The government of India plans to enact a law that will allow companies that received mining licences without having gone through the auction process to transfer these leases, local media have reported.
The move that will make M&A deals easier in the steel, cement and metals sectors. For instance, this law would help close Birla Corp's purchase of two cement units in eastern India from LafargeHolcim which has reportedly hit a hurdle due to the existing mining regulations.
The mines ministry will table the Mines and Minerals (Development and Regulation) (Amendment) Bill 2016, which is meant to enable the transfer of mining leases that were originally granted without an auction in the budget session of Parliament. The changes have been put up on the ministry’s website for comment. (Source: Livemint)