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Chhattisgarh Moves Closer To Diamond Mining As NCL Approves Key Drilling Phase At Baloda-Belmundi
Devyani Nautiyal | June 28, 2026 6:11 PM CST

Chhattisgarh has taken another important step towards developing its mineral resources after the Board of Directors of NMDC-CMDC Limited (NCL) approved the next stage of exploration at the Baloda-Belmundi Diamond Block in Mahasamund district. The decision paves the way for large-diameter drilling, a critical exercise that will help determine the extent of the diamond deposit and assess its commercial potential.

Large-Diameter Drilling To Assess Diamond Deposit

During its Board meeting in New Delhi, NCL gave the green light for the commencement of large-diameter drilling under the Prospecting Licence. The programme is expected to generate detailed scientific data on the diamond-bearing kimberlite pipe, enabling experts to accurately evaluate the deposit.

Board members also instructed that every technical activity linked to the Prospecting Licence should be completed within the prescribed timeframe. The information gathered during drilling will be used to prepare a comprehensive Feasibility Report, which will ultimately guide the decision on whether the project proceeds to commercial diamond mining.

Senior Officials Review Project Progress

The meeting was attended by Shri Amitava Mukherjee, Shri Ashish Chatterjee, Shri Saurabh Singh, Chairman of Chhattisgarh Mineral Development Corporation (CMDC), Shri P. Dayanand, Secretary of the Mineral Resources Department, Government of Chhattisgarh, Shri Rajat Bansal, Managing Director of CMDC, Shri Upendra Kumar and Shri Vinay Kumar.

A Milestone For NMDC-CMDC Limited

NMDC-CMDC Limited is a joint venture between NMDC Limited, which holds a 51 per cent stake, and the Chhattisgarh Mineral Development Corporation, which owns the remaining 49 per cent. Although the company has long been associated with iron ore mining, the discovery of natural diamonds at Baloda-Belmundi marks a significant expansion into multi-mineral development.

The prospective kimberlite pipe was identified following extensive stream sediment sampling, geophysical investigations and targeted drilling. Around 200 tonnes of bulk material were later processed at NMDC's Panna Diamond Processing Plant, resulting in the recovery of five natural diamonds with a combined weight of 1.22 carats. The findings provided strong scientific evidence that the area contains diamond-bearing geology.

Project Seen As Strategically Significant

The company noted that similar early-stage discoveries in major diamond-producing nations including Botswana, South Africa, Canada and Australia have often led to commercially viable mining operations. As a result, the Baloda-Belmundi project is increasingly being regarded as an important strategic mineral initiative for both Chhattisgarh and India.

Iron Ore Projects Also Reviewed

Alongside the diamond exploration programme, the Board assessed the progress of NCL's ongoing iron ore developments across the state.

Production at Bailadila Deposit-4 is expected to reach one million tonnes during the current financial year, with plans to progressively increase capacity to seven million tonnes annually. Work is also continuing on Bailadila Deposit-13, where the proposed production capacity stands at 10 million tonnes per year.

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Focus On Responsible Mining

The Board reiterated its commitment to sustainable mining practices across all projects. This includes environmentally responsible operations, scientific waste management, water conservation measures and initiatives aimed at supporting the socio-economic development of local communities.

Chairman Highlights Project's Long-Term Potential

Speaking after the meeting, Shri Saurabh Singh, Chairman, Chhattisgarh Mineral Development Corporation and Director, NCL, said, “The prudent utilisation of mineral resources and balanced industrial development are essential for India’s economic growth. The Baloda-Belmundi diamond project has the potential to become a historic milestone in positioning Chhattisgarh among the country’s leading diamond-producing states.”


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