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Arcelor Mittal Nippon Steel( AM/NS) had a deal with the Odisha government to set up an integrated steel plant in Kendrapara. The plant will be of a production capacity of 12 million ton a year. AM/NS will invest Rs 5000 crore in the project.
Odisha Chief Minister Naveen Pattnaik and LN Mittal the head of the Mittal group were present when the MOU was signed today at the convention center of the Lokseva Bhavan.
State Govt has signed an MoU with ArcelorMittal Nippon Steel for setting up of a 12 MT integrated Steel Plant in Kendrapada Dist with an investment of Rs 50000 Cr. HCM Sri Naveen Patnaik and Sri LN Mittal were present at the MoU signing event at convention centre, Lokseva Bhavan. pic.twitter.com/Rkcg2hES3x
— I & PR Department, Odisha (@IPR_Odisha) March 4, 2021
Odisha, the major steel producer in the country, is going to see additions to its capacity in steel production. The state government is working in this direction. Besides the 12mtpa project of AM/NS, Jindal Steel and Power Ltd also working to increase the capacity of its Angul unit to become the largest steel plant in the world. Jindal Steel has also got government permission to install a 12mtpa steel plant in Jagatsinghpur. Tata another major player is planning to upgrade its 3mtpa Kalingnagar unit to 5mtpa.
Earlier in 2006 Mittal group had advanced to set up a 12 mtpa steel project in Odisha, but failed to materialize it due to problems in land acquisition and finally aborted the plan in 2013.
In around 2005- 2006, Odisha attracted a slew of steel players to exploit its potential. Steel giants like POSCO, Mittal, Jindal and Bhusan had shown their interest to venture into the field. However, POSCO and Mittal had to pull back from their plan as they could overcome complications in land acquisition.
Major Steel Projects in Odisha
At present, Odisha produces around 32 Metric tons of steel annually through 47 large and small projects- two are public enterprises while the rest are private. JSPL brags for its 6mtpa capacity facility in Angul. Tata Steel BSL claims 5.63 mtpa capacity plant in Meramandali in the district of Dhenkanal. Besides, Tata steel has a 3 mtpa plant in Kalinganagar in Jajpur. In Kalinganagar. Jindal stainless steel too has a 1.6 mtpa unit. VISA steel owns a 1mtpa plant in the Kalinganagar. BSL has lost its Meramandali plant to Tata steel, yet it has a 2.80 mtpa plant in Lapang.