Project Details

Vedanta Washery & Logistic Solutions Pvt. Ltd.

[1.2 MTPA Iron beneficiation unit]

Kunkuni Village, Kharsia Tehsil Raigarh District, Chhattisgarh

PRE-FEASIBILITY REPORT

Iron ore beneficiation Pre-feasibility Report

Chapter - 1 EXECUTIVE SUMMARY

1.1 ABOUT PROJECT PROPONENT Vedanta Washery & Logistic Solutions Pvt. Ltd. [here in after referred as VWLSPL] is incorporated with Registrar of Companies. The company is promoted by Shri. Surya Agrawal engaged in various businesses and having good reputation in the market, which was gained with good business experience. Looking forward in prospects of utilization of washed coal and Beneficiated iron ore, VWLSPL propose to establish an Iron ore Beneficiation & Coal Washery in Raigarh District of Chhattisgarh State.

1.2 ABOUT THE PROPOSED PROJECT Vedanta Washery & Logistic Solutions Pvt. Ltd. proposed to establish 1.2 MTPA Iron Ore beneficiation along with 4.0 MTPA wet type Coal washery in same premises at Village: Kunkuni, Tehsil: Kharsia, District: Raigarh, Chhattisgarh. Total land envisaged for the entire project is 33.87 acres and same is in possession of management. Khasra no. of the total land are 483, 490, 493, 480/1, 480/3, 480/4, 481/1, 481/10, 481/3, 481/4, 481/5, 481/6, 481/7, 481/8, 481/9, 482/1, 482/2, 482/3, 482/4, 484/1[485/2], 484/2, 485/1, 485/2, 486/1, 487/2, 487/3, 488/1, 488/2[489/1], 488/3, 488/4[489/3], 489/2, 489/4, 489/5, 489/6, 489/7, 489/8, 491/1, 491/2, 491/3, 494/1, 494/2, 494/3, 494/4, 495/1, 495/2, 495/3, 495/4, 495/5, 495/6, 497/1, 497/4, 498/2, 498/5, 499/1, 499/2, 499/3, 499/4, 499/5, 499/6, 500/1, 500/2, 500/3, 500/4, 500/5, 500/6, 500/7-k, 500/7-kh, 500/8, 501/1, 501/2, 502/1, 501/3, 499/8, 502/2, 502/3, 506, 507/1, 507/3, 508/1. Total project cost envisaged for the entire project is Rs. 45.0 Crores. Railway siding is envisaged for the proposed coal washery to be served from Roberston Railway Station.

Iron ore beneficiation Pre-feasibility Report

Chapter - 2 INTRODUCTION OF THE PROJECT / BACKGROUND INFORMATION

2.1 IDENTIFICATION OF PROJECT AND PROJECT PROPONENT

Vedanta Washery & Logistic Solutions Pvt. Ltd. [here in after referred as VWLSPL] is incorporated with Registrar of Companies. The company is promoted by Shri. Surya Agrawal engaged in various businesses and having good reputation in the market, which was gained with good business experience. Looking forward in prospects of utilization of washed coal and Beneficiated iron ore, VWLSPL propose to install a Coal Washery & Iron ore Beneficiation in Raigarh District of Chhattisgarh State.

2.2 BRIEF DESCRIPTION OF NATURE OF PRODUCT

Vedanta Washery & Logistic Solutions Pvt. Ltd. proposed to establish 1.2 MTPA Iron Ore beneficiation along with 4.0 MTPA wet type Coal washery at Village: Kunkuni, Tehsil: Kharsia, District: Raigarh, Chhattisgarh. Total land envisaged for the proposed project is 33.87 acres and same is in possession of management.

2.3 NEED FOR THE PROJECT

Need for processing Any ore in general, seldom occurs in its purity and form required by the industry and iron ore is no exception to it. In many cases, presence of deleterious impurities like silica, alumina, sulphur & phosphorus beyond desired limits render the ore unsuitable for use in iron making (blast furnace) or adversely affects its productivity and quali ty both. Efficient and economic production of pig iron in blast furnace depends to a very large extent on the input of appropriate quality of raw materials. There has been a change, over the years in the nature of the feed particularly for iron ore i.e., from a totally lump oriented feed to use of higher sinter & pellet in the blast furnace burden. Therefore, the requirement of fines has gone up considerably. Hence, the emphasis on enriching the quality of fines through techno-economically viable beneficiation process has become more and more essential. High-grade lumpy ore reserves are limited and hence optimum utilisation of locked-up valuables in sub-grade/marginal grade iron ore resources and fines are essential for 2

Iron ore beneficiation Pre-feasibility Report

survival of the Industry & growth that can be achieved only through implementation of appropriate beneficiation technology. In most of the iron ore deposit of banded iron formation (BIF), almost all the different types of iron formations (massive, laminated, lateritic ore, blue dust etc.) are encountered and it is not always possible to mine it selectively for obvious reasons. Therefore, during commercial exploitation, two or more types of iron formations are mixed together thereby diluting the high-grade ore with lower grade one and vice versa. Therefore, run-of-mine (r.o.m.) iron ore also needs appropriate beneficiation in its totality. The overall characterization (physical, mineralogical & chemical) of the various types of hematite iron ore formations indicated that massive iron ore as well as blue -dust formations which are invariably very high in iron content (Fe >65%) at times contain impurities of silica & alumina beyond the required stipulations. Therefore, it needs consideration for beneficiation for rejection of silica & alumina. In view of the above M/s Vedanta Washery & Logistic Solutions Pvt. Limited has proposed establish Iron Ore Beneficiation at Village: Kunkuni, Tehsil: Kharsia, District: Raigarh, Chhattisgarh.

2.4 DEMAND – SUPPLY GAP

Iron ore beneficiation plant in India Iron ore beneficiation facilities in the country are highly inadequate i.e., only 52 concentrators cater to the need for iron ore production of about 220 MTPA (mines -316). Of this around 50% of the concentrators are exclusively in Goa region (production 33 MTPA; mines 72) dedicated solely for export and not meant for domestic consumption. In most of these concentrators, beneficiation process technology is limited to sizing, washing and classification to meet the size requirement with nominal rejection of silica and alumina impurities. Such washing facility was basically successful on accou nt of selective mining of medium to high-grade iron ore at a cut-off grade of 60% Fe. However, such practice of processing may not be of any help once low-grade ores are mined at the threshold value i.e., 45% Fe to augment production. Major beneficiation plants in the country are owned by M/s SAIL, NMDC, TISCO, OMC, JSW Steel Ltd, M/s V.M.Salgaoncar Pvt. Ltd, Sesa Goa Ltd, Socedade de Fomento, Goa etc.

Iron ore beneficiation Pre-feasibility Report

2.6 EMPLOYMENT GENERATION (DIRECT & INDIRECT)

PHYSICAL INFRASTRUCTURE Once the proposed activity is commissioned, the socio-economic status of the local people will improve and there by infrastructure facilities like communication systems will improve. Most of the villages at present do not have protected water supply. After the implementation of the project, the affordability of the public to spend on water treatment, supply & distribution will more along with the aid from the state government.

EMPLOYMENT POTENTIAL The proposed project creates employment to 100 people during construction and 50 people during operation of the proposed Coal washery & Iron ore beneficiation unit.

SKILLED Total skilled employment in the proposed plant will be around 15.

SEMI-SKILLED Total Semi-skilled employment in the proposed project will be around 15. Priority will be given to local people for semi -skilled jobs.

UNSKILLED Total Unskilled employment in the proposed project will be around 20. Top priority will be given to local people for unskilled jobs.

Iron ore beneficiation Pre-feasibility Report

Chapter - 3 PROJECT DESCRIPTION

3.1 TYPE OF THE PROJECT Vedanta Washery & Logistic Solutions Pvt. Ltd. proposed to establish 1.2 MTPA Iron Ore

beneficiation along with 4.0 wet type coal washery at Village: Kunkuni, Tehsil: Kharsia,

District: Raigarh, Chhattisgarh. Total land envisaged for the proposed project is 33.87 acres

and same is in possession of management.

3.2 LOCATION OF THE PROJECT Project is located at Village: Kunkuni, Tehsil: Kharsia, District: Raigarh, Chhattisgarh . Topographical location of project site is shown below:

Iron ore beneficiation Pre-feasibility Report

3.3 SIZE OR MAGNITUDE OF OPERATION 1.2 MTPA Iron ore Beneficiation.

3.4 MANUFACTURING PROCESS 3.4.1 IRON ORE BENEFICIATION PROCESS

Beneficiation process is a combination of crushing, screening, washing, grinding,

classifying by gravity separation, magnetic separation, floatation p rocesses. The final

concentrate slurry is filter pressed to get a dry enriched ore quality with Fe >65% and

moisture ~10%. The water is recycled in the process. The tailings are settled in a thickener

and a large amount of water is recovered and circulated in the process. The discharge

from the thickener is of low value with Fe <45% and moisture content ~25%.

The Iron Ore beneficiation plants comprise of the following sections:

(i) Screening, crushing and washing section

(ii) Grinding Section

(iii) Concentration Section

Major Equipment and Facilities: The major equipment and facilities for the iron ore beneficiation pla nts are briefly described below:

Screening, Crushing and Washing Section:

It has been envisaged that the crusher fines and low/sub-grade iron ore will be fed in a

proportion of 4:1 into a receiving hopper by means of trucks. One apron feeder will be

equipped below the hopper to feed into a static grizzly, where the separation will take

place at 100 mm to scalp out the +100 mm fraction and to deliver it to a reject stockpile

via belt conveyor. The undersize of the grizzly will be further transported to screening and

crushing section by means of a belt conveyor.

Iron ore beneficiation Pre-feasibility Report

Scalper Screen:The iron ore will be fed onto a scalper screen having deck opening of 25

mm for separating -100+25 mm fraction to be fed directly into a cone crusher. The

undersize of the screen will be delivered to washing section via belt conveyor.

Cone Crusher: The oversize material (-100+25 mm) from the scalper screen will fed into a

cone crusher to reduce the same to predominantly -25 mm size. The product of the

crusher will be delivered to washing section via the belt conveyor, carrying the undersize

of the scalper screen.

Drum Scrubber:The scalper screen undersize along with cone crusher product will be

delivered to a rotary drum scrubber where water will be added in requisite proportion. In

the drum scrubber, the sticky clayey particles adhering to coarse particles will be broken

by tumbling and attrition as the scrubber rotates.

Wet Vibrating Screen: The feed ore coming out from the scrubber will be fed to a wet

vibrating screen for separating out -25+10 mm and -10 mm.

Spiral Classifier:The undersize fraction (-10 mm) of wet vibrating screen will be fed into a

spiral classifier for desliming at 150 micron. The overflow (-150 micron) of the classifier

will be delivered to concentration section and the sand (-10 mm +150 micron) produced

from the spiral classifier will be fed to a dewatering screen.

Dewatering Screen: The sand will be treated on the dewatering screen to make it

amenable to transport to the grinding and concentration section.

Grinding and Concentration Section:

Primary Grinding Mill: The classifier sand after dewatering will be delivered to a close

circuit primary grinding mill to attain the required liberation for recovery of iron values. In

the primary grinding mill the classifier sand (-10 mm+150 micron) along with the undersize

Iron ore beneficiation Pre-feasibility Report

fraction of wet vibrating screen (-25+10mm) will be ground to -1.0 mm assuming that the

same will be adequate for liberation.

Spiral Concentrator: The ground product from primary grinding mill will be treated in a

two stage spiral concentrator circuit for upgradation of the same by gravity separation

method. The tails collected from circuit will be treated in a magnetic separator for further

recovery of iron values.

Desliming/Dewatering Hydrocyclone: The overflow of spiral classifier along with the tails

from concentrator circuit will be fed to a multistage desliming and dewatering cyclone

prior to magnetic separation method. The overflow will be directly transferred to tailings

thickener by gravity.

Magnetic Separation: The underflow from the desliming/dewatering hydrocyclone will be

treated in a magnetic separator to obtain concentrate of desired grade. The tailing from

the magnetic separator will be pumped to the tailings thickener.

Secondary Grinding Mill: The concentrate obtained from the spiral concentrator circuit as

well as the magnetic concentrate together will be subjected to pelletisatio n grinding in the

secondary grinding mill. Ball mill has been envisaged for generation of the desired size

(d100, 100 micron) of pellet feed.

Concentrate Thickener:The ground product obtained from the secondary grinding mill,

will be fed to a concentrate thickener. The basic function of this concentrate thickener is

to increase the percent solid in slurry and prepare a suitable feed for filter.

Belt Filter: Belt-filters will be provided for filtration of thickened concentrate produced

from the concentrate thickener. The filter will be equipped with filtrate receiver, filtrate

pump, vacuum receiver, vacuum pump, air blower etc. The dewatered concentrate

Iron ore beneficiation Pre-feasibility Report

obtained from the filter will be conveyed to the pellet feed fines stockpile via a tripper

conveyor.

Tailing Thickener: All the tailings slurry will be treated in the tailings thickener for recovery

of usable water. Thickeners complete with requisite pumping systems for overflow and

underflow will be provided.

The classified water (overflow of the concentrate and tailings thickener and filtrate from

the filter) will be collected in a separate storage reservoir for recycling to the process.

The quality of the iron ore concentrate is envisaged as follows:  Fe ; >65%

 SiO2 +Al 2O3 ; 5%  LOI ; 3.5 – 4.5%  Moisture content ; 10%

Manufacturing Process Flow Chart is shown below:

Iron ore beneficiation Pre-feasibility Report

3.6 RAW MATERIAL REQUIREMENT

For Iron ore beneficiation Iron ore fines will be the raw material required for the proposed iron ore beneficiation. Annual requirement of propos ed iron ore beneficiation will be 16,00,000 TPA.

3.7 MODE OF TRANSPORT FOR RAW MATERIALS AND FINISHED PRODUCTS

Iron ore fines will be brought from NMDC, Orissa (Barbil / Bailadila) and few Sponge Iron

plant at Raigarh, Chhattisgarh through Rail / Road upto the site.

Beneficiated iron ore will be transported to customers by Rail / Road.

3.8 WATER REQUIREMENT AND ITS SOURCE  Water required for the Coal Washery will be 1920 cum/day and for Iron ore beneficiation will be 280 cum/day.  Total Water required for the proposed project will be 2200 cum/day  Water required will be sourced from the Ground water & Dantar Nallah.  Permission letter from Central Ground Water Authority and Water Resources Dept., Govt. of CG will be obtained. 3.9 QUANTITY OF WASTE GENERATED Cl osed circuit water system will be adopted in the proposed Coal washery and iron ore

beneficiation unit. Hence there will not be any wastewater generation from the process.

However only wastewater generated will be sanitary wastewater i.e. 16.0 m3/ day; which

will be treated through Septic Tanks followed soak pits.

3.10 SOLID WASTE GENERATION AND ITS DISPOSAL Tailing will be generated from the proposed iron ore beneficiation unit. These rejects will

be given to nearby cement plant and ceramic industries.

Iron ore beneficiation Pre-feasibility Report

Chapter - 4 SITE ANALYSIS

4.1 CONNECTIVITY

The proposed site is well connected with Road network. However nearest railway station

is Robertson Railway Station on Mumbai–Howrah Rail Line. The following table gives brief

regarding connectivity of the proposed site:

Component Description Road : NH – 200 = 9.0 km Rail : Nearest station – 0.1 km & 7.3 [Robertson & Kharsiya] on Mumbai - Howrah Rail line Air : Raipur Air Port – 172 KM Sea Port : Vishakapatanam – 480 km

Below mentioned table gives brief regarding environmental setting of the project site  The proposed project area does not fall under the critically polluted areas, which are listed in MoEF office memorandum dated 13th January 2010 and its subsequent amendments.  Nearest village is Chaple at a distance of 0.3 Km from the Project site.  No National Parks / Wild life Sanctuaries / Bird Sanctuaries / Tiger reserve / Migratory routes for birds situated within 10 Km. radius of the Project site.  No Historical places and places of Tourist importance within 10 Km. radius of the Project site.  Rabo RF, Burha Pahar RF, Basnajhar RF, Bargarh RF are situated within 10 Km. radius of the Project site.  No forest land is involved in the proposed Project site.  Dantar Nallah (0.3 Kms.), Mand River (1.5 Kms.), Kurket River (8.5 Kms.) are flowing within 10 Km. radius of the Project site.

Iron ore beneficiation Pre-feasibility Report

4.2 Land use Present land is more or less flat terrain. Present land use of the proposed site is Barren

however few single crop patches are involve.

4.3 Topography The topography of the land is more or less flat without undulations.

4.4 Existing land use pattern

Acquired 33.87 acres land is barren land and no forest/ Government is involved within the

site.

4.4 Existing infrastructure

All required infrastructure is prevailing in the site.

4.5 Soil Classification

The soils in the area are generally of clayey loam types with sandy loam soil in some areas.

The soils have been classified as Ustocherpts/ Ustorthents/ Rhodustalfs/ Haplustalfs/

Haplusterts, as per pedological taxonomy.

4.6 Climatic data from secondary sources

The climatic condition of this area is semi arid. The maximum temperature goes upto 48ºC

during summer in the month of May and the minimum temperature goes down to 4.0ºC

during winter in the month of January-February. The winds in the area are light to

moderate during summer and winter. The rainfall of the district is 790.6 mm to 1182.0

mm. Generally light to moderate winds prevails throughout the year. Winds were light and

moderate particularly during the morning hours. While during the afternoon hours the

Iron ore beneficiation Pre-feasibility Report

winds were stronger. A review of the wind rose diagram shows that predominant winds

are mostly from S, SW, NW, WNW, W, NE and N directions followed by NW direction.

Iron ore beneficiation Pre-feasibility Report

Chapter - 5 PLANNING BRIEF

5.1 Planning Concept

It is proposed to establish 1.2 MTPA iron ore beneficiation along with 4.0 MTPA wet type

of coal washery at Village: Kunkuni, Tehsil: Kharsia, District: Raigarh Chhattisgarh.

5.2 Population Projection

There are no major human settlements in the cl ose vicinity of the project site. The

manpower requirement will be sourced from the local areas to the extent possible; hence

not much of settlement of outside people in the area. However population concentration

may increase around the project site due to increase in ancillary activities.

5.3 Land use Planning

It is estimated that 33.87 acres of land situated at Village: Kunkuni, Tehsil: Kharsia, District:

Raigarh [C.G.]. The tentative land area statement of proposed project is given as below:

Item Area in Acres Built up area with ancillaries 4.00 Internal roads 1.00 Water Reservoir 1.00 Storage yard 1.50 Greenbelt 11.30 Open area 15.07 Total land 33.87

5.4 Amenities / Facilities Facilities like canteen, rest room and indoor games facilities will already been provided in the existing plant as basic facilities to workers. No other additional facilities are proposed.

Iron ore beneficiation Pre-feasibility Report

Chapter - 6 PROPOSED INFRASTRUCTURE

6.1 INDUSTRIAL AREA (PROCESSING AREA) The main plant area comprises of coal handling area, storage area, crushing sizing area,

iron ore beneficiation unit, washing plant and water treatment area etc contribute approx.

11.30 acres out of 33.87 acres.

The major equipment and facilities envisaged for the pelletizing plant are described below The pelletizing plant will mainly consist of the following sections:  Storage and handling of iron ore concentrate  Storage, handling and preparation of binder and additive  Iron ore improvement  Proportioning and mixing  Balling, in duration and cooling  Finished product storage

6.2 RESIDENTIAL AREA (NON PROCESSING AREA) No colonization is proposed; however facilities like canteen, rest room and indoor games

facilities will be provided in the proposed plant and one Admin building is also proposed.

6.3 GREEN BELT More than 1/3rd of total land availability is reserved for plantation i.e. greenery.

Greenbelt development plan  Local DFO will be consulted in developing the green belt.  Greenbelt of 33% of the area will be developed in the plant premises as per CPCB guidelines.  15 m wide greenbelt is being maintained all around the plant.  The tree species to be selected for the plantation are pollutant tolerant, fast growing, wind firm, deep rooted. A three tier plantation is proposed comprising of an outer most belt of taller trees which will act as barrier, middle core acting as air 15

Iron ore beneficiation Pre-feasibility Report

cleaner and the innermost core which may be termed as absorptive layer consisting of trees which are known to be particularly tolerant to pollutants.

6.4 SOCIAL INFRASTRUCTURE Social infrastructure will be developed as per need based in the Villages of the close

vicinity of the project.

6.5 Connectivity: The proposed site is well connected with Road network. However nearest railway station

is Robertson Railway Station on Mumbai–Howrah Rail Line. The following table gives brief

regarding connectivity of the proposed site:

6.6 DRINKING WATER MANAGEMENT It is estimated that 20 KL/ Day of water will be required for domestic purpose during

operation of proposed plant. The desired amount of water will be drawn from ground

water sources & Dantar Nallah.

6.7 SEWERAGE SYSTEM Domestic effluent collected through toilet blocks and other areas will be collected through

well designed sewer network and send to Septic tanks followed by soak pits. No effluent

will be left-out after Soak pits.

6.8 INDUSTRIAL WASTE MANAGEMENT It is proposed to install one effluent treatment plant which will be the part of process as

the effluent generated contains media solution; hence it is prime objective to recover the

media solution to maximum possible extent. This treatment plant comprising of settling

pond and thickener and clear water will be recycled back to process area as raw water.

Iron ore beneficiation Pre-feasibility Report

6.9 SOLID WASTE MANAGEMENT

Tailing will be generated from the proposed iron ore beneficiation unit. These rejects will

be given to nearby cement plant and ceramic industries.

6.10 POWER REQUIREMENT & ITS SOURCE It is estimated that about 1.0 – 1.5 MW of electricity will be required for operation of

proposed plant; which will CSPGCL grids.

Iron ore beneficiation Pre-feasibility Report

Chapter - 7 REHABILITATION & RESETTLEMENT (R & R) PLAN

No rehabilitation and resettlement is required as there are no habitations in the in the

Project site.

Iron ore beneficiation Pre-feasibility Report

Chapter - 8 PROJECT SCHEDULE & COST ESTIMATES

8.1 PROJECT SCHEDULE The plant will be implemented in 18 months from the date of receipt of Environmental Clearance from the Hon’ble MoEF & NOC from CECB.

8.1 PROJECT COST The estimated cost for the entire project will be Rs. 45.0 crores.

Summary of the Project Cost (Rs. in Crores ) S.No. Particulars Expenditure i. Land & Site Development 1.0 ii. Building & Civil Works 1.2 iii. Plant & Machinery 35.0 iv. Preliminary & Pre-operative Expenses 5.0 v. Interest during construction 1.5 vi. Contingencies 1.3 TOTAL INVESTMENT 45.0

Iron ore beneficiation Pre-feasibility Report

Chapter - 9 ANALYSIS OF PROPOSAL

9.1 FINANCIAL AND SOCIAL BENEFITS With the implementation of the proposed project, the socio-economic status of the local

people will improve substantially. The land rates in the area will improve in the nearby

areas due to the proposed activity. This will help in upliftment of the social status of the

people in the area. Educational institutions will also come -up and will lead to

improvement of educational status of the people in the area. Primary health centre will

also be developed by us and the medical facilities will certainly improve due to the

proposed project.

9.2 SOCIO-ECONOMIC DEVELOPMENTAL ACTIVITIES The management is committed to uplift the standards of living of the villagers by

undertaking following activities / responsibilities as the part of Corporate Social

Responsibility.

 Health & hygiene  Drinking water  Education for poor  Village roads  Lighting HEALTH & HYGINE  Personal and domestic hygiene,  Maintaining clean neighborhood,  Weekly health camps offering free -check up & medicines  Ambulance services  Education & drug de-addiction, aids. DRINKING WATER  Making drinking water available at centralized locations in the village,

Iron ore beneficiation Pre-feasibility Report

SUPPORTING EDUCATION  Providing books to all poor children,  Conducting annual sports festival in the village schools,  Providing amenities like fans, lavatories,  Maintain play ground etc.