Step 1: Understanding Baba Budan Hills.
Baba Budan Hills are located in the Chikmagalur district of Karnataka, India. These hills are well-known for their rich deposits of iron ore.
Step 2: Analyzing the options.
(A) Coal: Incorrect. The Baba Budan hills are not known for coal reserves.
(B) Petroleum: Incorrect. This area does not contain petroleum deposits.
(C) Iron ore: Correct. The hills are rich in iron ore and are an important source of this mineral.
(D) Mica: Incorrect. Mica is mainly found in states like Jharkhand and Bihar, not in Karnataka.
Step 3: Conclusion.
Therefore, Baba Budan hills are famous for Iron ore, and the correct answer is (C).