ArcelorMittal among three steel firms to back out of Odisha projects

Altogether three companies that had signed MoUs with the Odisha government for setting up steel plants have withdrawn their projects from the state, the Assembly was informed today.

Eleven others have not yet started work for setting up steel plants, steel and mines minister Prafulla Mallick told the Assembly.

Stating that work on 35 other steel plants were in different stages of production, the minister told the House that the state government had signed MoUs with 49 companies for setting up steel plants.

Replying to a question, the minister said ArcelorMittal, Maharashtra Seamless and Sterlite Iron and Steel Company have withdrawn their projects from the state.

While ArcellorMittal had signed a MoU with the state government to set up a mega greenfield steel plant in Keonjhar district, Maharastra Seamless had proposed to set up a steel plant at Duburi in Jajpur district. Sterlite Iron and Steel Company Limited had also proposed to set up a steel plant at Palaspanga in Keonjhar district, the minister said.

On the Posco project, the minister said the South Korean steel major had declined to pay its dues for land to the Industrial Infrastructure Development Corporation (Idco) and had not utilised the land allotted to it within the stipulated period.

The 11 companies that have not begun work were Artha Mines, Posco, Pradhan Steel and Power, Konark Ispat, Deo Mines and Mineral, Monnet Ispat and Energy, SSL Energy, Tecton Ispat, Uttam Galva Steel (Uttam Utkal Steel), Amtek Metal and Mining and Welspun Power and Steel, the minister said.