The nation’s high accident rates and adverse geological conditions at the mine as the reasons for the withdrawal.
The company has also dropped its bid for the Vince coal project in Russia and the Greystone iron ore mine in Brazil.
However, the company intends to acquire two coking coal mines in Mozambique and Russia for about $300m.
The acquisitions aim to supply NMDC’s 3Mt steel plant in central India and a similar-sized plant it co-owns with OAO Severstal of Russia in southern India.
NMDC has about Rs210bn ($4bn) of cash to fund the acquisition, reports Bloomberg.
The company said it will appoint advisers by the end of this month to carry out the due diligence for the assets.
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