ARGILLACEOUS

G SANDSTONE

M

O 70

R

F

S CLAY E

R 80 CARBONACEOUS CLAY

T E S)EMI C ONFINED A QUIFER

M SAND(

N 90

I

H T

P 100

E LIGNITE D

110 CLAY SAND(Confined Aquifer ) 120 CLAY

130 SAND(Confined Aquifer ) 140 CLAY 150

There is no indication of any major structural features like folds, faults, etc., within the “Cuddalore” in this area.

Sub-surface lithology of Neyveli Lignite Field is mainly based on the exploratory borehole data. The investigations of the exploratory boreholes as well as the irrigation wells established in the area form the main basis for the interpretation of the sub-surface aspects of the area. The Tertiary formations are exposed in the northern edge of the present and proposed Expansion area of Mine II, while the alluvial deposit covers the rest of the area. The total thickness of the overburden material ranges between 45 and 112 m. The uppermost layer consists of either lateritic loam or blackish grey alluvial clay with Kanker and succeeded by Cuddalore group of sedimentaries. Sporadic occurrences of hand ferruginous and siliceous sandstones are observed which requires selective blasting for uninterrupted mining. The unconsolidated sandstone formation with admixture of clay occurring immediately above lignite, generally ranges between 3 and 15 m thickness (semi confined aquifer). Lenses of economically mineable quantity of silica sand is occurring at the bottom of this formation. The lignite underlies this formation and varies in thickness from 4 to 24 m. In most of the area 2 to 3 m of thick clays separate the lignite seam from the underlying confined aquifer, which contains alternate layer of sand and clays. The ball clay and silica sand is of sporadic occurrence in nature in the selected lignite mining area.

11.1 Reserves:

Lignite: The general dip of the lignite bed is in East to South -East direction with 1 in 70 to 1 in 100 gradient. The basin is devoid of any geological disturbance like fold or fault. The lignite is mainly of single seam, but splits into two or three seams at the eastern boundary with inter burden consist mostly of clay and fine sand. Lignite thickness varies from 4 m to 24 m.

The Geological Reserve of the Mine-II is 622 MT and mineable reserve in selected mine area of Mine II is 595.69 MT. Lignite so far mined out upto 31.03.2019 is 304.27 MT.

The Reserve details and basic Project Parameters of the Mine-II block are given in the in the below table.

LIGNITE RESERVE & BASIC PROJECT PARAMETERS

Sl. Parameters Unit Value No. 1 In-situ Geological Reserves of Mine-II block Mt 622 2 Extractable / Mineable Reserves Mt 595.69 3 Balance Extractable / Mineable Reserves Mt 291.42 4 Balance Volume of OB to be excavated Mcum 1510 5 Stripping ratio t/ cum 1 : 5.2 6 Target Capacity at 100% capacity Mt/annum 15.0 7 Projected Project/ Mine Life at 15MTPA Lignite Production Years 20

Reserves of Silica sand and Ball clay : Silica Sand: A layer of sandy formation having a thickness of few meters to 15.0 m is occurring just above lignite sporadically. This formation form the semi confined zone in Mine-II. Lenses of economically mineable quantity of silica sand is occurring at the bottom of this sandy formation. However the silica sand is mixed with clay matter, iron oxides and sulphur bearing mineral (marcasite matter). It shows dull greenish in color.

A drawings showing the mode of occurrence of silica sand and ball clay deposits in the mining area is shown in plate No.1 & 2.

Plate No.1

Silica sand

A lenzoid body of Silica sand deposit occur just above lignite seam in Mine-II Plate No: 2

Analyzed silica sand samples collected from the exposed area revealed SiO2 content of around 90.0% or less and also contains impurities like oxides of iron, marcasite (Sulphur as SO3) and clay particles. The analytical results of the silica sand is enclosed in Annexure-I.

Because of sporadic occurrence of silica sand, the estimated reserve of silica sand in the lignite mining area is about 32.37 LT. However the reserves may vary depending upon the reserve estimation by drilling exploratory bore wells in the closed intervals during the lignite mine face advancement.

Ball Clay: The ball clay mostly reported as clay in the bore holes below lignite and in most of the bore holes, sand layers exists immediately below lignite. Which suggests ball clay is of sporadic occurrence in nature in the selected lignite mining area. Because of sporadic occurrence of ball clay, the estimated reserve in the lignite mining area is about 26.88 LT. However the reserves may vary depending upon the reserve estimation by drilling exploratory bore wells in the closed intervals during the lignite mine face advancement.

11.3 Lignite / silica sand mining with process details:

The Overburden is being removed in 5 benches viz, New Surface, Surface, Top, Middle and Bottom by Specialized Mining Equipments like Bucket Wheel Excavator, Belt Conveyor, Tripper and Spreader. During progressive mining, the overburden (OB) excavated for in order to mine lignite is dumped as Inside & Outside Dumps. These dumps are reclaimed by proper terracing and stabilized and top soil which is excavated from mine advancing front is spread over these refilled/ dump area for afforestation.

Lignite excavation is carried out by Bucket Wheel Excavators, transported to pit head lignite bunker by belt conveyors and stacked by stacker. From bunker it is reclaimed and dispatched to Thermal Power Stations by belt conveyors.

The silica sand is available in the bottom of the Bottom bench. When the mine advancement taking place by cutting the overburden through Bucket wheel excavator, the silica sand will be handled and loaded in the conveyor and separately stocked in the dumping side. From dumping side, the silica sand is re-handled using conventional mining equipments and transported to the Stock Yard located in the surface. The method of mining depends on the site condition, mode of availability of silica sand.

The ball clay is associated with lignite as pockets at places and it could be mined using conventional mining equipments like shovel and transported through dumpers. After weighing separately, silica sand and ball clay are transported by dumpers to stock yard at surface for storage before selling to the interested parties.

YEARWISE MOVEMENT PLAN OF MINE-III WITH EXTERNAL DUMP YARD

Sequence of mining:

Continuous opencast mining method by deploying SME-Specialized Mining Equipment comprising of BWE-Bucket Wheel Excavator, Conveyors, Tripper Car, Spreader, Stacker & Reclaimer for removal of overburden and lignite mining. For mining and transportation of silica sand and ball clay, SME/ CME will be used as per availability of reserve and site conditions with stock yard at surface for storage before selling to the interested parties.

TENTATIVE MINE-II YEAR WISE PRODUCTION SCHEDULE

Year OB in MCM Lignite in MT 2019 - 20 85 (78+7) 15 2020 - 21 85(78+7) 15 2021 - 22 85(78+7) 15 2022 - 23 85(78+7) 15 2023 - 24 78 15 2024 - 25 78 15 2025 - 26 78 15 2026 - 27 78 15 2027 - 28 78 15 2028 - 29 78 15 2029 - 30 78 15 2030 - 31 78 15 2031 - 32 78 15 2032 - 33 78 15 2033 - 34 78 15 2034 - 35 78 15 2035 - 36 78 15 2036 - 37 78 15 2037 - 38 78 15 2038 - 39 0 6.42 Total 1510 291.42

With the balance reserve of 291.42 MT, at rate of 15 MT lignite production per annum, expected mine life is 20 years. Mine life might vary subjected to yearly production & consumption from linked Thermal Power Stations. Where ever the stripping ratio is higher, excess quantity of overburden is being removed by outsourcing. TENTATIVE MINE-II YEAR WISE PRODUCTION SCHEDULE OF SILICA SAND & BALL CALY

Period Production schedule Silica sand (T) Ball Clay (T) 2019 -20 200000 50000 2020-21 200000 50000 2021-22 200000 50000 2022-23 200000 50000 2023-24 200000 50000 2024-25 200000 50000 2025-26 200000 50000 2026-27 200000 50000

2027-28 200000 50000 2028-29 200000 50000 2029-30 200000 50000 2030-31 200000 50000 2031-32 200000 50000 2032-33 200000 50000 2033-34 200000 50000 2034-35 200000 50000 2035-36 -- 50000 2036-37 -- 50000 2037-38 -- 50000 -- 50000

Mining of these materials silica sand and ball clay will be commenced upon receiving approval from concerned authorities. Depending upon the demand and reserve the above mentioned schedule may vary accordingly.

11.4 Raw Material Required Along with Estimated Quantity, Likely Source, Marketing Area of Final Product’s Mode of Transport of Raw Material and Finished Product:

No raw material is required as this is a mining activity. Only diesel would be required for transportation of vehicles and supporting HEMM and generators in case of emergency. The mined lignite does not require beneficiation.

The quality of ball clay is good and no beneficiation is required. Silica sand is of low grade and cannot be used for glass making in its raw form. So for conservation of mineral, it is proposed to wash the impurities to use in glass and other industries.

11.5 Resource Optimization/ Recycling and Reuse Envisaged in the Project:

Resources like Explosives, Diesel Oil, Machinery, Land, Power and Water are fully optimized to minimize unnecessary losses during the process of excavation and supply of lignite to the customers. The resources which are used in the mining are recycled by various methods. Spent oil from transformers, will be sold to the authorized vendors. The ground water pumped for safe mining is being used for power generation in linked thermal power stations. Mine sump water collected at settling pits shall be discharged from mine through pumps and used for dust suppression, mining activity and irrigation to surrounding villages. Silica sand and ball clay which are valuable raw materials will be conserved for beneficial industrial use instead of dumping as a waste material.

11.6 Availability of Water its Source, Energy / Power Requirement and Source:

Water:

The seepage water and the rain water collected in the mine sump is being utilized as industrial water required for washing, sprinkling on mine roads for dust suppression, for watering the mine site plantations and for irrigation of agricultural lands in the region. The drinking water is being supplied from bore well and stored in overhead tank near the facilities area and distributed through pipe lines to different facilities area for drinking and domestic purposes. The ground water pumped out to depressurize the upper confined aquifer for safe lignite mining is being utilized at interlinked thermal power stations for power generation.

Power:

The total power requirement of Mine-II & Mine-II Expansion for 15.0MTPA Stage is about 340MVA and its availed from the nearest NLCIL Power source i.e from TPS-II. Mine Sub Station with 12 transformers of 8 X 30 MVA & 4X 25MVA are installed and in operation.

11.7 QUANTITY OF WASTES TO BE GENERATED (LIQUID AND SOLID) AND SCHEME FOR THEIR MANAGEMENT / DISPOSAL:

It is an operating mine and the following best practices are adopted for the waste management.

Solid waste:

The overburden so far excavated upto 31.03.2019 in Mine-II project is 1891.92 is dumped at inside decoaled area as back filling and partial quantity was dumped at the external dump area.

As a part of environment restoration, these dumps are reclaimed by proper terracing and stabilized; top soil is spread over and afforested. Plantation includes fruit bearing trees, flowering plants and medicinal. Integrated farming & aquaculture is also being carried out in these afforested lands. Artificial ponds, deer park & boat house are established. In Mine-II, mine closure activities are performed as per the approved Mine Closure Plan approved by MOC. NLCIL has been awarded the prestigious Paryavaran Puraskar Award in appreciation of the outstanding work done in the area of reclamation.

In the remaining mining area, about 1510 Mm3 of overburden is to be removed in the remaining period of mine life and accordingly will be reclaimed and afforested as per Mine Closure Plan.

Waste water: Adequate drainage systems are available in the mining, service centre for allowing the water to flow in the predetermined path. Check wall, gully chute, edge bund, retaining wall, silt traps etc., are available to arrest washout from the mine dump area during rainy season. All along the mine roads drainage will be provided and benches will be properly sloped so as to avoid stagnation of water. The waste water generated in the service yard and canteen are treated and the treated water is used for gardening.

With above measures no adverse impact is envisaged on the surface water quality in the proposed lignite mining project. The quality of effluents is monitored regularly.

The water used for the process of washing the sand is allowed to settle in the setting pits for removing Suspended Particulate Matter.

Hazardous waste: The hazardous waste generated in the mine like used engine oil, used gear oil, used brake oils and other lubricants are stored in separate drums/cans and sent to disposal through authorized-recyclers.

Air pollution Control: Emissions from machines run by burning Fossil fuel (diesel) are controlled by properly maintaining the vehicles. Dust emanated from the mining operations is controlled by sprinkling water.

Noise pollution Control: Specialized Mining Machineries (SME) are used for excavation of OB and lignite. These are noise generating machinery for which noise proof air conditioned cabins is provided for operator and the noise levels are within the range of 60-90 dB (A). The effect of the shock/vibration from blasting is controlled at the mine surface level itself by restoring to the use of milli-second delay action detonators and milli-second detonating relays .There is therefore, no danger of vibration being carried on the nearer structures/Buildings.

Sewerage system

Sewage generated from office premises is treated through septic tanks and soak pits. Well established ETP is functioning in the township to treat the sewage from colony.

12.0 REHABILITATION AND RESETTLEMENT PLAN The following are the Integrated R&R benefits carried out for lands acquired at NEYVELI REGION FOR ALL PROJECTS.

Apart from ensuring the payment of compensation for the lost assets on a consensus and no- litigation basis, NLCIL is also implementing certain R&R provisions for the project affected families.

Assistances covered under NRRP2007  Rehabilitation grant of 750 days minimum agricultural wages in lieu of employment.  One time financial assistance of Rs.15,000/- for reconstruction of cattle shed.  Shifting allowance of Rs.10,000/- to the affected families whose house has been acquired.  One time financial assistance of Rs.25,000/- to the rural artisans, small traders.  Subsistence allowance of 25 days minimum agriculture wages for each month to a displaced project affected family, for a period of one year, paid in a single installment.  Allotment of alternate house site to the affected family whose house has been acquired, to a minimum extent of 120 sq.metre and a maximum of 250 sq.metre in well developed resettlement centres.  NLCIL is arranging self employment training, entrepreneurship training and other suitable training programs in association with reputed NGOs for affected persons, so as to facilitate them to get suitable jobs.  NLCIL is arranging exclusive ITI apprenticeship training, medical lab technician courses etc. for affected families.  NLCIL is giving preference to affected persons in awarding contract works in LA and R&R Department upto a value of Rs.5 lakh, subject to other prequalification requirements.  Awarding of contracts to PAP contractors registered under LA Scheme on preferential basis.  Income Generating Schemes of like cleaning material production & supply is in operation.  Wards of PAPs are providing in-plant trainings, assistance for project work at free of cost.  Continuance of Peripheral area Development Scheme. Over and above the NRRP-2007 provisions:-  Though the dwellers/encroachers of Govt. lands are not entitled for any compensation, NLCIL is paying on compassionate grounds, a sum equivalent to 50% of the value of the house structure in which the encroacher was residing.  NLCIL has obtained a special Government Order for directly calling for the applications from the Project Affected Persons for ITI Apprenticeship Training in NLCIL, instead of through the employment exchange.  NLCIL provides better Infrastructure and amenities in the Resettlement centres, than the original and peripheral villages.

New R&R Benefits:- with effect from 01.01.2014.

For lands being acquired for NLC India, with effect from 01.01.2014 compensation and the R&R benefits will be provided as per the provisions of RFCTLARR Act (Schedule I, II & III) and as directed by GoTN vide G.O. (Ms). No.13 Industries (SIPCOT-LA) Department dt.21.02.2018 and G.O.(MS) No.298 Revenue & Disaster management Dept. dt.20.09.2017.

CORPORATE SOCIAL RESPONSIBILITY:

CSR Policy:  Corporate Social Responsibility (CSR) has always been intricately embedded in NLC’s vision and mission to contour the corporate success. Right from its inception in 1956, NLCIL is engaging itself in various Corporate Social Responsibility activities, integrated with the business activities. NLCIL has been extending health, education, transport, library and sports facilities to surrounding public along with such services provided to NLCIL employees and their wards in the Neyveli Region. Exclusive CSR projects/schemes/ activities/ programmes are also being carried on by NLCIL for the benefit of the local society at large. With this long local CSR experience for over 5 decades, NLCIL has evolved and further formulated the Corporate Social Responsibility Policy and formally documented it on 26.10.09.  The main objective of CSR plans of NLCIL is to maximize NLCIL’s contribution to the Sustainable Development of the localities in which it operates.

 This main objective is translated into the following workable and result oriented objectives:  Striking win-win solutions in all situations involving the interest of the stakeholders  Establishing a harmonious relationship of NLCIL with the local public inclusive growth with appropriate value shared with all the stakeholders  Environment protection and up-gradation for the future. NLCIL’s CSR evolved as a natural corollary to its business operations: NLCIL’s operations are technology and project driven. The following dimensions of NLCIL’s CSR are conspicuous as a natural corollary to its business i.e., Mining and Power Station Projects of large scale: a. The production of desired products and rendering of quality services with minimum impact on the environment, including the human environment (during the economic life) and b. The Peripheral Development (regular extra-business contributions to the society/environment, integrated with business activities) Activities undertaken under CSR Policy: As regards the routine integrated CSR activities, NLCIL continues its contribution to the neighboring society in the important areas such as Education, Peripheral Development, Employability and Entrepreneurial/ Managerial Development, Health and also Life-quality Improvement. NLCIL is keeping harmonious relationship with the society and striving to maximize its contribution to the sustainable development of the region. In case of natural calamities/disasters/distress also, NLCIL is most responsive and hard working in the region and voluntarily extends emergency measures of help. CSR projects/schemes/activities/ programmes being carried on by NLCIL for the benefit of the local society at large in the Neyveli and Barsingsar regions are of the following forms, among others.  Patronizing Social Welfare Societies/Opportunity Schools for Special Children  Grant and Infrastructure to such special institutions and other educational societies  Community Health Screening Camps  Medical support to the elderly  Mosquito control programme  Plastic menace control programme  Immunization programme  Epidemics-control programmes (prophylactic measures)  Supplying water to the surrounding villages for irrigation  Sinking of drinking water bore wells in the surrounding villages  Bridges/culverts in the nearby villages  Public toilets in the nearby villages  CSR focused programmes of training and development for students and teachers  Facilitating In-plant Training and Project Work for students of various disciplines  Past service recognition measures  Death benefits to the family of the deceased employees  Contributions to the cause of women  Providing access to facilities of township to the neighboring villagers through subsidized Transport  Setting up of an Industrial Training Institute in Barsingsar  Supplied drinking water to urban agglomerations (1983 & 1993) and to Chennai city (2001) by rail and road, when struck by drought

 Voluntary deployment of NLCIL’s equipment and personnel with necessary material for disaster related relief operations in the region – Voluntary work undertaken in Tsunami affected areas (Jan 2005), Gaja affected areas (2018).  Food relief works in the surrounding area including repairs to Roads, providing temporary shelter and supplying food & medicines to the flood affected.  Under “Swachch Vidyalaya Abhiyan” scheme, constructed 1275 toilets at a cost of Rs.35.00 crores in government schools in the state of Rajasthan (140 Nos.) and Tamilnadu (1135 Nos.)  The year wise CSR expenditure of NLCIL is given below :

Budget Allocated Year Actual Expenditure (in Cr.) (in Cr.)

2010-11 2.48 13.23

2011-12 13 14.09

2012-13 13 14.26

2013-14 41.6 47.49

2014-15 44.27 81.93 2016-17 43.46 43.46

13.0 SITE ANALYSIS

13.1 Connectivity

Neyveli Lignite Mine-II is well connected by roads to Chennai (210 Kms due North), Cuddalore (45 Kms due east), Kumbakonam (80 Kms South) and Vridhachalam (19 Kms West). All the villages within the ambit of exploration area are interlinked by asphaltic and metalled roads. The nearest railway Station is Neyveli (1.0 Km North) which is located on the Cuddalore- Vridhachalam Section of Southern railway. The nearest air port is at Trichurapalli at a distance of about 120 km.

13.2 Land Form, Land Use and Land Ownership

The land requirement for Mine-II lignite project is 7193.975 Ha which includes mine area, external dump area and infrastructure.

13.3 Topography

The surface contours of the area indicate a gentle topography with elevations varying mostly between +27 meters in the northeast and +15 meters in the south-east.

13.4 Existing Land Use Pattern and Shortest Distances from the Periphery of the Project to Periphery of the Forest, National Park, Wild Life Sanctuary, Eco Sensitive Areas, Water Bodies, CRZ etc:

Reclamation and afforestation of overburden dumps is being carried out progressively as per approved Mine Closure Plan.

The existing project area does not fall under CRZ area. There are no National parks, Wild life sanctuary and eco sensitive areas are exists within 10 Km radius of the project boundary. The nearest wildlife sanctuary is Vedantangal Sanctuary at a distance of 100 km in NNE and nearest National Park is Eravikulam National Park present at a distance of 290 km in SW.

The environmental setting details the project area are below:

ENVIRONMENTAL SETTING

Item Description Distance Nearest Highway State highway No.10 7.0 km, North Nearest Railway station Neyveli 1.0 km, North Nearest Air port (70 km, East) Nearest Air port Chennai 230Km NNE (international) Nearest town Vadalur (8.0 km, East)

Nearest Water bodies Nearest River Parvanar river (2km,N), Manimukta river (4.5 km, SW), Vellar river (8.0 km, S) Nearest lake/ ponds Walaja tank (9.0 km, E), Vriddhachalam anicut, Wellington reservoir, Jambu eri, . Ecological Sensitive Zones within 15 Km from M.L. Boundary Nil National Parks/ Wild life Sanctuaries within 15 Km from M.L. Nil Boundary CRZ Nil Historical Places within 15 Km from M.L. Boundary Nil Any other Industrial Establishments Nil Nearest Forest Blocks Reserve Forests: Narumanam RF 11.0 km, NW Semakkottai RF 13.0 km, NW Velangulam RF 14.0 kM,N Ammeri RF 9.0.km, NW

Paravanar channel leading to walajai eri flowing in the advancing area of mine is being diverted in stagewise away from the mine movement area.

13.5 Existing Infrastructure Mine-II is a working mine, where all infrastructures like office building, statutory buildings, colony, roads, water supply, power supply etc are in place.

13.6 Soil classification: The Tertiary formations are exposed in the northern edge of the present and proposed Expansion area of Mine II, while the alluvial deposit covers the rest of the area. The uppermost layer consists of either lateritic loam or blackish grey alluvial clay with Kanker.

13.7 Climatic Data From Secondary Source:

The climate of this region is mainly tropical type and is influenced by the conditions in . However, the real monsoon months are October to December when the area is influenced by the North- east monsoon. The long-term data in respect of various meteorological parameters are monitored by NLCIL.

The area Secondary information on meteorological conditions has been collected from the Centre for the Applied and Research Development (CARD) of NLCIL. Data of 18 years (2001-2018) has been collected and analyzed. Wind speed, temperature, relative humidity is measured twice a day.

CLIMATOLOGICALLY DATA STATION: CARD, NEYVELI (2001-2018)

Month Wind speed in 0 Relative Humidity (%) Temperature ( C) km per hr 08:30 16:30 Max. Min. 08:30 17:30 January 9.0 9.0 35.4 20.8 98.0 96.4 February 6.0 14.0 35.3 21.7 85.9 64.3 March 3.2 11.0 37.5 24.0 95.5 84.8 April 4.4 14.0 43.9 35.4 68.7 56.3 May 6.0 16.0 43.6 27.4 68.1 58.6 June 6.0 11.0 42.9 27.6 82.9 78.5 July 6.0 20.0 42.3 26.4 75.1 76.9 August 6.0 16.0 41.1 25.9 100.0 89.0 September 6.0 16.0 40.4 25.5 100.0 60.9 October 8.0 12.0 38.3 23.9 100.0 97.2 November 6.0 9.0 35.8 23.0 99.9 96.5 December 8.0 11.0 33.8 21.5 95.3 99.4 Average 6.22 13.25 39.19 25.26 89.12 79.90

14. PLANNING BRIEF

Mining Method:

In Mine-II & Mine II Expn. project, BWE’s, Conveyors, Spreaders (SME Technology) are deployed for the removal of overburden and lignite excavation. The excavated lignite transported to Lignite Stockyard by conveyor system. For excavation by BWE, where ever hard rock is encountered drilling and blasting operation is being carried out with adherence to norms. The excavated overburden is being refilled by using spreaders in the mined out area. After Top soil spread, the backfilled area will be biologically reclaimed and afforested to restore to pre-mining condition.

For mining and transportation of silica sand and ball clay SME/ CME will be used as per availability of reserve and site conditions with a stock yard at surface for stacking/ storage before selling to the interested parties. For mining these ball clay and silica sand no additional equipments are required.

Assessment of Infrastructure Demand (Physical & Social)

The existing road and other infra structure facilities are enough to meet out the requirements.

Amenities/Facilities

All facilities like office, statutory buildings, water, power, medical facilities etc are already available in the project.

14. 1 PROPOSED INFRASTRUCTURE:

No additional infra structure required as this a existing mine in operation.

15.0 PROJECT SCHEDULE & COST ESTIMATES

The balance life of the project is 20 years for the targeted production of 15.0 Mt/annum. The total mine capital cost is about Rs 3639.33 Crores and there is no additional investment required for this amendment proposal. Project schedule of lignite, Silica sand and ball clay as mentioned above.

16.0 ANALYSIS OF PROPOSAL (Final Recommendations)

The lignite mine project has already given direct as well as indirect employment facilities to the Project affected families and villagers and employment through contractors. Lot of employment opportunities have been created in the form of service providers, petty contracts, hiring vehicles etc. In addition to above, silica sand and ball clay recovery from mine will provide business opportunities to transporters, traders and employment opportunities in glass manufacturing and ceramic industries.

Annexure-I Analytical Results Of Silica Sand

Annexure-II Analytical Results Of Ball Clay