Hyderabad, Feb 18 (PTI): After over two years, state- owned NMDC Ltd (National Mineral Development Corporation Limited) resumed production of iron ore from DonimalaiMines in Karnataka, the public sector enterprise said on Thursday.

The NMDC had, in December 2018,suspended mining inDonimalaidue to legal battle with the Karnataka government over the issue of imposition of premium on the sale price of the iron oreextracted from themines.

"This is to inform that after obtaining the lease extension of Donimalai Iron Ore Mine (ML-2396) for 20 years with effect from November 3, 2018 from the government of of Karnataka (GoK) and completing the associated statutory requirements, the Donimalai iron ore mine," the NMDsaid in a filing with stock exchanges.

A senior official of NMDC toldPTI that the resumption of mining atDonimalaiwould add production of 5-6 lakh tonnes of iron ore per month.

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