Indias Supreme Court has said two huge and controversial mining projects can proceed in the poor eastern state of Orissa, BBC online reports Friday.
The ruling follows fierce protests by farmers, campaign groups and tribes. It means an arm of the British-listed mining giant Vedanta can now mine from a mountain in Orissa which local hill tribes view as sacred.
In a separate ruling, South Korean steel firm Posco was given the go-ahead for a 12 billion US dollar plant in the same state.
Vedanta has an agreement with the Orissa state government to set up a bauxite refinery in the Niyamgiri mountains, as part of a vast project in Orissa. Niyamgiri is rich in bauxite, from which aluminium is derived.
Vedanta has already invested 1 billion dollar to build a giant alumina refinery close to the mountain. Leaders of the 8.000-strong Dongria Kondh say nothing can compensate for the damage to their sacred mountain and the forests they depend on.
The giant Posco project in Orissa is the biggest direct foreign investment in India. It has faced stiff opposition for more than two years from local farmers who are angry over losing their land.
