India’s NMDC eyes 10 million mt steel plant in Karnataka
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Indian state-owned iron ore producer National Mineral Development Corp. (NMDC) has proposed to set up an integrated steel plant in Bellary, Karnataka state, if the government allots it new and rich iron ore mines and infrastructure support.
The initial annual capacity of NMDC's new steel plant is planned to be two million mt, which would be later augmented to ten million mt. The intention to set up a new mill follows the Karnataka government's new policy for the demarcation of mining zones and the granting of concessions, the licenses of which will be pre-conditioned to value addition in the state.
"As a mining company, we need to get new reserves, which is possible in Karnataka only by adding value to the mineral. So we have proposed setting up a steel plant in the state," NMDC chairman and managing director Rana Som said.
The company did not disclose the detailed project and its investment plan as the proposal is in the initial stage.
In addition, NMDC is in the process of setting up a three million mt greenfield steel plant in Nagarnar, Chhattisgarh state, with an estimated investment of around Rupees 140 billion (approx. $2.89 billion).