ArcelorMittal Nippon Steel to invest ₹1.02 lakh cr. in Odisha
The Odisha government on Friday approved ArcelorMittal Nippon Steel’s proposal to set up a 24 million tonne per annum integrated steel plant in Mahakalpara block of Kendrapara district at an estimated investment of ₹1.02 lakh crore.
Touted to be the largest project in the country’s manufacturing sector, the proposed facility of AM/NS (the Kendrapara complex), would produce various grades of steel with its latest ‘green’ steel making technology and also make 18.75 MTPA of cement.
On completion, the steel and cement facilities would both be India’s largest single location greenfield projects, respectively. The project is proposed to be completed in phases over seven years.
While the steel plant would enable the churning out of high value added downstream products, the cement facility would likely help boost infrastructure development in the region.
Odisha’s High-Level Clearance Authority (HLCA) chaired by Chief Minister Naveen Patnaik approved the project. which is expected to directly generate 16,000 jobs and create significant indirect employment opportunities through ancillary and downstream industries and services.
In order to avoid any delay in implementation of the project, the State government will constitute a high power committee under chairmanship of the Chief Secretary. The committee will monitor time-bound clearances for the logistics infrastructure, power and water utilities required for the project.
According to the State government, along with the Steel complex, the company will also develop a downstream industry park to promote micro, small and medium enterprises and help import substitution. A large number of ancillary manufacturing firms are expected to set up units in the region to support the steel plant.
“The infrastructure to be developed for the Kendrapara projects facility will give a boost to the logistics and overall development of the region,” said the government. “This modern, green and environment friendly steel making facility will put Kendrapara and Odisha on the world steel map. A number of international equipment manufacturers will be stakeholders in this project and catalyse more employment opportunities,” it added.
AM/NS recently acquired two iron ore mines — Sagasahi and Thakurani in Odisha — by winning bids in auctions. ArcelorMittal has 60% stake in AM/NS India while Japan’s Nippon Steel holds the rest.
For all the latest business News Click Here