Dual bulk commodity company NSL Consolidated and mining equipment dealer Vijay group have entered into joint venture agreement to expand iron ore mining operations in India.

Vijay group subsidiary, Vijay Mining will now move to invest INR700m ($13m) in exchange of a 40% stake in NSL Mining Resources India.

NSL Consolidated managing director Cedric Goode outlined that ongoing negotiations with several Indian and international companies sought to further strengthen the company’s iron ore operations.

"We are confident of moving the HOA to more secure commercial outcomes as both parties recognise that they bring complimentary skills and assets to the JV and are desirous to progress this to final, binding agreements.

"The Vijay Group has a history of rapid business growth, coupled with local expertise specialising in mining operations and mining equipment related businesses," said Goode.

NSL recently secured an approval from the Indian Ministry of Environment and Forest for the proposed Phase 2 Wet Beneficiation Plant at Kurnool expanding its current dry processing operations.

The state government of Andhra Pradesh also accorded the company with the AP14 Mining Lease.