Bhubaneswar: The Odisha government on Friday gave the go-ahead to ArcelorMittal Nippon Steel India’s (AM/NS India) proposal to set up a 24 MTPA integrated steel plant at Mahakalapada block in Kendrapada district at an investment of Rs 1 lakh crore.
High-Level Clearance Authority (HLCA) under the chairmanship of Chief Minister Naveen Patnaik approved the mega project, which is expected to generate direct employment opportunities for 16,000 people and create significant indirect employment opportunities through ancillary and downstream industries and services, an official release said, adding that it is the largest project in the manufacturing sector in the country.
At its Kendrapara complex, AM/NS India will produce 24 MT of various grades of steel with its latest green steelmaking technology. It will also produce high value-added Steel downstream products.
This facility will also produce 18.75 MT of cement annually, making it one of the largest cement manufacturing plants in the country and will boost the infrastructure development in the region.
Along with the steel complex, the company will also develop a downstream industry park to promote the MSMEs and help import substitution. A large number of ancillary manufacturing companies are expected to put up their units in this region to support the huge steelmaking facility, it further said.
“The infrastructure to be developed for the Kendrapada projects facility will give a boost to the logistics and overall development of the region. This modern, green and environment-friendly steel making facility will put the district and Odisha on the world steel map. A number of international equipment manufacturers will be stakeholders in this project and catalyse more employment opportunities for the state,” the release added.
This mega project will get completed in 7 years in phases. The logistic infrastructure, power and water utilities and all the clearances for the project will be provided in a time-bound manner by the government agencies, which will be monitored by a ‘High Power Committee’ chaired by the Chief Secretary.
With this massive investment, Odisha has garnered investments worth Rs 2.70 lakh crore in the past 12 months, creating potential employment opportunities for over 1.6 lakh persons, it added.
In March this year, an MoU was signed for setting up the integrated steel complex in Mahakalapada area of Kendrapada district between the government and the steelmaker in the presence of the Chief Minister and executive chairman of AM/NS LN Mittal at Lokseva Bhavan.
Notably, ArcelorMittal Nippon Steel India commenced operations at the Ghoraburhani-Sagasahi iron ore mine in Odisha in September.
In 2006, ArcelorMittal had signed an MoU with the Odisha government to set up a similar capacity steel plant in Keonjhar district with an investment of Rs 40,000 crore. However, it had to abandon the project in July 2013 after it failed to get suitable land and necessary permits to mine iron ore, a key raw material.
