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India Government Should Halt Vedanta Bauxite Mine -Amnesty International

 
By Jeffrey Sparshott
Dow Jones Newswires
     

    LONDON -(Dow Jones)- Rights group Amnesty International said Tuesday India's government should stop Vedanta Resources PLC's (VED.LN) planned bauxite mine and alumina refinery expansion in the eastern state of Orissa.

    "The refinery expansion and mining project have serious implications for the human rights of local communities, including their rights to water, food, health, work and an adequate standard of living," Amnesty said in a report.

    Vedanta is awaiting approval from India's government to begin construction on the bauxite mine at Niyamgiri in Orissa. The mine's bauxite will be used to produce alumina at its refinery. Vedanta has earlier said it will invest $2.5 billion in the project.

    Amnesty said the existing alumina refinery is causing air and water pollution that threatens the health of local people, and the mine "threatens the very existence of the Dongria Kondh, an 8,000 strong protected indigenous community that has lived on the Niyamgiri hills for centuries."

    Vedanta wasn't immediately available for comment. But last week, after the Church of England said it was divesting its holding in the miner over concerns related to the mine, the company said it "remains fully committed to pursuing its investments in a responsible manner, respecting the environment and human rights."

    Vedanta added that its projects are conducted in compliance with the law and international best practice.

    Copyright © 2009 Dow Jones Newswires

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