The Hindu Business Line : Sterlite Iron inks MoU with Orissa for 5 mt steel plant

STERLITE Iron and Steel Company Ltd, a Sterlite Group company, has signed a memorandum of understanding (MoU) with the Orissa Government for setting up a five million-tonne steel plant in Keonjhar district of the State.

The Rs 12,500-crore greenfield steel project will be implemented in two phases. It will be implemented over the next four years. When commissioned to full capacity, the steel plant will produce 2.5 million tonnes of flat products and 2.5 million tonnes of long products per annum.

M.N. Dastur & Company has been engaged as consulting engineers for the steel project. Mr Agnivesh Agarwal, Director of Sterlite Iron and Mr Bhaskar Chatterjee, Secretary of the State Government's Department of Steel and Mines, signed the MoU.

The Chief Minister, Mr Naveen Patnaik and the Chairman of the Sterlite Group, Mr Anil Agarwal, were present.

Speaking on the occasion, Mr Patnaik said that the State Government would provide all necessary assistance and cooperation to the project. He also underscored the need for proper environmental protection and provision of appropriate and adequate compensation to the families to be affected by the project.

The project would generate direct and indirect employment for about 8,000 people. The State Government has agreed to provide 3,500 acres of land, the requisite quantity of iron ore, water and coal as per its existing policy that gives preference to investors to make value addition to its rich mineral resources.