Germany-based Siemens today said a consortium led by it has won a Rs 1,988 crore contract from country's top iron ore miner NMDC for the supply of a steelmaking plant.
"A consortium led by Siemens VAI Metals Technologies received an order from National Mineral Development Corporation Limited (NMDC) for the supply of a complete LD (BOF) steelmaking plant. The order volume for the consortium amounts to approximately 290 million euro (Rs 1,988 crore)", Siemens said in a statement.
The steel works will be conducted at Nagarnar in Chhattisgarh as part of an integrated production complex with an annual capacity of approximately three million tonnes of steel, it said.
The project is scheduled for completion by mid-2015, it said adding, NMDC had already ordered a sintering plant from Siemens for the Nagarnar project site.
The integrated steelmaking plant of NMDC at Nagarnar, built at a cost of about Rs 15,000 crore, is part of a national programme to increase the steel production capacity.
"Siemens will be in charge of the design and the turnkey supply of the steel plant, including two converters, two 175-tonne desulfurization plants, two ladle furnaces, and a degassing plant," the company said.
The scope of the project includes the material handling systems, the primary and secondary dedusting systems, a gas recovery plant and a water treatment plant.
"The project will be executed in collaboration with the Indian Siemens VAI Metals Technologies and the consortium members -- SEW Infrastructure and Mukand Engineers, who will be responsible for the civil works, the manufacturing and the erection of the steel structures, as well as for general erection of equipment," it said.
Siemens will supply the complete basic and process automation, the statement, said adding, the installation of state-of-the-art automation and process technology will allow NMDC to produce high-quality steel at low specific raw material and energy consumption.
At the same time, the plant will comply with environmental standards in India as well as in Europe, it said.
The hot metal for the new steel works will be produced in a blast furnace and subsequently processed to liquid steel in the steel plant.
It added that the liquid steel will then be cast in a thin slab caster and in line hot-strip mill to process a wide range of hot rolled coil and sheets, including high-strength low-carbon steels, pipeline grades and steel grades for the automotive industry.
NMDC is India's largest producer and exporter of iron ore. The state-owned company mines approximately 30 million tonnes of ore each year at locations throughout India.