Bhubaneswar: The Naveen Patnaik Government is reportedly examining the feasibility of integrating three manufacturing units in the state into a mega steel plant.
According to a media report, it is examining a proposal to integrate the Kalinga Iron World Ltd (KIWL) in Keonjhar district and the Idcol Ferro-Chrome Ltd (IFCL) in Jajpur district with the Nilachal Ispat Nigam Ltd (NINL) to create the mega unit.
If the plan materialises, the proposal could lead to the revival of the now-defunct KIWL and IFCL and give a fresh lease of life to NINL, which is struggling to keep itself alive, the report said.
While the KIWL will produce iron ore pellets for the NINL plant, the ferro chrome from IFCL will be used by NINL for stainless steel making.
The report also claimed that cash-rich OMC will be roped in to finance the revival plan.
The move for the integration of the units assumes greater importance given central sector star trading company MMTC’s move to disinvest its equity holding in NINL. MMTC is currently holding 49.78 per cent stake in NINL.
As per the report, MMTC has already informed SEBI about its reported move.