Naveen Jindal led Jindal Steel and Power(JSPL) has proposed to set up one million tonne per annum capacity iron ore beneficiation plant at Raikela village in Sundergarh district.
The beneficiation plant would come up within the company’s leasehold area of 207.787 hectares at TRB (Tantra, Raikela, Bandhal) mines.
“About Rs 300 crore to Rs 400 crore will be invested in the new plant, that will process low grade iron ore with Fe content ranging 45 to 55 per cent. The raw materials will be sourced from TRB mines of the company, “said an official of the company.
Timeline of the plant could not be estimated as the company is yet to obtain the clearances from the government, the official added.
JSPL has earmarked an area of 5.06 hectares for the iron ore processing plan and 4.335 hectares for trailing pond as non-mineralised zone within the premises.
The company has requested the state directorate of geology for issuing the non-mineral zone certificate in respect of the proposed land.
It may be noted, JSPL has lined up an investment $10.00 billion (Rs 50,000 crore) in the state for steel production and power generation. The proposed steel plant in Angul district will produce 12.5 mtpa steel and generate 2,600 MW of power in phases. JSPL has already commissioned its first unit of 135 MW out of its total 900 Mw captive power plant (CPP) and has also started its plate mill with a capacity of 1.5 million tonne a year.
“The complete six million tonne capacity steel plant is expected to be commissioned by the end of 2014,” the company had said in a letter to the state government.
Meanwhile, JSPL has replaced the New Delhi - based Sara International Limited (SIL) in the special purpose vehicle formed to set up an all weather port at Gopalpur in Ganjam district after the later left the consortium. In the restructured SPV, JSPL holds 60 percent stake with Orissa Stevedores Limited holding rest 40 per cent. The steel major also runs five million tonne per annum pellet plant in mineral rich Barbil area of Keonjhar district. The latest in the string of investment plans JSPL has signed a Memorandum of Understanding (MoU) with the state government for setting up a downstream park at Parang in Angul district with an investment of Rs 500 crore.