Uttam inks MoU for Rs 8,989cr Orissa project

Uttam Galva Steel (UGSL) signed a memorandum of understanding(MoU) with the Orissa government on Friday to set up a 3 million tonne per annum steel plant and bicycle unit with an investment of Rs 8,989 crore.

The project entails investment of Rs 1,796 crore in service and utilites, Rs 1,567 crore in hotstrip mill and billet, Rs 1,538 crore on the blast furnace and Rs 840 crore on a 210 MW captive power plant.

The steel project will require 2,200 acres of land, but the location is yet to be decided. The project will also bring in foreign direct investment to the tune of Rs 900 crore, Orrisa chief secretary Subas Pani said.

"UGSL will be collaborating with a South Korean and UK company for its steel manufacturing unit," he said.