RAJASTHAN STATE MINES & MINERALS LIMITED
(A Govt. of Rajasthan Enterprise)
Projects Division
4, Meera Marg, Udaipur - 313 004, India
Tel:+91-294-2428744, 2428738, Fax: +91-294-2428790, 2428770
E-mail: project@rsmm.com  http://www.rsmm.com

Detailed Notice Inviting Expression of Interest

Notice Inviting Expression of Interest (EOI) for “Formation of a Joint Venture Company (JVC) with RSMML with an Equity participation ratio (RSMML : JV Partner) of 51% (min) : 49% for Exploration and Exploitation of a Deep Seated (occurring about 600 to 740 metres depth from the surface) Potash Deposit, in an Area of 878 Hectares, reserved for RSMML by the Govt of Rajasthan, near Villages Bharusari, Dhani Karala, Sumer Khan Wali Dhani, Kavat Ki Dhani & Zoravar Chowk in Tensile and District Hanumangarh, Rajasthan”.

Preamble:

Rajasthan State Mines and Minerals Limited (RSMML) is one of the leading and progressive Undertakings of the Government of Rajasthan. It occupies a place of pride in production and marketing of non-metallic minerals of India. RSMML is multi mineral and multi location enterprise engaged in mining of Rock Phosphate, Lignite, SMS grade Limestone and Gypsum. RSMML is not  only the leader in Mining & Selling of Rock Phosphate, Gypsum across the country, but also global pioneer in technology in open cast mining and mineral beneficiation of Carbonate Rock Phosphate. Besides minerals, RSMML has also forayed into Energy Sector and has setup 106.3 MW installed capacity Wind Power Project at Jaisalmer, Rajasthan.

As Potash has become an increasingly important input for satisfying demands of an expanding population for food, fibre and other commodities, RSMML proposes to explore the possibility of exploration and mining of potash in the Nagaur Ganganagar basin of Rajasthan. Approximately 95% of current global consumption of Potassium is used for fertilizers. India meets its entire requirement through import. Recently sudden hike in international Potash prices have opened the doors for exploring possibilities of Potash mining in the Indian sub continent.  

Existing Status of the Potash Deposit: 

Exploration for potash was carried out by the Geological Survey of India during the period 1974 to 1991 in the districts of Nagaur, Churu, Bikaner Hanumangarh & Ganganagar in Rajasthan. As a result of this exploration, GSI reported a 350 Kms long and 200 kms wide Potash bearing marine evaporite deposit in an Intra-cratonic Basin of lower Cambrian age. This basin has been considered the southeastern extension of the salt range of Pakistan. Based on this regional scale exploration, GSI has identified deep seated (about 600 to 740 metres from the surface) occurrences of potash mineralization in Nagaur-Ganganagar basin. 

In the area explored for potash, it has been noticed that polyhalite [K2Ca2Mg (SO4)22H2O] occurs more frequently than any other potash mineral. It occurs mostly as stringers, pods, irregular laminae and thin beds and is mostly associated with Halite, sylvite and occasionally with anhydrite in all the seven Halite cycles. The reserves estimated by GSI in Satipura, Bharusari and Lakhasar sub-basins with more than 3 % K for a stopping width of 1.5 m are found to be 404 million tonnes of probable grade and 2072 million tonnes of possible grade with 4.70 % K or 5.5% K2O. 

Though the data has shown the existence of Potash deposit there are wide gaps in the exploration since the drilling has been carried on a regional scale by GSI. Hence, there is a need for detailed exploration including estimation of in-situ reserves in the proved category as the reserves have been placed in the probable and possible categories by GSI.  

On account of the depth (about 600 m to 740 m from the surface) and low grade nature (5.5% K2O) of the deposit identifying the extraction phylosophy  will be a challenging job besides development of a suitable Beneficiation technology since the market requirement of Potash in the fertiliser industry is 50% to 60% K2O.

The competent & interested parties having relevent experience in the Exploration and Exploitation of a Deep Seated deposits (500 metres or more) are required to send their proposals on their letter head, as per the enclosed proforma (Annexure-1), so as to reach us latest by 30^th November 2010 up to 3.00 PM. The proposal will be evaluated on technical competency, work experience, estimated year wise investment for the proposed project, implementation schedule etc. A committee has been constituted by the state government comprising of Principal Secretary, Mines, M.D. RSMML and Director Mines & Geology Department. The  committee decision regarding selection of the joint venture partner for RSMML will be final.

For further information, please contact GM (Project) at the above address. 

General Manager (Projects) 

Note: Interested companies are advised to keep vising our website till due date/extended due date of EOI for corrigendum/addendum, if any, to the EOI.

Annexure 1