The Iron ore deposit in Kudremukh was one of the largest in the world. M/s National Mineral Development Corporation undertook the preliminary investigation of the surrounding areas in Kudremukh in 1960s. Government of Iran financed for the project to buy back the finished product. However Iran withdrawn from the project due to its internal problem. Later Government of India completed the project.  

As a diversification measure Company commissioned high grade pelletization plant in Mangaluru. As a value addition Blast Furnace Unit was established.

Kudremukh Iron Ore Company Limited, under the Ministry of Steel and Mines was established on 2nd April 1976 to develop mine and plant facilities to produce Iron Ore Concentrate from low grade Magnetite ore.

The Magnetite Iron Ore concentrate mined and beneficiated at the captive mines of Kudremukh was used for pellet making for more than three decades till December 2005. KIOCL had stopped its mining operations at Kudremukh with effect from 01.01.2006 in pursuant to Hon'ble Supreme Court's Judgment, as the area was declared National Park.