PANAJI
Nearly a year after scrapping its first attempt at e-auctioning iron ore dumps, the Goa government has announced fresh plans to auction ten low-grade ore dumps on January 8 and 9, 2026. These dumps located across North and South Goa, together account for an estimated 22 million metric tonnes of material.
Director of Mines and Geology (DMG) Narayan Gad informed that out of 26 identified dumps lying on private lands without payment of conversion fees by former leaseholders, ten have been shortlisted for e-auction in the first phase.
“Nine of these are situated in Sanguem and Dharbandora talukas, while one is in Honda village of Sattari, North Goa,” Gad said.
Gad informed that the Supreme Court has capped annual extraction from iron ore dumps to 25 million metric tonnes.
He clarified that the auction would be conducted on an “as-is-where-is” basis, meaning bidders must independently verify the quantity, quality, and recoverability of ore before bidding, as DMG will bear no responsibility for these aspects.
Earlier this year, the government had attempted to auction 18 dumps, attracting over 125 bids. However, the process was annulled due to what officials termed “technical issues,” prompting a complete overhaul of the tender procedure.
Under the revised system, every bidder must submit a Detailed Project Report (DPR) conforming to guidelines prescribed by The Energy and Resources Institute (TERI). The DPR must outline an excavation plan, safety measures, logistics and transport details, waste handling strategy, environmental management plan, and dump closure proposal. “TERI will evaluate each DPR, and any bidder whose report fails to meet the prescribed norms will be disqualified at the technical stage,” Gad added.
The government has fixed a reserve price of 22% for each dump, with an initial revenue projection of around Rs 150 crore from the auction. To ensure financial credibility, bidders must have a net worth between Rs 25 crore and Rs 45 crore, depending on the dump size.
The Earnest Money Deposit (EMD) has been set at Rs 25 lakh for dumps up to 2 million tonnes, Rs 35 lakh for those between 2 and 5 million tonnes, and Rs 45 lakh for dumps exceeding 5 million tonnes.
Additionally, the DMG has introduced a bank guarantee requirement at the time of application, valid for three years. “If a successful bidder fails to remove waste generated during dump handling, the guarantee amount will be forfeited,” Gad said. The bank guarantee will be ₹3 crore for dumps up to 2 million tonnes, with an additional ₹1 crore for each subsequent million tonnes.
