Rio Tinto's only diamond mine in India faces opposition from environmental groups

NEW DELHI (Scrap Monster): Global mining major Rio Tinto’s ‘Bunder diamond mine’ in India received a major setback today with two prominent environmental groups raising red flags. The groups claimed that the construction of the mine would lead to ‘large scale destruction’ of forest areas. They also alleged that the mine would destroy the livelihood of local tribal people.

However, Rio Tinto has refuted the allegations. According to company officials, the total forest area of the proposed mine comprises only 0.005% of the total forest area" of the district where the mine would be located.

Rio Tinto presently has a letter of intent from the State government. The Indian Bureau of Mines have approved the company’s mining plan. The company has approached the Project Monitoring Group under the Cabinet Secretary to obtain necessary clearances for the INR 2,200 crores diamond mining project. The Environment and Forest clearances are still awaited.

The Bunder Project is Rio Tinto’s most advanced diamond project worldwide and the most important diamond discovery in India for many decades. According to the company, the diamond deposits at Bunder Mines are seven times richer than India’s only operating diamond mine run by the state-controlled mineral producer National Mineral Development Corporation (NMDC). The estimated diamond content of Bunder mines is approximately 34.2 million carats.