In accordance to the globalization policy, the mineral sector has been opened up for private and foreign investment (under FDI).
Chhattisgarh State has immense potential for prospecting exploration and exploitation of minerals for industrial use and export. Deposits of diamond & gemstones, iron ore, coal, limestone, dolomite, gold, tin ore (Cassiterite), bauxite, poly-metallic ores, dimension stones, etc, of Chhattisgarh are well known the world over. Good investment potentials exist both in mineral exploration as well mineral based industries.
(A) Mineral exploration:
1. High Value Minerals -
There is huge potential for the search of high value and scarce minerals, associated with the mantle originated basic and ultramafic intrusive rocks. Indications of finding the acidic melt associated mineral deposits of moderate to shallow depths are also well known. To explore such mineral potential, a investments with technical know how and state-of-the-art technology has become inevitable. Potential areas for exploration of diamond, gold and poly-metallic minerals have been identified and being worked by major multinationals, which may facilitate unveiling of other important mineral locations in the State. Reconnaissance permit, prospecting licenses can be obtained to explore the potential, followed by mining leases for exploitation.
Directorate of geology & Mining has identified number of deposits of bulk minerals like iron ore, limestone, dolomite, coal etc with high industrial specification. many of them are under exploitation and rest are under process of leasing.
Since Indian bureau of mines has recommended to lower down the cutoff grade for these minerals, the scenario of the state changes entirely. Now the avenues are open to look for even lower grade minerals, which were earlier considered as waste Chhattisgarh has vast resources of low grade deposits of iron ore, limestone, bauxite etc. Which may prone to be good deposits for future use.
Good Investment potentials exist in the field of mineral exploitation especially for bauxite, Coal, tin, ore etc.
Bauxite in the state is reserved for Gout Company CMDC has been accorded Pl/ML in number of areas JV can be formed with CMDC for bauxite exploitation Govt. of India allocated coal blocks to various PSUs and to private parties CMDC has been allotted with 5 coal blocks these blocks cab be exploitated under JV.
Cassiterite mining in CG is reserved for CMDC. With CMDC, JVC is already working for mining, more such companies can be formed for the purpose.
(C) Mineral based industries:
Chhattisgarh is promising State to set-up heavy, medium and small-scale mineral based industries without importing any major raw material from other states. Besides economic deposits of almost all major and minor minerals, the State is rich in power, water and human resources.
Adequate quantity of the raw material is available for sustaining the conventional industries like iron and steel, sponge iron, cement, thermal power generation, calcination, aluminium extraction, cutting and polishing units (gem and dimension stones), ancillary units for and derived from the Cement and Iron industries.
The rare alkali metals lithium, rubidium and cesium and other rare metals like beryllium, gallium, tantalum, niobium etc., are the raw material for the sensitive high-tech equipments, instruments and spares in the era of precision and sophistication. These high-tech equipments essentially include the miniature energy storage devices, high quality glass and ceramics with high resistance to metal fatigue, electric & space vehicles, etc.