State-run MOIL today said the Madhya Pradesh (MP) government granted mining lease over more than 48 hectares in Balaghat district to the manganese ore miner.
"The government of MP has granted mining lease of over 48.97 hectares in village Lugma, Tehsil Paraswada of Balaghat district in favour of MOIL Ltd," the mini-ratna firm said in a regulatory filing.
The lease has been executed and registered by the firm and the area falls under its Ukwa mine, it added.
At present, the public sector undertaking (PSU) operates 10 mines, 6 located in Nagpur and Bhandara districts of Maharashtra and four in Balaghat district of MP.
Currently, MOIL's annual production is around 1,093,363 tonnes.
The firm posted a stand-alone net profit for the quarter ended December 2015 at Rs 13.16 crore, a fall of 87.8 per cent in the same quarter in 2014.
Its income declined 59.7 per cent to Rs 87.81 crore as against Rs 218.38 crore in the corresponding quarter a year ago.
Reacting to the development, shares of MOIL today spurted in terms of volume by 8.16 times on BSE. The scrip today closed at Rs 220.20, up 6.45 per cent from its previous close.
