ArcelorMittal-Nippon Steel plans to build a metallurgical plant

The joint venture between ArcelorMittal and Nippon Steel (AM /NS) has announced that it has initiated a feasibility study for a proposed 12 Mtpa integrated steel production project in the Kendrapara region of the state in collaboration with the Odisha state government.

It should be noted that a Memorandum of Understanding (MoU) for the establishment of a metallurgical plant was signed in March this year. The joint venture of large steel companies envisages the creation of a new plant with an investment of about Rs 50,000 crores. This is expected to boost steel production in the country, create hundreds of well-paid jobs in the region, and bring significant benefits to both the government and the national economy.

In a presentation to investors, the company noted that it had initiated a feasibility study, obtaining appropriate permits, acquiring land, developing logistics infrastructure and other favorable conditions for preparing for construction work.

AM /NS India has announced plans to reorganize its steel mill and rolling parts production to achieve a capacity of 8.6 million tonnes. In addition, it aims to increase the capacity of its plant in Khazira, Gujarat, to 14 million tonnes in the near future. In addition, a 6 million tonnes pellet plant will soon be operational in Paradipa, Orissa.

AM /NS India performed well with EBITDA of $ 403 million in the first quarter of 2021.