Moil signs MoU with GMDC for joint exploration

Moil Limited informed the exchanges on Tuesday that it has signed Memorandum of Understanding (MoU) with Gujarat Mineral Development Corporation Ltd. (GMDC), an undertaking of Government of Gujarat, in January 2019, to take up project of joint exploration of manganese bearing areas, exploring its feasibility and to conduct mining operations as well as to set up value addition plant in joint venture in Gujarat.

Going ahead in the matter, MOIL has signed a detailed MoU with GMDC for joint exploration, etc., to take up the above project. The JV will have shareholding pattern of 51 per cent and 49 per cent for MOIL and GMDC respectively.

In this connection, MOIL and GMDC have also signed MoU with Mineral Exploration Corporation Limited (MECL), a Miniratna Category-I CPSE under the Ministry of Mines, Government of India for exploration related activities to be carried out in the manganese mineral acreage to establish resources/reserves.

Based on results of exploration and feasibility of mining ascertained after exploration activities, decision to go ahead with mine development, mining activities and establishment of downstream derivative plants with an expected investment of nearly Rs. 250 crore shall be taken.

On Tuesday, stock of Moil opened at Rs. 140.90. During the day, it made intra day high and low of Rs. 144.30 and Rs. 136.50 respectively. Later it got closed at Rs. 139.45.