Panaji: Goa will get less revenue from the auction of seven low-grade iron ore dumps which were among the 24 dumps auctioned, as they had single bidders. The single bidders have placed bids 0.1% above the 22% minimum reserve price fixed by govt.State govt did not get a single bid for five low-grade iron ore dumps, and for 12 dumps, the successful bidders placed bids between 22.4% and 166%.The state fixed the reserve price at 22% of Indian Bureau of Mines’ notified price. For example, if the bureau’s price is Rs 100 per tonne, the successful bidder must pay govt Rs 22 per tonne.The state cabinet on Thursday granted approval for ratification of the declaration of successful bidders, including single responsive bids.The directorate of mines and geology empanelled agencies to prepare dump profile study reports in respect of 26 dumps across the state.After preparation of dump profile study reports, the first phase of e-auction was initiated from Nov 2025 onwards for disposal of 10 dumps, out of which only one was sold.Subsequently, from April 2026 onwards, the second phase of e-auction was initiated for disposal of 24 dumps which included those which were not sold during the first phase of e-auction.The second phase of e-auction of mineral dumps was launched in April 2026. On scrutiny of the technical documents received, it was observed that single bidders had shown interest in buying seven different dumps. Thus, seven dumps were chosen and the same were put in the first round of e-auction on June 23, 2026.The bidders were thereafter technically qualified and permitted to participate in the e-auction as the said policy does not prohibit participation of single bidders. The reserve price was set at 22% as per the said policy. The bidders placed online bids of 22.1% and one bid of 22.2%.Since the above bidders were the only technically qualified and responsive bidders, they were declared as successful bidders for the respective dumps.The remaining dumps where multiple bidders had submitted technical documents with respect to each of the dumps were put for e-auction in the second, third and fourth rounds respectively.It is submitted that handling and processing of iron ore dumps is a highly specialised and capital-intensive activity. The successful bidder is required to undertake substantial investment towards deployment of heavy earthmoving machinery, beneficiation and screening facilities, transportation infrastructure, environmental compliance measures, statutory clearances, royalty and other govt dues. Further, the quality, quantity and recoverability of minerals from dumps vary significantly, making such projects commercially challenging and involving considerable financial and operational risks. Consequently, participation in such e-auctions is generally limited to entities possessing the requisite technical expertise, financial capability and operational experience, the cabinet said.In the present case, the e-auction was conducted after wide publicity and in accordance with the approved terms and conditions, providing equal opportunity to all eligible bidders. Despite the same, only one bidder was found to be technically qualified for the aforesaid seven dumps.Govt said in these circumstances, rejection of the sole responsive bids and resorting to a fresh auction is unlikely to result in increased participation or higher revenue to the state. On the contrary, it would delay scientific handling of the dumps, defer realisation of govt revenue and postpone commencement of mining-related activities associated with the successful disposal of the dumps.
