Executive Summary:
This document presents details regarding National Mineral Exploration Trust (NMET) funded projects in Telangana as of March 31, 2025. It outlines the funds sanctioned and utilized under NMET in Telangana during the year 2024-25, mineral reserves discovered through NMET-funded surveys since its inception, and steps taken to ensure financial transparency, accountability, and timely completion of NMET projects.
Key Points / Main Content:
* **NMET Funded Exploration Projects:**
* Three NMET-funded exploration projects are underway in Telangana as of March 31, 2025.
* Projects include limestone exploration in Adilabad District, critical mineral exploration in Mahabubabad and Warangal districts, and limestone exploration in Vikarabad District.
* **Funds Sanctioned and Utilized (2024-25):**
* Funds were sanctioned and released for mineral exploration projects, procurement of machinery and laboratory equipment, incentive to State Governments, and a scheme for providing matching grants.
* **Mineral Reserves Discovered:**
* 152.07 MT of Limestone reserves across 10 projects.
* 0.71 MT of Copper, Lead, and Zinc reserves across 1 project.
* The present stage of these reserves varies from auctioned blocks to blocks requiring further exploration.
* **Financial Transparency and Accountability Measures:**
* NMET disburses funds in installments (40% advance, followed by subsequent releases based on utilization certificates and project completion).
* For Notified Private Exploration Agencies (NPEAs), NMET provides up to a 30% mobilization advance against a bank guarantee.
* The State Unit of Telangana, GSI, monitors work executed by NPEAs and verifies bills.
* Accountability and transparency measures are incorporated in sanction orders, adhering to General Financial Rules (GFR).
* Agencies must maintain subsidiary accounts, open to inspection and audit.
* Agencies must get their accounts audited by Chartered Accountants and submit an audit report.
* **Timely Completion of Projects:**
* Projects are periodically reviewed by the Technical-Cum-Cost Committee of NMET.
* District and State authorities are consulted to resolve any local administrative issues.
Impact Analysis:
* **State Directorate of Geology and Mining, the Directorate of Mining and Geology, and Notified Exploration Agency:**
* *Impact:* Responsible for initiating and carrying out exploration projects.
* *Action Required:* Ensure proper utilization of funds, maintain accurate accounts, and comply with audit requirements.
* **Notified Private Exploration Agencies (NPEAs):**
* *Impact:* Involved in conducting exploration activities and claiming reimbursements.
* *Action Required:* Provide bank guarantees, ensure work is monitored by GSI, and submit accurate bills.
* **State Unit of Telangana, GSI:**
* *Impact:* Monitors the work executed by the NPEAs.
* *Action Required:* Examine and verify the bills claimed by NPEA.
* **Technical-Cum-Cost Committee of NMET:**
* *Impact:* Reviews the approved projects periodically
* *Action Required:* Ensure timely completion of projects.
* **District and State authorities:**
* *Impact:* Responsible for addressing any local administrative issues.
* *Action Required:* Facilitate and resolve the issues during the projects.
Key Entities Referenced
National Mineral Exploration Trust (NMET): A trust that funds exploration projects in India, particularly in the mining sector. The policy document discusses projects funded by NMET in Telangana.
Telangana: A state in India where NMET-funded exploration projects are underway. The document provides details of these projects, funds sanctioned, mineral reserves discovered, and steps taken to ensure transparency.
SHRI ARVIND DHARMAPURI: Member of LOK SABHA who raised questions regarding NMET funds.
SHRI G. KISHAN REDDY: The Minister of COAL AND MINES who answered the questions related to NMET funds.
Directorate of Geology and Mining, Telangana: A state government agency in Telangana involved in exploration activities and receiving funds from NMET.
General Financial Rules (GFR): A set of rules governing financial matters in India. NMET has incorporated accountability and transparency measures in its sanction orders as provided in the General Financial Rules.
Adilabad District, Telangana: A district in Telangana where preliminary exploration for limestone is underway, funded by NMET.
Mahabubabad District, Telangana: A district in Telangana where reconnaissance survey for critical mineral REE and associated minerals is underway.
GOVERNMENT OF INDIA
MINISTRY OF MINES
LOK SABHA
UNSTARRED QUESTION No. 1758
ANSWERED ON 30.07.2025
NMET-FUNDS
1758. SHRI ARVIND DHARMAPURI:
Will the Minister of MINES be pleased to state:
(a) the details of the total number of National Mineral Exploration Trust (NMET) funded
exploration projects currently underway in Telangana as of 31st March 2025;
(b) the details of the total funds sanctioned and utilised under the NMET during the
year 2024-25 in Telangana;
(c) the details of the estimated quantum of mineral reserves discovered in Telangana
under NMET funded surveys since its inception and the current stage of those blocks;
and
(d) the details of the steps taken by the Government to ensure financial transparency,
accountability and timely completion surveys of NMET projects in Telangana?
ANSWER
THE MINISTER OF COAL AND MINES
(SHRI G. KISHAN REDDY)
(a) A total of 03 number of NMET funded exploration projects are currently
underway in Telangana as of 31st March, 2025. The details are at Annexure – I.
(b) The details of the total funds sanctioned and utilised under NMET in the year
2024-25 in Telangana are given at Annexure-II.
(c) The details of estimated quantum of mineral reserves discovered in Telangana
under NMET funded surveys since its inception and the current stage of those blocks
are given at Annexure-III.
(d) Following initiatives have been taken to ensure financial transparency,
accountability and timely completion of projects in Telangana:Financial transparency and accountability:
NMET disburses 40% of the approved budget as a mobilization advance to the
State Directorate of Geology and Mining, the Directorate of Mining and
Geology, and Notified Exploration Agency to initiate and carry out projects. After
receiving the utilization certificate for the first 40% advance, the next 40%
instalment is released. The final payment is issued upon project completion,
following a review of the work and receipt of the project report from the
agencies.
For Notified Private Exploration Agencies (NPEAs), NMET provides up to a
30% mobilization advance once it receives an equivalent bank guarantee from
the agencies. The remaining amount is released after adjusting for the
previously issued advance, based on a reimbursement system. The nodal
officer from State Unit of Telangana, GSI, examine(s)/monitor(s) the work
executed by the NPEA in the State and verify the bills claimed by NPEA for
such purpose.
NMET has incorporated accountability and transparency measures in its
sanction orders as provided in the General Financial Rules. In terms of Rule
230, 235, 236 and 238 of GFR, the agency should maintain subsidiary accounts
of the Government Grants and furnish the same to the Principal Accounts Office
of the Ministry. The account shall be open to inspection by the Sanctioning
Authority and audit, both by the Comptroller and Auditor General of India and
internal audit by the Principal Accounts Office of the Ministry of Mines,
whenever the Organization is called upon to do so. As per Rule 236(3) of GFR,
the agency shall get its accounts audited by Chartered Accountants and submit
an audit report w.r.t the financial and physical performance of the project as
stipulated in the sanction order and the cost sheet at the time of submission of
the final bill.
Timely completion of Projects:
The approved projects are periodically reviewed by the Technical-Cum-Cost
Committee of NMET.
For any local administrative issues encountered during the projects, concerned
District and State authorities are consulted to facilitate and resolve the issues.
*****Annexure: I
Total number of National Mineral Exploration Trust (NMET) funded exploration
S. Project Title Implementing Approved Disbursed
No. Agency Cost (₹ in Cost (₹ in
Cr.) Cr.)
1. Preliminary Exploration (G3 Maheshwari Mining 0.69 0.21
Stage) for Limestone in Mangrur Private Limited
block, Adilabad District,
Telangana
2. Reconnaissance survey (G4) for Critical Mineral 1.03 0.31
REE and associated minerals in Trackers
Nellikudur area Mahabubabad
and Warangal districts,
Telangana
3. Preliminary Exploration (G-3) Telangana Mineral 1.61 0.65
For Limestone In Kodangal Development
Block, Vikarabad District, Corporation Limited
Telangana State
Annexure: II
The total funds sanctioned and utilised under the NMET in the year 2024-25
S. Category Agency Funds Funds
No. Sanctioned Released
(₹ in Cr.) (₹ in Cr.)
Notified
Exploration 1.61 0.65
Mineral Exploration projects funded by Agency
1.
NMET Notified Private
Exploration 1.73 0.52
Agency
Financial assistance from NMET funds Directorate of
to procure machinery/ laboratory Mining &
2. 7.51 3.00
equipment/instruments etc. aimed at Geology,
enhancing the exploration activities. Telangana
Incentive to State Governments in Directorate of
respect of auction of mineral blocks Mining &
3. 0.40 0.40
Geology,
Telangana
Directorate of
Scheme for providing matching grant of Mining &
4. 1.95 1.95
10% of annual collection in SMET Geology,
TelanganaAnnexure: III
The details of estimated quantum of mineral reserves discovered in Telangana
under NMET funded surveys
S. Commodity No. of Estimated Reserve Present Stage
No. Projects (MT)
1. Limestone 10 152.07 02 are auctioned
41.68 01 can be auctioned
55.51 07 further exploration
needed
2. Copper, Lead & 1 0.71 Can be Auctioned
Zinc
Total 11