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Government plans venture capital fund for prospecting mines

By IANS,

Kolkata: The steel ministry is in talks with a financial institutions to promote a venture capital fund for funding the prospecting of iron ore mining, Steel Secretary Atul Chaturvedi said here Saturday.

“Prospecting of mines, which is the first step towards mining, is a high risk venture and unless there is certainty in conversion of prospecting licence into mining licence, it is difficult to attract investment to this sector,” Chaturvedi said here at a seminar.

Prospecting is an expensive venture that requires risk capital, he added.