Gopalpur Plant Cost Escalates By Rs 300 Cr

The private sector steel major is yet to finalise its investment plans for the CRM complex. The company's board is expected to decide on ways and means of tying up for funds once it fixes the level of investment required for the first stage of the project.

The total requirement of funds for setting up a one million tonne cold rolling mill is expected to be around $ 500 to 750 million. In addition, Tata Steel will also have to invest a sizeable amount in procuring land for the project.

In the first phase, the Gopalpur plant will have a capacity of 2.5 million tonnes, which will be in the flat products category.

 

Tata Steel has recently appointed Japan's leading steelmaker, Nippon Steel, as its technical consultant for detailed engineering consultancy work at the cold rolling mill complex. The CRM will source its requirement of hot rolled (HR) coils from the hot strip mill at Jamshedpur. The HR coils will then be transported by rail to Gopalpur.The entire project has been envisaged as a back ward integration one.