Tata Steel shares decline 0.63% amid mining dispute 

The company faces a ₹1,902.72 crore demand notice from the Office of Deputy Director of Mines, Jajpur, over alleged shortfall in mineral dispatch from its Sukinda Chromite Block.
| Photo Credit:
FRANCIS MASCARENHAS

Tata Steel shares fell 0.63 per cent to ₹161.99 on NSE as of 11.47 AM on July 7, trading down from the previous close of ₹163.01. The stock recorded a high of ₹163.35 and low of ₹160.05 during the session, with heavy trading volume of 107.62 lakh shares worth ₹175 crore.

The company faces a ₹1,902.72 crore demand notice from the Office of Deputy Director of Mines, Jajpur, over alleged shortfall in mineral dispatch from its Sukinda Chromite Block. The demand covers the fourth year of the Mine Development and Production Agreement from July 23, 2023 through July 22, 2024.

The mining authority has cited violation of Rule 12A of the Minerals (Other than Atomic and Hydrocarbon Energy Minerals) Concession Rules, 2016. The revision in assessment is based on the average sale price declared by the Indian Bureau of Mines, with the aggregate demand including sale value of shortfall quantity and appropriation of performance security.

Tata Steel’s management has rejected the state’s demands, stating they lack justification and substantive basis. The company announced it will pursue legal remedies before appropriate judicial forums.

Published on July 7, 2025