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Arcelor-Mittal's Orissa plant DPR finalised
BS Reporter / Bhubaneswar June 27, 2008, 18:22 IST

Arcelor-Mittal, the largest producer of steel in the world, has finalised the Detailed Project Report (DPR) for its proposed 12 million tonne, Rs 40,000 crore integrated greenfield steel project at Patna tehsil in Keonjhar district of Orissa.

The DPR will be submitted to the Orissa government soon, according to Sanak Mishra, chief executive officer (CEO), Arcelor-Mittal India (greenfield projects). "The DPR is ready and will be submitted to the Orissa government shortly", he said.

He, however, refused to divulge the exact timing of submitting the DPR to the state government. The DPR for the Orissa projects precedes the finalisation of DPR for the Jharkhand project, where the company proposes to set up another greenfield steel plant of equal capacity.

The preparation of DPR for the Jharkhand project is still on, Mishra said.

M N Dastur & Company was entrusted with the job of preparing the DPR for the Orissa project. An expert team comprising 20 members of Arcelor-Mittal was assisting it in the job.

The scope of the DPR, among other things, includes captive mining facilities, captive power supply and water supply, infrastructural facilities like effluent disposal system, environment and township for the company's employees.

Mishra was talking to the media persons on the sidelines of the 4th international iron and steel making conference organised by the Steel and Metallurgy and Mines and Minerals Reporter in Bhubaneswar.

Referring to the progress of the company's Orissa project, he said, the company has already obtained the Railway Transport Clearance (RTC). It is also taking up the issue of road connectivity to the plant site with the National Highway Authority of India (NHAI).

Though the physical acquisition of the land for the Keonjhar plant has not started, the company hopes the process to start soon. It has already requested the Orissa government for convening the meeting of Gram Sabha to facilitate the land acquisition process, he said.

Arcelor-Mittal has sought about 7,750 acres of land for the Keonjhar plant. The company is also working on the forest diversion plan (FDP) as about 10 per cent of the total land required is categorised as forest land.

When pointed out that the grant of prospecting license (PL)/mining lease (ML) may take a longer time in view of a large number of applications filed with the state government for the locations that the company has applied for, Mishra said, the company intended to go through the processes.

The company, however, expects the Orissa government to recommend its case for PL. "We hope the Orissa government will recommend PL in favour of Arcelor-Mittal", he added.

Official sources said, the company has already applied to the Orissa government requesting allotment of PL for mines bearing reserves of about 600 million tonne iron ore to meet its requirement for next 30 years.

The mines for which it is in race for PL are Mankadanachha, Thakurani (in Keonjhar district), Badamgadapahad and Balipahada mines (located in Keonjhar and Sundergarh districts) and mining lease (ML) of Malangatoli mines located in Sundergarh and Keonjhar district.

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