Karnataka Steel & Mineral Industry

[Krishnamoorthy K]

Originally Posted by engineer.akash

Krishnamoorthy, when did Arcelor zero in on Bagalkote??They were shown land at Kuduthini in Bellary and Mulwad in Bijapur,when did they decide on Bagalkote and the company officials said it will take them three months to decide as the company is still evaluating and analysing the feasibility of the project.

ArcelorMittal executives have visted three sites in Bellary, Bijapura and Bagalakote districts. Read post #32 instead of post #31. They might have favoured Bagalakote as it is close to Alamatti dam. Bagalakote is much closer to industrially developed regions of Belgaum and Hubballi-Dharwada.

Mittal has a plan for even downstream industries of steel. Hope that Bagalakote-Gadaga-Dharwada-Belgaum region becomes a hub of industries like Automobile, Machinery, Appliances, etc.

[Krishnamoorthy K]

Mumbai: After global giants ArcelorMittal and Posco, domestic major Tata Steel has set its sights on Karnataka.

“The plant will come up in Haveri district with an investment of Rs 6,100 crore. The project was cleared in September 2009 and the state government has taken all the steps for its smooth implementation,” a senior official in the Karnataka industries and commerce department said.

Sanjay Choudhry, spokesperson for Tata Steel, concurred. “The empowered committee has given its nod for the land,” Choudhry said.

Another company official said Tata Steel’s priority is the Orissa project. In Orissa, the steelmaker is building the plant on 2,000 acres.

Karnataka government sources said the state is also planning to set up a steel complex in Bellary district on 50,000 acres.

It will have shared infrastructure for all steel plants in the vicinity.

“This will include common railway lines, water connections and iron ore mines,” said an official close to the development.

Source: DNA

A steel plant right on G-Q corridor.

[Krishnamoorthy K]

New Delhi: On the heels of Karnataka clearing the ArcelorMittal and Posco projects worth Rs 62,300 crore in a very short while, the Government-owned NMDC is planning to appoint a consultant by the month-end to speed up its Rs 20,000-crore project in the state.

"NMDC is in talks with a few consultants and would finalise one by the month-end. The consultant would scout and finalise a site in Karnataka for the steel project," a senior NMDC official said here today.

The development comes a week after Karnataka cleared one proposal each from ArcelorMittal and Posco, within a month and promised them all necessary clearance within three months.

The country's largest miner has been pursuing its plan to diversify into steel making. The proposed venture in Karnataka, which the company estimated to be around Rs 20,000 crore, would be its second such project after the Rs 13,000-crore steel plant in Chhattisgarh.

Significantly, unlike Posco and ArcelorMittal, the Central PSU has not met with any major hurdles yet.

As per the MoU signed with Karnataka early last year, NMDC would set up 5mtpa steel plant. The firm intends to set up the project through a joint venture and would start looking for a partner, domestic or global firm, the source said.

"NMDC will initially set up a 2mtpa plant in Karnataka in a joint venture and ultimately scale up the capacity to 5mtpa," the source added.

Source: Zee News/PTI

[Krishnamoorthy K]

Karwar: Minister for Fisheries Anand Asnotikar, has said that the Mittal company, which proposed to set up a steel plant in the state, was keen on developing Tadadi near Gokarna as a major port.

He told reporter on Tuesday that a high-level team of the company visited Tadadi and Madangeri for an inspection of the site on Tuesday.

He said nearly 1,800 acres of land was in possession of Karnataka Industrial Area Development Board at Madangeri, Out of the, 600 acres of land had been earmarked to establish a gas-based power plant by the government.

The remaining 1,200 acres of land could be utilized to develop Tadadi port.

Asnotikar said that the team also visited Karwar port and was much impressed by the natural advantage that it enjoyed.

He said that the team members, during an interaction with him expressed the desire of the company to develop Karwar port too.

Source: SahilOnline

What about Hubli-Ankola rail connectivity?

[Krishnamoorthy K]

Mumbai, Hyderabad: NMDC Ltd, in which the government is selling 8.38% stake through a follow-on public offer, is in talks with ArcelorMittal, the world’s largest steelmaker, for a possible joint venture, two sources familiar with the development told DNA.

“Yes, ArcelorMittal is interested in the project and talks at some level are currently on,” said one of them.

An ArcelorMittal spokesperson denied there are talks.

Rana Som, chairman and managing director of NMDC, said, “There is no such plan at this point in time.”

“But we have already announced that we will go with a partner for our project,” Som told DNA Money on Saturday.

Read full news on DNA.

NMDC scales 52-week high on plan to strike JV for steel plant

[engineer.akash]

Bellary: ArcelorMittal Plant to Come Up at Kudithini Village

Daijiworld Media Network – Bellary (SP)

Bellary, Jan 22: ArcelorMittal, the global giant in steel manufacture, has chosen Kudithini village in the district to set up its multi-crore steel plant.

The company officials, who met the officials of the state government on Thursday January 21, said that they have selected this site on the basis of its nearness to the ore mines of Bellary and also the Tungabhadra reservoir.

The 4,000 acres of land the company needs at the village, is located in the agricultural lands, where only a single crop is raised every year. The state government is planning to acquire the land by offering highest possible price, sources in the government disclosed.

It may be recalled that Lakshmi N Mittal, who owns the company, had told the state Chief Minister, B S Yeddyurappa, that the company will invest a sum of Rs 30,000 crore in Karnataka.

Daijiworld

[engineer.akash]

Gold deposits confirmed at a village near Bagepalli

Special Correspondent

CHICKABALLAPUR: With laboratory analysis reports indicating the presence of gold in the soil samples collected from Kapuchinnapalli village in Bagepalli taluk of Chickaballapur district, the Department of Mines and Geology has taken up a study in this regard.

After the preliminary soil sample analysis conducted at the Department of Mines and Geology laboratory in Bangalore confirmed the presence of gold in the soil, the samples have been sent for further tests to the Indian Bureau of Mines (IBM) and the Hutti Gold Mines Ltd. in Raichur district.

Sources in the Department of Mines and Geology told The Hindu here on Monday that the gold content was found in the soil samples collected from the land bearing survey number 141/4 at Kapuchinnapalli, situated six km north-east of Bagepalli on Guloor Road. The said land belongs to Byra Reddy, a marginal farmer.

In all, 18 soil samples collected from Kapuchinnapalli and surrounding areas had been sent for a study after conducting preliminary analysis in Chickaballapur.

The Department of Mines and Geology was ascertaining the origin and the extent of the gold available in the particular belt. Only a detailed study would confirm whether it would be economically viable to take up gold mining in the area, the sources said.

The routine soil samples analysis conducted by the department in Chickaballapur district had led to the discovery. Besides, the land owner Byra Reddy himself had brought the soil samples to the department for testing as he found that the physical features of the soil was some what unusual.

Kapuchinnapalli is situated around 120 km north of Kolar Gold Fields (KGF). Bharat Gold Mines Ltd, which was operating the Asia’s largest and deepest gold mines at KGF, closed operations in April 2000.

The Hindu

[Krishnamoorthy K]

National Mineral Development Corporation (NMDC) and steel major Tata Steel, on Friday, signed a MoU for forming one or more than one joint ventures to explore opportunities for acquiring and developing mines in India and abroad besides venturing into setting up of greenfield steel plant in India.

Briefing reporters, NMDC Managing Director Rana Som, said a joint working group has been set up to decide within a couple of months on the details of areas of joint business and mining exploration. The report is expected within two months.

On details of equity structure of new joint venture, Som said since there could be one or more than one joint ventures with Tata Steel, total investment and pattern of equity structure would be worked out once the group submits its report.

Equal stakes

It is likely that the partners would have equal stakes in those companies. A joint steering group is also to be formed to monitor the progress and operation of the joint venture.

“Both are cash-rich companies and the joint venture will result in unprecedented synergy,” he pointed out. “We’re setting up a demonstration plant in Karanataka, showcasing new mining technology developed at our R & D centre.The joint venture can utilise it for new areas,” he added.

Asked whether the proposed joint venture would consider setting up an integrated steel plant in Karnataka which is a virgin territory,Tata Steel Managing Director H M Nerurkar said “We can think of it.” Som, however, sounded extremely positive on the idea.

Knowledge sharing

While Tata Steel will bring in its expertise to produce steel, NMDC would contribute by way of sharing knowledge in use of low-grade iron ores, Nerurkar said. Tata Steel has major plans of expansion within the country and has been looking at enhancing its iron ore resources and developing technology for lower grades of iron ore in India. NMDC plans to look beyond its iron ore business and establish a presence in steel making to add value to its mining operations.

NMDC, largest iron ore producer in Asia and 8th largest in the world, is diversifying into manufacturing of steel and pellets.

The central PSU which is setting up an integrated steel plant in Chattisgarh, plans to act on a three-pronged strategy by entering into wind and solar energy besides fertiliser.

Source: DHNS

NMDC finds traces of diamond deposits in Gulbarga district

[Krishnamoorthy K]

On the other hand, Essar, which entered into a memorandum of understanding with the Karnataka government last year for setting up a greenfield steel plant in the southern state, is yet to finalise the details of the proposed project.

According to Amin, the project plans were still at a discussion stage. The company is looking for iron ore mines and the project details will be finalised only after the raw material sources are secured.

Source: BS

[Krishnamoorthy K]

Bangalore: A team of officials from South Korean steel major Posco would visit Karnataka in mid-February to appraise the land parcels available in the state in order to set up their proposed integrated steel plant, a top Karnataka government official said.

Talking to FE on the sidelines of a CII event on corporate social responsibility in Bangalore on Thursday, principal secretary of commerce and industries department of Karnataka VP Baligar said, “Posco requires approximately 5,000 acres but has not yet decided on the location.”

Posco is interested in North Karnataka like Bellary, Koppal and Bijapur. “We have already notified 4,000 acres in Bijapur. Another 4,000 acres would be notified in Bellary region very soon,” he said.

Earlier this month, the state government formally cleared the steel plant proposals of Posco and ArcelorMittal, the world’s largest steel maker. Posco would pump in Rs 32,300 crore to establish a steel manufacturing facility to produce 6 million tonne per annum (mtpa) while ArcelorMittal would invest Rs 30,000 crore for 6-mtpa capacity plant in Karnataka.

The land notified in Bijapur is free to be allotted to any company, either to Posco or to ArcelorMittal, he said. However, he indicated that ArcelorMittal, which requires 4,000 acres, prefers to set up its plant in Bellary that is rich in iron ore deposits. He said, “ArecelorMittal already asked 4,000 acres there (in Bellary). If Posco also requires land in the same area, we will issue another notification.”

According to sources, the government had earlier notified the lands in Bijapur, expecting that ArcelorMittal would set up its project in Bijapur. The government was also ready to allocate water from the Upper Krishna project. However, ArcelorMittal is more keen on getting lands in iron ore-rich Bellary region, where Sajjan Jindal-lead JSW Steel is already operating an integrating steel plant.

Source: FE

[engineer.akash]

POSCO team coming to scout for location

New Delhi, Jan 29, DHNS:The South Korean steel giant Posco is sending a technical team to Karnataka next month to scout for a suitable location to set up a Rs 32,000-crore plant.

Disclosing this to reporters, Karnataka Industry Minister Murugesh Nirani said the representatives of the company have already held talks with the State government.

The company has proposed to establish a steel plant with a capacity to produce six million tonnes of steel per annum. The state government has, in principle, given approval for the mega project. Another global steel major ArcelorMittal proposes to set up a plant at Kudthini in Bellary. The State government has already sent a team of officials from Karnataka Industrial Areas Development Board (KIADB), the State’s nodal agency for facilitating infrastructure facility to industries, to Bellary to inspect the areas.

Arcelor’s choice

Company representatives recently met government officials in Bangalore and informed them that considering the proximity of mining areas in Bellary as well as the Tungabhadra reservoir, Arcelor decided to set up the plant at Kuduthini. Earlier, the company officials conducted techno-feasibility studies at Kudthini in Bellary and Kolhara in the Basavana Bagewadi taluk of Bijapur district.

“The 4,000 acres sought by the company in Kuduthini is a private farmland. Only single crop is being grown there,” the minister said. However, there is no displacement of families as there is no human settlement in these lands. The company has promised to provide job to one person to each family which may lose land for the project,” said the minister.

The company has claimed that the project can generate 10,000 jobs. The state government has promised to provide water from either the Alamatti or Tungabhadra Reservoirs.

DHNS

[Krishnamoorthy K]

BANGALORE: The Rs 50,000-crore steel plant project proposed by ArcelorMittal in Karnataka has run into rough weather with the government unable to identify the project site due to problems in acquiring land.

The government is finding it increasingly difficult to ensure dedicated power and water supply for the 6-million tonne plant.

Though sources in the Commerce and Industries Department say that the process of identifying the required 4,000 acres has started, they admit that it is a difficult task.

“The problem is not with the compensation. We are ready to offer prevailing market rates. But farmers are not willing to part with their land,” sources in the Karnataka Industrial Area Development Board (KIADB), the nodal agency for land acquisition in the state for industrial projects, said.

CM B S Yeddyurappa, who had met ArcelorMittal CEO L N Mittal in Delhi earlier this month, had stated that all the formalities would be completed within three months. However, it appears to be a daunting task.

ArcelorMittal’s plans to set up steel plants in Jharkhand and Orissa have also not materialised due to resistance from the local people over land acquisition.

It is for these reasons that Mittal is said to have restrained from signing a MoU with the state government.

Later, the state government promised to put everything in place by notifying the land, water source and power supply before the MoU is inked.

The government had offered land for the project in eight locations with rich iron ore deposits across North Karnataka. It had short-listed three sites in Bellary, Koppal and Raichur districts in concurrence with the steel giant.

Preliminary discussions with the farmers have not been favourable as small and medium farmers, for whom agriculture is the only source of income, own a significant portion of land in the areas identified for the project.

“Negotiating with such farmers takes time and is difficult. We are looking at alternative sites in the neighbouring Bagalkot district,” the sources pointed out.

Besides, the mood of the farming community in the state is against land acquisition.

In the last one month, farmers’ agitations against acquisition of agricultural land have intensified. At least two projects — Hankon thermal power project and the proposed layout on the outskirts of Davanagere — had to be called off due to a farmers’ movement. In Bellary, farmers are protesting the acquisition of land for proposed airport.

A mega project of the kind proposed by ArcelorMittal requires abundant water.

Alamatti dam, built across Krishna river in Bagalkot, is the only source. But allocation of water for irrigation from the dam is still not finalised.

The dam supplies water for irrigation to six districts in North Karnataka.

The government has not yet finalised these issues, sources in the state’s Major Irrigation Ministry said

Source: EB

[engineer.akash]

I had anticipated -water as a major problem and also the land acquisition.

[Krishnamoorthy K]

Karnataka-based KIOCL (formerly Kudremukh Iron Ore Company Ltd), a wholly state-owned enterprise operating under the Union steel ministry with Miniratna status, was struggling to run its pellet plant after shutting its captive iron ore mine covering 4,065 hectares in the Kudremukh belt in Karnataka following a Supreme Court directive in 2005. Since then, KIOCL, once the largest iron ore exporter in the country, has started procuring the material from the outside market. Now the company has taken new steps to diversify its business while also acquiring new iron ore mines in different states to ensure the cheap supply of raw material to its pellet plant. KIOCL has also taken a few steps to bring down the cost of production at its pellet and blast furnace plants through expansion programmes. In an interview to FE’s Jaishankar Jayaramiah, KIOCL’s chairman & managing director K Ranganath discusses the company’s future plans. Excerpts:

How are you managing raw material supply after shutting your captive iron ore mines in Karnataka following the Supreme Court order?

It’s little difficult to run our pellet production facility as it requires iron ore as a major raw material. The input cost increased as we were forced to procure the material from outside after closing our captive mines in 2005. We are procuring iron ore through long-term contract with NMDC, but still the prices are higher compared with ore supplied from our own captive mines earlier. Currently, NMDC supplies iron ore at around $50 per tonne against the spot market price of $95-118. But if we have captive mines, ore can be availed at $15 per tonne.

What steps have you taken to come out of this crisis?

We have applied to the Karnataka government to allot iron ore sites as our major plants—pellet and pig iron production facilities—are operating in the state. We have also applied to the governments of Orissa, Chhattisgarh and Rajasthan for mine allotment. The Karnataka government has recommended iron ore mining lease in an area covering 116 hectares in Chikkanayakanahalli taluk in Tumkur district. The Union government has granted us prior approval of mining lease and we also have the environment clearance. We are now waiting for the forest clearance. The Chikkanayakanahalli mining area has around 10 million tonnes of iron ore deposits. If we are through with this project, iron ore mined from here would meet the requirements of our manufacturing plants for another three years. In addition, Karnataka government has given formal approval to mine in the Ramanaduraga region that contains around 150 million tonnes of iron ore. But the state government has not given the final approval to mine in the region because a petition regarding mine allotments in this area is pending before the Supreme Court for disposal.

Are you looking to diversify the company’s business?

The company has decided to establish a spun pipe plant to use the hot metal running into blast furnace unit (BFU) that currently produces pig iron. Currently, we are running into losses by producing pig-iron, as the cost of the basic raw material—coke—has increased. We are incurring the loss because the current market price for pig-iron is a meagre Rs 18,000 per tonne against the coke price of Rs 21,000 per tonne. The current capacity of BFU is 2 lakh tonnes. A part of hot metal produced for BFU could be diverted to manufacture spun pipes. The spun pipe manufacturing plant will have a capacity of 1 lakh tonne per annum. Pipe manufacturing would be more lucrative than producing pig-iron. This project would require an investment of Rs 300 crore.

What are your other plant-level expansion plans?

The company has decided to set up a coke oven plant. This is to convert coal into coke. Instead of buying coke from the outside market at a high price, we can buy locally available coal and convert it into coke for our usage at a lower cost. This would bring down the cost of coke to $150 per tonne. Moreover, we don’t have our own sidings. Our pig-iron customers are located in the hinterlands of Tamil Nadu and Gujarat and a small quantity of pig-iron could be moved through railings. So, we are planning to construct a railway line between Toukur and our plant in Mangalore. A detailed project report is in progress and Konkan Railway is attending to the project. Besides, the company has plans to instal a pressure filter plant to reduce moisture in the pellets. While reducing moisture, this process will add strength to the pellet, enabling us to fetch a higher price in the international market. For all these expansion programmes we have lined up and the new spun pipe plant, the company would require an investment of Rs 1,000 crore. We have enough internal resources to meet this investment need—the company currently has a cash reserve of Rs 1,200.

KIOCL has proposed to set up a steel plant. What is the status of that?

Yes. We have plans to set up an integrated steel plant in Karnataka. The plant would be a joint venture with another partner. The cost of the project would be around Rs 8,000 crore. In the first phase, the integrated steel plant will have an annual capacity of 2.5 million tonnes of steel, which could be expanded to 5 million tonnes in the second phase. We are working out the project to expand the manufacturing capacity in the proposed plant to up to 15 million tonnes. We are making progress in identifying partners who have the expertise in steel manufacturing. After finalising partners and other parameters of the project, we will apply to the government to allot captive iron ore mines for the steel plant, as we will be adding value to the iron ore mined from the state.

Last year, you shut your pellet plant for some period. Why?

Yes, we closed the pellet plant operations during different periods in the last year due to a decline in global pellet prices. In fact, the pellet plant accounts for 90% of the total revenue of KIOCL. The company exports 50% of the pellet manufactured in the plant while the remainder has been supplied to the domestic market. Pellet prices, which touched its peak of $245 per tonne in September 2008, tumbled to $54 in December 2008. Generally, we used to produce 2.65 million tonnes of pellet against the plant’s total capacity of 3.5 million tonnes. Due to recession, the pellet production declined to 1.31 million tonnes in 2008-09. Hence, we halted operations for some time. Now, since December 2009, the pellet plant is continuously running as prices in the international market are moving up. Currently, pellet prices are hovering at around $118 and it may stabilise at $135 levels in the next four to five months.

Source: FE

[Krishnamoorthy K]

State-run KIOCL has shortlisted an equity partner for its proposed joint venture for setting up integrated steel plant in Karnataka at an estimated investment of Rs 8,000 crore, a top company official said today.

"Due diligence is taking place on that. Consultant is going through the papers," KIOCL Chairman and Managing Director K Ranganath told PTI here.

He expects the joint venture agreement to be signed in a month or two. "We are looking for (setting up) a plant within Karnataka".

"We will start with 1.5 million tonnes (capacity annually in the proposed plant) expandable to three milllion ... Five million and later to 15 million tonnes".

On the extent of equity participation by the joint venture partner, Ranganath said: "I do not want anything less than 26 per cent".

He said he is in discussion with CMD of certain coal fields in Orissa. "They are in the process of giving one of their coal mines to us to do the mining", Ranganath said, adding, the final capacity of this mine is likely to be 15 million tonnes.

On the government reportedly looking for "synergy" between KIOCL and NMDC, he said discussions have been held and both companies have given their opinion. "I presume that KIOCL will continue to be an independent company".

Source: BS

[engineer.akash]

ArcelorMittal picks new site for K'taka plant

By Team Mangalorean Bangalore

Bangalore Feb 5: ArcelorMittal, the world's largest steelmaker, will set up an integrated steel plant at Kudithini in the iron ore mining Bellary district of north Karnataka at an estimated cost of Rs.300 billion (Rs.30,000 crore/$6.5 billion), an official said Friday.

"The Indian subsidiary of ArcelorMittal has decided to set up the six-million tonnes per annum (TPA) steel plant at Kudithini in Bellary district instead of a site near Mulwad village in Bijapur district," state's Principal Secretary Industry V.P. Baligar told reporters.

A team of the company's officials inspected the new site last week and agreed to set up the plant, as the state water resources department has assured about 400 million litres of water per annum from the nearby Tungabhadra river.

"The government is allotting 4,900 acres of land to the company on lease for locating the steel plant and a township," Baligar said on the margins of a conclave on small and medium enterprises (SMEs), organised by the Confederation of Indian Industry (CII).


The plant will be located adjacent to the 1000mw thermal power station of the state-run Karnataka Power Corporation Ltd (KPCL) at Kudithini, around 25km from Bellary and 330km from Bangalore.

The state-run Karnataka Industrial Areas Development Board (KIADB), which holds the land bank in the steel corridor, will allot the land to the steel major on a long-term lease.

The company has also applied for 300 hectares of captive mining area for sourcing iron ore in the district where the ferric (iron) content is high (around 63 percent). The application will be considered once the steel plant project takes off," Baligar noted.

To ensure sufficient water supply for the steel plant round the year, especially during the lean season (summer), the government has offered to lay down pipes from the Almatti dam across the Krishna river in Bagalkot district.

"Once commissioned, the steel plant is expected to create a vast industrial base for ancillary units and generate $6 billion (Rs.276 billion/Rs.27,600 crore) indirect business per annum and thousands of direct/indirect jobs," Baligar added.

Mangalorean

If KIADB has the land bank then why did Economic times report of land acquisition problems??

[engineer.akash]

KIOCL to set up steel plant in Ktaka

Public sector Kudremukh Iron Ore Company Ltd (KIOCL) would be seeking partnership for its three-million tonne integrated steel plant in Karnataka for which it had shortlisted an equity partner, a top official today said.

Speaking to reporters on the sidelines of a function here, KIOCL Chairman and Managing Director K Ranganath said the JV agreement would be signed within two months.

''We are proceeding through the due diligence now and our consultant is on the job. ''The plant, to come up at a cost of Rs 8,000 crore, would have an initial capacity of 1.5 million tonne of steel annually which would be expanded to three million tonne in due course,'' he said.

"We will start with 1.5 million tonnes (capacity annually in the proposed plant) expandable to three milllion ... Five million and later to 15 million tonnes". On the extent of equity participation by the joint venture partner, Ranganath said: "I do not want anything less than 26 per cent".

The company had also talks with a certain coal fields in Orissa and it was likely it would get a captive coal mine with a deposit of about 15 million tonne.

He said there was no move to merge KIOCL with National Mineral Development Corporation (NMDC). However, the Union Government wanted the company to have some sort of tie up with NMDC.

Mangalorean

[engineer.akash]

State notifies land for ArcelorMittal plant

Staff Reporter

The Rs. 30,000-crore steel plant will come up at Kudutini in Bellary district

It will generate employment for about 10,000 people

BANGALORE: The State Government on Friday issued the preliminary notification to acquire 4,800 acres of land in Kudutini in Bellary district for a six-million-tonne steel plant worth Rs. 30,000 crore to be set up by the global giant ArcelorMittal.

“The representatives of the ArcelorMittal group inspected the site at Kudutini for the third time on Thursday and have informed us of their approval of the site. The preliminary notification for land acquisition was issued today (Friday),” said Principal Secretary, Department of Industries and Commerce, V.P. Baligar on the sidelines of the SME Conclave here organised by the Confederation of Indian Industry (CII).

The steel plant is expected to generate employment for about 10,000 people besides providing opportunities for ancillary units, Mr. Baligar said and added that a team from South Korean steel maker Posco was also in discussion with the State Government to set up a Rs. 32,000-crore steel plant in Bellary district.

The Government had also notified for acquisition 4,500 acres in Bijapur for the proposed steel plant, he pointed out.

On the availability of water resources for the steel plant, he said that water would be supplied partially from the Upper Krishna Project and the Tungabhadra Dam if it is dredged.

“The water resources department has indicated that it would supply water to the steel plant,” Mr Baligar said. Three hundred acres of land have been notified in the area to mine iron ore for the plant, he added.

The State will enter into an agreement with ArecelorMittal during the Global Investors’ Meet (GIM) in June to which the Chief Minister B.S. Yeddyurappa has invited the group Chairman, Lakshmi Mittal, as chief guest, Mr. Baligar said.

Meanwhile, representatives from Hero Honda have visited three sites in Hubli-Dharwad region to locate their Rs. 2,000-crore plant. “The company has sought at least 400 acres. But, their application has not yet come before the high level committee,” he said.

The Hindu

[engineer.akash]

Posco too in talks

The steel plant is expected to generate employment for about 10,000 people besides providing opportunities for ancillary units, Mr. Baligar said and added that a team from South Korean steel maker Posco was also in discussion with the State government to set up a Rs. 32,000-crore steel plant in Bellary district. The government had also notified for acquisition 4,500 acres in Bijapur for the proposed steel plant, he pointed out.

The Hindu- http://www.hindu.com/2010/02/06/stor...0655240600.htm

[ajay ramchandran]

Originally Posted by engineer.akash

KIOCL to set up steel plant in Ktaka


Mangalorean

Any idea of the location?