The proposals were discussed at a meeting between Steel and Mines Minister Narendra Singh Tomar and Madhya Pradesh Chief Minister Shivraj Singh Chouhan.
The proposals from various Public Sector firms for the new mining leases and mineral prospecting leases as well as for setting up of steel plants and power plants were also part of the agenda and were discussed threadbare, an official statement said.
Tomar and Singh also discussed various issues related to mining raised during the Global Investor Summit held in the state in October last year, it said.
"He (Tomar) also mentioned that he met the Chief Minister of Madhya Pradesh to discuss various pending issues in mining and compliance of issues raised during the Global Investor Summit held in Indore," the statement added.
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He mentioned that measures were taken for preventing illegal mining and fines were also prescribed for illegal mining activities, it added.
"The spectre of illegal mining threatened the growth of this sector in the past. In the latest MMDR Amendment Act 2015, we have dealt with illegal mining in all seriousness, by raising the penalty from Rs 25,000 to Rs 5 lakh per hectare, and imprisonment from two years to five years," Tomar said.
Meanwhile, a statement by the state government said: "Madhya Pradesh will be first state in the country to auction mining blocks under new Central mining policy."
Tomar said Madhya Pradesh will become an example for other states by constituting mining foundations in all districts of the state for development of mining areas, it added.
It added: "The meeting was informed that 2 limestone blocks have been selected recently in Satna district, which may be auctioned during next 3 months.
"Similarly, 10 blocks of limestone, 6 of iron ore and 2 blocks of bauxite have been selected, which may be auctioned after geo-reference. Revenue from e-auction of sand has increased 10 times.