5.3m tonne steel capacity planned in Orissa
(by Our Correspondent, Bhubaneswar- May 12, 2003 BUSINESS STANDARD)

Steel capacity in excess of 5.3 million tonnes and alumina capacity of 1 million tonnes was due to be commissioned in the state of Orissa in the next four years, according to data released by the state government.

Besides the 5.3 million tonnes of steel, three smaller units producing stainless steel products, sponge iron and mild steel were also under implementation. In all, Orissa would see as any as 19 projects in steel, aluminium and power sectors, envisaging a combined investment of Rs 12,000 crore, claimed Orissa's minister of state steel and mines, A Singhdeo. Eight of the projects were under implementation. The projects were the result of the government's initiative for development of mineral based industries.

The Jindal group, which owned a steel and power complex at Raigarh in Chhatisgarh, was looking at a similar complex in Orissa. The complex would be located at the pit head of iron ore deposits in Keonjhar district. The proposed steel plant with a capacity of two million tonnes per annum would require investment of Rs 3,500 crore.

The Bhusan group has shown interest to set up a 1.2 million tonne integrated steel plant at Lapanga in Sambalpur district. The plant would be expanded to 2.8 million tonnes in the second phase with a proposed investment of Rs 3,500 crore. Following an MoU with the company, acquisition of 1,266 acres of land was on. Aarti Steel would produce high value steel items of a capacity of 0.5 million tonnes at Ghantikhal at Athgarh at an investment of Rs 633 crore. Shyam DRI Power Ltd, which owned steel units in West Bengal and Meghalaya, had offered to set up a small integrated steel plant in Rengali area of Sambalpur district. Sterlite Industries was working on an alumina refinery project of one million tonne per annum capacity at Lanjigarh in Kalhandi district with an investment of Rs 4,000 crore. Land acquisition for 1,768 acres of land for the project, ash pond, and township and rehabilitation colony were under way. Visa Industries has proposed to set up a stainless steel products plant at Duburi in Jajpur district at an investment of Rs 320 crore. Smaller sponge iron factories had also come up in the state, with 15 being set up recently.