Sterlite To Set Up Aluminium Complex In Orissa

Sterlite Industries has evinced interest in setting up a aluminium complex in Orissa.

It has already signed a memorandum of understanding (MoU) with the state government in this regard.

The south-based firm owns a small smelting capacity under Madras Aluminium Company banner.

Sterlite Industries proposes to set up an integrated aluminium complex with installed capacities of 2.5 lakh tonnes of metal, 10 lakh tonnes of alumina and 720MW of captive power.

While the alumina refinery will come up near the bauxite mines in the Kalahandi district, the smelter and the power plant will be located at Jharsuguda. The total cost of the project is estimated at Rs 8,500 crore.

The company has pegged its land requirement for the refinery at 1,200 acres and that of the smelter and power plant at 3,400 acres.

Work on the project is likely to begin towards the end of the current year and is targeted to be completed within 45 months.

The MoU was signed here on Thursday by the chairman-cum-managing director of Sterlite Industries, Anil Agarwal, and managing director of the Orissa Mining Corporation, J P Das, in the presence of the chief minister J B Patnaik.

This is the second memorandum of understanding to be concluded in the last two weeks for setting up an aluminium complex in the state in the private sector.

Last week, the Aditya Birla flagship, Hindalco, signed a memorandum of understanding with the state-owned OMC for mining of bauxite in the Kodingamali-Pottangi area.

The company intends to draw the raw material for its proposed Rs 10,000-crore aluminium complex to be set up in the state.

The Hindalco project also envisages having identical capacities.

In addition, Utkal Alumina International promoted by Indal, Norsk Hydro and Tata Industries too proposes to set up a Rs 2,500-crore one million tonne alumina refinery in Koraput district. The land acquisition process is on.

At present the public sector National Aluminium Company (Nalco), operates from the state. The recent surge of interest by various industrial houses to set up aluminium units in Orissa is understood to have stemmed from the fact that nearly 70 per cent of the countrys bauxite deposits are located in the state.