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Jindal Steel & Power Ltd (JSPL) which is building a six million tonne per annum (mtpa) greenfield steel plant at Angul, expects to start operations of its steel melting shop (SMS) by June this year.
The company hopes to achieve steel-making capacity of two million tonne per annum (mtpa) with the commissioning of its DRI and coal gasification plants by September.
“We hope to start operations of SMS by June. Our steel plant with two mtpa capacity is also expected by September this year,” said Naveen Jindal, chairman of JSPL.
The company aims to achieve the full six million tonne capacity by December, 2015. For this, the company needs to install a 4 million tonne per annum capacity blast furnace, sinter and oxygen plants and other facilities. Both the phases-producing steel through DRI and blast furnace routes-will cost Rs 34,000 crore. The scope of the project includes establishment of 810 Mw (6X135Mw) captive power plant (CPP), which is being put up in the first phase.
Meanwhile, the state government through its nodal agency for land acquisition- Industrial Infrastructure Development Corporation of Odisha Ltd (Idco) has alloted 970.34 acres of government land and 2,819.64 acres of private land for JSPL’s integrated steel and power complex.
Once the plant is fully operational, it is expected to absorb 9,580 persons including 920 people in the managerial cadre, 220 technical officers, 3,750 people in skilled category and 4,690 in semi-skilled and other categories.
JSPL had signed an MoU (memorandum of understanding) with the state government for developing a six mtpa steel plant in November 2005 at an investment of Rs 22,420 crore.
On progress of its proposed coal-to-liquid (CTL) project, Jindal said, “We expect to sign MoU (memorandum of understanding) with the Odisha government within two months.”
JSPL has been allocated the Ramchandi coal block for its Rs 60,000-crore ambitious CTL project.
The CTL project that envisages a production capacity of 80,000 barrels of oil per day is coming up at Durgapur in Angul district.
The draft MoU to be signed with JSPL is ready. It has been decided that the MoU tenure shall be for nine years with a clause that after every three years, the project will be reviewed. The company has to submit milestones to be achieved in three years and in six years to the industries department. The CTL project needs 4,000 acres of land. A host of milestones have to be achieved within three years from the date of MoU execution- finalisation of land and water assessment by state owned Industrial Promotion & Investment Corporation of Odisha Ltd (Ipicol), securing prospecting licence for Ramchandi coal block allocated for the project, exploration of the coal block and commencement of land acquisition activities.
