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NMDC inaugurates ₹5,427-crore iron ore processing complex in Chhattisgarh

The state-run miner has commissioned an integrated project featuring processing facilities at Bacheli and a pellet manufacturing plant at Nagarnar. The facility aims to enhance India's domestic iron ore value addition and reduce import dependence.

LSN India · 27 September 2026

NMDC inaugurates ₹5,427-crore iron ore processing complex in Chhattisgarh

The National Mineral Development Corporation (NMDC) has formally commissioned a large-scale iron ore processing complex in Chhattisgarh, marking a significant investment of ₹5,427 crore in the state's mineral sector. The integrated project comprises multiple components spread across the mineral-rich region, designed to boost downstream processing capabilities and create employment opportunities in the state.

The complex includes an iron ore processing plant operational at Bacheli, which will handle raw ore from NMDC's mining operations. A 135-kilometre slurry pipeline connects the processing facility to a 2 million tonne per annum (MTPA) pellet manufacturing plant located at Nagarnar, enabling efficient transport of processed material for further value addition.

The pellet plant at Nagarnar represents a strategic move to increase iron ore beneficiation within India, reducing reliance on imported pellets and enhancing export competitiveness. Pellets are a preferred raw material for steel manufacturers and are traded internationally, providing potential revenue benefits for both NMDC and domestic steel producers.

Chhattisgarh, home to substantial iron ore reserves, has emerged as a crucial hub for mineral processing infrastructure. The state's advantageous location and existing industrial base have positioned it as an ideal site for such downstream projects, which support the broader government objective of promoting mineral value addition domestically.

The commissioning reflects NMDC's capital expenditure strategy to modernize operations and meet growing domestic demand for processed iron ore products. The facility is expected to strengthen India's mineral processing sector while contributing to local economic development through direct and indirect employment generation.