Essar Steel is all set to begin production from its 12-million tonnes per annum (MTPA) iron ore pellet plant in Odisha in the next two-three days, a top company official said today.
“The production from the Odisha (pellet) plant will begin in two-three days. We are beginning with 6-MTPA in phase-I and units will begin production one by one,” Essar Steel (India) CEO and MD, Mr Dilip Oommen, told presspersons here on the sidelines of a conference organised by information portal, Steel Guru.
He added that charging operations of the pellet plant are complete and the total capacity will be increased to 12 MTPA in a year.
Besides the pellet plant, Essar Steel is also developing an iron ore beneficiation plant at Dabuna and a 253-km slurry pipeline in the State at an investment of Rs 4,200 crore.
“The entire project will be commissioned in a year, including the beneficiation plant, whose first phase of 8-MTPA capacity will be commissioned later this year,” Mr Oommen said.
The Ruias-promoted firm is also planning to set up a 6-MTPA steel plant in Odisha and has acquired about 250 acres of land.
“That is the next logical step, we have plans to set up the steel plant and land acquisition is on. We have spent about Rs 250 crore so far there,” he said.
The steel project requires about 1,500 acres of land and the company has recently completed a techno-economic feasibility study of the project.
Besides, the company has also applied for an iron ore mining lease for the project with the State Government, a senior company official later said.