SAIL to Establish Dedicated Mines Division; Rourkela Proposed as Headquarters

Rourkela, 19th May 2025: In a significant move to enhance efficiency and production, the Steel Authority of India Limited (SAIL), under the Ministry of Steel, has announced the creation of a dedicated Mines Division. The new division will focus on improving management, production, and modernization of SAIL’s mining operations across the country.

steel plant
Pic Credit: Pexel

A new post of Director (Mines & Logistics) will be created to lead this division. Until the position is officially filled, the Director of Raw Materials and Projects will oversee the department’s functioning. The formal process for establishing the division is underway following directions from the Ministry issued on May 15.

With the restructuring in progress, there is growing demand to establish the division’s headquarters in Rourkela. Experts and officials argue that Rourkela is strategically suited for this role due to its existing infrastructure and connectivity. Previously, all mining operations were managed from the Raw Materials Division (RMD) in Kolkata, but this resulted in high administrative costs.

In July 2021, SAIL decentralized mining operations into regional groups. Under this model, Odisha Group of Mines was placed under Rourkela Steel Plant, Chhattisgarh Group under Bhilai, and Jharkhand Group under Bokaro. Rourkela’s readiness—with surplus office space, accommodation, and strong rail and air links—makes it an ideal location for the new headquarters.

SAIL currently operates three coal blocks and is prioritizing cost control and operational efficiency. Locating the Mines Division in Rourkela is expected to boost local employment opportunities and increase state revenue. Local leaders and stakeholders are advocating strongly for the move, citing both logistical advantages and long-term economic benefits for Odisha.

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