Jindal Steel set to revive East Singhbhum’s Copper Mining Sector
Pioneer News Service
Jamshedpur
The long-dormant copper mining sector of East Singhbhum is poised for a major revival as Jindal Steel prepares to take over operations of the Pathargora copper mine and the newly identified Chapri copper block. The move is expected to unlock vast mineral resources, generate employment, and strengthen India’s domestic copper production.
A technical team from Jindal Steel has recently completed detailed surveys of both mining areas. The proposal is currently awaiting final administrative clearance from the Jharkhand government and the Department of Mines and Geology.
According to mining experts, the two blocks together hold an estimated 104 million tonnes of copper ore reserves. The Chapri block alone is believed to contain around 64 million tonnes of reserves, while Pathargora is estimated to hold another 40 million tonnes.
The reopening of Pathargora carries particular significance as the underground mine was once a major producer, yielding nearly 200,000 tonnes of copper ore annually before operations were shut down in 2000 due to mounting losses and high production costs. The mine has remained inactive for more than two decades.
The mines are currently under the ownership of Hindustan Copper Limited (HCL), which holds a mining lease from the Jharkhand government valid until 2043. Under the proposed Mine Developer-cum-Operator (MDO) model, Jindal Steel will undertake mining operations and develop associated infrastructure, including a concentrator plant. While the company will receive operational rights for mining activities, ownership and control of the land will remain with HCL.
Officials said that Jindal Steel will bear the full cost of extraction and mining operations. In return, a pre-determined share of the revenue generated from copper sales will be transferred to HCL under a mutually agreed revenue-sharing arrangement. Royalties and taxes arising from the project will continue to be routed through HCL to the state government.
Industry observers believe the revival of the Pathargora and Chapri mines could transform East Singhbhum into a major copper production hub. Besides boosting the country’s mineral output, the project is expected to create substantial employment opportunities for local youth, stimulate ancillary industries, and provide a significant economic boost to Jamshedpur and nearby areas.
The proposed mining revival is also expected to reduce migration from the region by creating sustainable jobs and business opportunities linked to mining, transportation, processing, and support services.